PRESTIGE

RANKING

9 JEFFERIES & COMPANY, INC.

520 Madison Avenue, 12th Floor RANKING RECAP

New York, NY 10022
Phone: (212) 284-2300 #6-Business Outlook
www.jefferies.com #6-Green Initiatives
#9-Best to Work For
#11-Formal Training
#13-Compensation
DEPARTMENTS/DIVISIONS #13-Culture
Asset Management #13-Manager Relations
Debt Capital Markets #13-Prestige
Equity Capital Markets #14-Diversity With Respect to Minorities
Investment Banking #14-Selectivity
Mergers & Advisory #16-Informal Training
Recapitalization & Restructuring #16-Office Space
Research #17-Diversity With Respect to Gays and Lesbians
Sales & Trading #17-Overall Diversity
#17-Overall Satisfaction
#18-Diversity With Respect to Women

THE STATS
Employer Type: Public Company UPPERS
Ticker Symbol: JEF (NYSE)
CEO: Richard B. Handler • “Junior professionals given a lot of responsibility—good
2009 Revenue: $2.47 billion client exposure and deal flow”
2009 Net Income: $280 million • “Strong growth trajectory, great opportunity to participate in
No. of Employees: 2,729 a ‘rising star’ firm”
No. of Offices: 25+ • “Team-oriented, very friendly culture”

KEY COMPETITORS DOWNERS

Barclays Capital • “Lots of hours doesn’t mean lots of pay—senior
Credit Suisse professionals do not necessarily reward the best
Deutsche Bank performers”
Goldman Sachs • “Some senior professionals have little respect for junior
J.P. Morgan professionals”
Lazard • “Brand name is still developing in the market”

THE BUZZ
What insiders at other firms are saying EMPLOYMENT CONTACT
• “Rising star—killing its middle-market competitors”
See “careers” at www.jefferies.com.
• “Lots of potential but currently mired in the third tier”
Customized for: Kelvin (sunk@mit.edu)

• “Aggressively hiring talent; improving in size and stature”

• “Middle market, mediocre”

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Jefferies & Company, Inc.

THE SCOOP

On the move again

New York-based Jefferies Group, Inc. (widely known as Jefferies) is an independent securities and investment banking firm that was founded almost
50 years ago. Today, it employs more than 2,700 people in over 25 offices worldwide.

Jefferies’ investment banking services include M&A advisory, capital raising, debt, equity and equity-linked financing, recapitalization and restructuring
solutions, fairness opinions and corporate advisory services. Jefferies’ sales and trading business offers trade execution and liquidity, and traded
equity, convertible, high-yield, investment-grade fixed income and commodity-linked financial products; the unit also provides wealth management,
correspondent services, prime brokerage, securities finance and floor brokerage services (at the NYSE).

The firm’s research team focuses on covering mid-cap and growth companies, offering investment ideas in equity, high-yield, convertible and
investment-grade fixed income securities. The asset management division manages products that include equities, fixed income securities, convertible
securities and real assets (commodities). And its wealth management division offers financial advisory to corporate clients, private equity firms,
institutions and wealthy individuals.

Jefferies’ investment banking practice focuses on industry specializations, including aerospace and defense, clean technology, consumer, energy,
financial services, gaming, health care, industrials, maritime, media, technology and telecom. It also has a dedicated financial sponsors group, and
dedicated product groups, including equity capital markets, debt capital markets, recapitalization and restructuring, and mergers and advisory.

Jefferies can trace its roots to 1962 when Boyd Jefferies established his eponymous firm with a $30,000 business loan and one employee—a floor
runner. The two began conducting business on the Pacific Coast Stock Exchange floor. Along the way, Jefferies recognized that institutional investors
often wanted to trade large blocks of stock without making an impact on the market (or tipping their hand to other traders) but had no mechanism
for doing so. He began catering to these investors, discreetly matching large institutional buyers and sellers off the exchange. So-called third-market
trading is standard practice today, but in the 1960s, it was a novel idea. Jefferies prospered, becoming a respected equity trading firm and launching
an IPO in 1983. Expansion followed in the 1990s as Jefferies began offering investment banking, asset management and research services, opening
offices throughout North America, Europe and Asia.

In 2008, as a result of a worldwide financial crisis that began in 2007, Jefferies, like many other financial firms, was forced to make staff cuts, laying off
nearly 20 percent of its workforce. However, the firm soon reversed strategy, taking advantage of the severe dislocation on Wall Street, hiring several
seasoned professionals in its investment banking and other business groups, including fixed income, research and equities. This included the addition
of the 40-plus person health care investment banking team from UBS, and substantial new hires on its trading desks in the U.S., Europe and Asia.
More hires followed, and by mid-2010, Jefferies had increased headcount by 25 percent from 2008. Meanwhile, its investment banking revenue
more than doubled from $120.8 million in 2008 to $256 million in 2009. Underlining the firm’s prowess in the mergers and acquisition market,
Jefferies ranked No. 3 in U.S. announced middle-market M&A deal volume (transactions with values up to $500 million) for the first six months of
2010, according to Thomson Reuters. The firm also ranked No. 15 in overall U.S. announced M&A deal volume and No. 25 in worldwide announced
M&A volume for the same period.

