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Media Statement on Refco

New York, October 14, 2005 - Refco Securities, LLC ("Refco"), an indirect subsidiary of Refco Inc., doing business through subsidiaries of The Depository Trust & Clearing Corporation (DTCC), has informed DTCC that it will begin the process of winding down its business with those subsidiaries.

The wind down will impact Refco Securities, LLC's business with National Securities Clearing Corporation, The Depository Trust Company, and both the Government Securities and Mortgage-Backed Securities Divisions of the Fixed Income Clearing Corporation (FICC). Refco Securities LLC is a member of NSCC, a direct participant of DTC, a clearing member of the MBSD of FICC, and a netting member of the GSD of FICC.

Refco, which is currently in full compliance with the membership requirements of all subsidiaries, remains in business for the purpose of winding down its outstanding positions. Refco has represented to DTCC's subsidiaries that, as of today, it will not be engaging in any new business except to the extent necessary to offset and effectively liquidate outstanding long and short proprietary and customer positions.

At the present time, all three subsidiaries are continuing to act for Refco in an effort to assist Refco in performing an orderly wind down of its activity with those subsidiaries.

NSCC is responsible for clearing and settling most equity, corporate and municipal bond and unit investment trust trades in the U.S. DTC is the nation's central securities depository for equities, corporate and municipal bonds, and various money market instruments such as CDs, medium term notes and commercial paper. FICC is responsible for clearing and settling trades in U.S. government securities and mortgage-backed securities.

Separate Important Notices have been sent to all members/participants of each subsidiary notifying them of this action.

• NSCC Important Notice
• DTC Important Notice
• FICC Important Notice - Government Securities Division and MBS Securities Division