Morgan Stanley

Morgan Stanley's Mike Berchtold To Move To Senior U.S. Banking Role

May 2, 2006

Matthew Ginsburg To Be New Head Of Asia Pacific Investment Banking

Beijing —

Morgan Stanley (NYSE: MS) announced today that Michael Berchtold, Asia Pacific President and Head of Investment Banking, is to relocate to the U.S. as a Vice Chairman of Investment Banking, after 16 years in Asia. Matthew Ginsburg, Managing Director and Head of the Financial Institutions Group (FIG) in Asia Pacific, will become Head of Asia Pacific Investment Banking following a transition period over the summer.

The Firm said that Berchtold will relocate to Los Angeles, California, at the end of the year to take up his new role. The position will keep him actively involved in Morgan Stanley's Asia business.

"Mike has done an outstanding job leading our Asia Pacific investment banking franchise and we are delighted that he will be taking on another senior role with the Firm," said Walid Chammah, Morgan Stanley's Global Head of Investment Banking. "Our team in Asia Pacific is second to none and Mike will be leaving the region in great hands under Matthew's leadership. Asia is a critical growth market for the Firm, and we plan to continue to invest in the region."

Alasdair Morrison, Chairman of Asia, said, "Mike is an exceptional banker, a valued colleague and will add tremendous Asia insight in his new role. As his successor, Matthew brings a wealth of experience to the job and will play an important role in further building our franchise in the region."

"With 16 years in Asia and seven years in my current role, the time feels right to take on the next challenge," said Berchtold. "I am very proud of what we have all achieved together, feel great about the quality of the team and am delighted that Matthew will lead the next phase of our growth in Asia Pacific investment banking."

"I am very enthusiastic about taking on this new challenge. We have a successful business, a great group of seasoned bankers and I am looking forward to leading our banking effort in the region," said Matthew Ginsburg.

Mr. Berchtold, a California native, joined Morgan Stanley in 1987 and has been based in Asia since 1990. During this time he has held various investment banking roles in Tokyo, Singapore and Hong Kong.

Matthew Ginsburg has been with the Firm in the region for more than a decade and has been Head of the FIG in Asia Pacific for the past four years. His banking experience includes advising China Construction Bank on its US$2.5 billion stake sale to Bank of America and on its US$9.2 billion IPO, the US$3.3 billion sale of Korea Deposit Insurance Corporation to Standard Chartered and the US$1.5 billion merger between International Bank of Taipei and SinoPac Financial Holdings. Ginsburg has lived in Hong Kong for the last 14 years.

Will McLane, a Hong Kong-based managing director in FIG will assume leadership of the Firm's Asia Pacific FIG business.

Morgan Stanley is a global financial services firm and a market leader in securities, investment management and credit services. With over 600 offices in 30 countries, Morgan Stanley connects people, ideas and capital to help clients achieve their financial aspirations.

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