FOR IMMEDIATE RELEASE

Jefferies Substantially Enhances European High Yield Capability

David Lofts Hired to Lead Group; Effort Complements Firm's Strong U.S. Presence in High Yield and Distressed Securities

LONDON, 16 April 2004 -- Jefferies International Ltd., a subsidiary of Jefferies Group, Inc. (NYSE: JEF), today announced the hiring of David Lofts, who joins as head the firm's European institutional sales and trading effort in high yield debt and distressed securities. Mr. Lofts will be responsible for expanding Jefferies' European presence in these security types to complement the firm's well-established U.S. business in the same area.

"David Lofts' experience and relationships in high yield and distressed securities will significantly enhance Jefferies' expansion in the European leveraged finance space," said Clifford A. Siegel, Managing Director and Chief Executive of Jefferies International Ltd. "He will be charged with developing Jefferies' European institutional capital markets and secondary trading business in this area."

Mr. Lofts has been in the securities business for nearly 20 years. He joins Jefferies from Banc of America Securities in London, where he was Managing Director and Head of European High Yield. Previously, Mr. Lofts was Vice President of Institutional Fixed Income at Donaldson Lufkin & Jenrette in New York. He holds a Masters of Business Administration from the Graduate School of Business at Harvard University, and a Bachelor of Arts from the University of Oregon. Mr. Lofts will report to Mr. Siegel and James F. Graham and will be based in the firm's London office.

For further information, please contact:

Beverley Weber, Fishburn Hedges, 0207 839 4321, beverley.weber@fishburn-hedges.co.uk

Tom Tarrant, Jefferies & Company, Inc., +1 203 708 5989, ttarrant@jefco.com

About Jefferies

Jefferies Group, Inc. (NYSE: JEF) is a holding company whose affiliated companies, including its principal operating subsidiary, Jefferies & Company, Inc., offer a variety of services for institutional investors and middle-market companies. Subsidiaries of Jefferies Group, Inc., together, comprise a full-service investment bank and institutional securities firm focused on the middle market. Jefferies offers financial advisory, capital raising, mergers and acquisitions, and restructuring services to small and mid-cap companies. The firm provides outstanding trade execution in equity, high yield, convertible and international securities, as well as fundamental research and asset management capabilities, to institutional investors. Additional services include correspondent clearing, prime brokerage, private client services and securities lending. The firm's leadership in equity trading is recognized by numerous consulting and survey organizations, and Jefferies' subsidiary, Helfant Group, Inc., executes approximately ten percent of the daily reported volume of the NYSE.

Through its subsidiaries, Jefferies Group, Inc. employs more than 1,600 people in offices worldwide, including Atlanta, Boston, Chicago, Dallas, London, Los Angeles, New York, Paris, San Francisco, Tokyo, Washington and Zurich. Further information about Jefferies, including a description of investment banking, trading, research and asset management services, can be found at www.jefco.com.