The Economic Times on January 07, 2006 (Saturday) published a report on the Front page - 'Morgan Stanley, JM seen in revamp of JV Equity structure' which is baseless and completely untrue. Both the parties are working together in the best interests of the joint venture.

"There is no truth in the rumours about JM Financial and Morgan Stanley parting ways. Both parties are working together in the best interests of the JV. We continue to follow a one firm approach and that has always worked well", says Nimesh Kampani, Chairman, JM Morgan Stanley.

Mr Alaisdair Morrison, Chairman and CEO of Morgan Stanley Asia, said: "Morgan Stanley has an excellent relationship with JM Financial and Nimesh Kampani and we are delighted with the way our joint venture has developed. We look forward to continuing to build the businesses together for the benefit of our clients."

For further information, please contact

Nandini Goswami

Corporate Communications

JM Morgan Stanley Pvt Ltd

141, Maker Chambers III

Nariman Point

Mumbai - 400 021

Ph: 022 - 56303529

M: 98703 23775