Morgan Stanley Appoints New Country Head for Italy

Milan —

Morgan Stanley (NYSE: MS) today announced that Domenico Siniscalco will become Country Head and Chief Executive of Morgan Stanley’s Italian business, reporting to Walid Chammah, Chairman of Morgan Stanley International, with effect from 1st December.

With a career spanning over 25 years in European academia, business and government, Domenico is a highly respected executive who was previously Minister of Economy and Finance for Italy. He will maintain his position as a Vice Chairman of Europe, and will continue to devote part of his time to expanding the international footprint of the Firm.

Dante Roscini will take up a new role as Chairman of European Equity Capital Markets, based in London. Under his leadership as Country Head for Italy over the past two years, Morgan Stanley’s investment banking revenues have almost doubled and the Italian business is on track to post a record year.

Paul Schapira will remain as Head of Investment Banking for Italy, where he has played an outstanding role over the last year.

Galeazzo Pecori Giraldi will become a Senior Advisor and remains Chairman of Bank Morgan Stanley AG, Morgan Stanley’s Swiss Private Bank.

Commenting on the appointments, Walid Chammah, Chairman of Morgan Stanley International, said: “We are pleased to have a banker of Domenico’s calibre as our country head in Italy. He inherits a strong platform, thanks to the contributions of both Galeazzo and more recently Dante.”

“With close to two decades of distinguished experience in capital markets, Dante will be a valuable addition to our team as Chairman of European Equity Capital markets.”

“These changes will ensure that our franchise continues to go from strength to strength”.

Morgan Stanley is a leading global financial services firm providing a wide range of investment banking, securities, investment management and wealth management services. The Firm's employees serve clients worldwide including corporations, governments, institutions and individuals from more than 600 offices in 32 countries. For further information about Morgan Stanley, please visit www.morganstanley.com.

Note to Editors:

Morgan Stanley in Italy

Morgan Stanley is a leading financial institution in Italy providing a full range of investment banking, securities, asset management and private banking services. The business has seen steady growth in the past five years and further growth is anticipated across all businesses. Morgan Stanley’s investment banking revenues have almost doubled and the Italian business is on track to post a record year in 2007.

Recent investment banking transaction highlights include Enel's 43.4Bn tender offer for Endesa and its subsequent 5Bn bond offer; the 1.6 Bn merger of Borsa Italiana with the London Stock Exchange; the 2.1 Bn IPO of Saras, the largest in Italy in 2006; and the first tender offer in Italy on real estate funds. Our Sales & Trading businesses are market leaders in, among other areas, retail structured products and cash equities. The Investment Management business is the third-largest foreign asset manager in Italy by AUM.

Domenico Siniscalco

Domenico Siniscalco developed a successful academic career at a number of universities including the University of Cambridge, the Catholic University of Louvain, The Johns Hopkins University and, most recently, Turin University, where he was a full professor of Economics. He has also served on the boards of several research foundations and non-profit organizations in Italy and abroad, including the Swedish Royal Academy of Sciences (Beijer Institute). In April 2006,Domenico Siniscalco was appointed chairman of Fondazione Collegio Carlo Alberto for economic research.

He joined Morgan Stanley in April 2006 as a Managing Director and Vice Chairman of Morgan Stanley International Limited.

From July 2001 to September 2005, he served in the Italian government, first as Director General of the Treasury, then as Economy and Finance Minister.

Prior to his appointment as Director General of the Treasury, he served as an independent director on the boards of several Italian listed companies, including Telecom Italia and ENI.

Domenico Siniscalco is author of a number of academic books and more than 70 papers on industrial economics, privatisation, energy and environmental economics, published by revered publications such as the European Economic Review and the Journal of Public Economics. His latest volume, “The Challenges of Privatisation”, was published by Oxford University Press in 2004. For many years he has been a front page commentator on Il Sole 24 Ore and La Stampa.

Prof. Siniscalco has a Law Degree from Turin University and a PhD in Economics from the University of Cambridge. He was born in Turin, Italy, in 1954 and is married with two sons.