GETTING HIRED

Selectivity [7.57]
s h4HE HIRING AND CALL BACK PROCESS IS SIMILAR TO WHAT YOU lND AT OTHER BANKS ONE ROUND OF CAMPUS INTERVIEWS FOLLOWED BY AN IN OFlCE 3UPER $AY
consisting of five to seven interviews. While all banks look for very similar qualities in an analyst or associate, Jefferies is more willing than most to
interview and take a chance on an intelligent candidate from an atypical background. Showing a willingness to learn and enthusiasm can make up
for a lack of technical skills when interviewing for an analyst position.”

s h6ERY EFlCIENT AND PROFESSIONAL INTERVIEW PROCESS 7E LOOK FOR CANDIDATES WHO HAVE THE POTENTIAL TO SUCCEED IN HIGH PRESSURE ENVIRONMENTS AS WELL
as individuals who would be a good fit in our firm. Fit is a necessity.”

s h4ECHNICAL lRST ROUND ALL lT SECOND ROUNDv

Customized for: Kelvin (sunk@mit.edu)

s h4HE lRM IS LOOKING FOR HUNGRY INDIVIDUALS WHO ARE SMART EASY TO WORK WITH AND WILLING TO WORK LONG HOURS AND GRIND AWAY *EFFERIES IS GROWING
incredibly fast and hiring many talented people from other banks. It’s no surprise that people want to come here.”

s h9OU HAVE TO BE MOTIVATED TO WORK HARD AND HAVE A CAPACITY TO LEARN A LOT INFORMATION IN A SHORT PERIOD OF TIME ! POSITIVE ATTITUDE AND A SOLID
financial background will go a long way.”

s h,OOKING TO HIRE CANDIDATES WHO ARE BOTH SMART AND PERSONABLE 3OMEONE WHO IS PROACTIVE AND SEIZES OPPORTUNITIESv

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Jefferies & Company, Inc.

s h)NTERVIEWS ARE A MIX BETWEEN lNANCE AND lT QUESTIONS &IT IS EXTREMELY IMPORTANT -OST PEOPLE HERE ARE NICE FUN AND OVERALL GOOD PEOPLE TO BE
around. I don’t think Jefferies is as fraternity-like as it used to be. People are also not as cutthroat as people at bulge bracket banks, and everyone
is willing to help each other. Summer internships are important—hardworking summer analysts are almost always rewarded.”

Internship Experience
s h/VERALL GREAT EXPERIENCE 'IVEN THAT ITS A GENERALIST PROGRAM ITS GOOD AND BAD IN THAT YOU GET TO WORK WITH ALL INDUSTRIES AND PRODUCTS GROUPS
but you often get overstaffed on projects. The program can use a bit more organization. However, the people you work with make up for any
negatives.”

s h!S AN INTERN AT *EFFERIES ) WAS GIVEN MORE RESPONSIBILITY THAN ANY OF MY FRIENDS AT OTHER INVESTMENT BANKS ) WAS ALSO WORKING ON LIVE TRANSACTIONS
which was very unique. The intern program is very well planned and organized to provide the best experience possible in the short amount of time.
The interns get a week of training and have a full schedule of events where they can get to know fellow interns and build relationships with bankers
throughout the firm.”

s h)T WAS GOOD BUT ) DIDNT LEARN MUCH ABOUT MODELINGv

s h6ERY GOOD EXPERIENCE WORKING ON LIVE DEALS FROM DAY ONE &ULL TIME BANKERS TOOK A GENUINE INTEREST IN ASSURING ) HAD A GOOD EXPERIENCE 4HE
program was designed to make sure I was exposed to specific areas that I was interested in.”

s h'OING INTO MY INTERNSHIP ) HAD NO IDEA WHAT INVESTMENT BANKING WAS LIKE 4HE INTERNSHIP GAVE ME A GREAT BASE ON WHICH TO ENTER MY FULL TIME
position.”

OUR SURVEY SAYS

Satisfaction [7.44]
s h'REAT lRM THAT CONTINUES TO GAIN MOMENTUM (UGE OPPORTUNITIES FOR JUNIOR BANKERS .OT A MEAT MARKET LIKE MOST BULGE BRACKETSv

s h) ENJOY THE CHALLENGING ENVIRONMENT AND AM CONTINUALLY LEARNING NEW SKILLS 'REAT OVERALL EXPOSURE TO lNANCE ! LOT OF BANKING lRMS CLAIM TO HAVE A
flat structure, but at Jefferies it really is true. I work daily with managing directors on live engagements. Also, analysts are given a lot of responsibility,
often interacting independently with clients on various deals.”

s h6ERY AGGRESSIVE BANKERS NOTORIOUSLY DIFlCULT SENIOR MANAGEMENT BUT LOTS OF OPPORTUNITIES FOR JUNIOR BANKERSv

s h! JOB IS A JOB !ND ) AM SATISlED WITH BEING KEPT BUSY AND ON MY TOES MOST OF THE TIME ) DO APPRECIATE MY GROUP AND THE PEOPLE ) WORK WITH ) WOULD
say 50 percent of my satisfaction is derived from the people I work with, 30 percent from my compensation and 20 percent from the work I do.”

s h0EOPLE HERE ARE GREAT MENTORS AND PROVIDE GREAT GUIDANCE AS TO HOW TO DEVELOP -Y TEAMS ARE ALL VERY SUPPORTIVE AND NOT OVERLY HARSH WHEN IT
comes to criticism.”

s h4HE JOB HAS BEEN VERY REWARDING )VE LEARNED A LOT IN A VERY SHORT AMOUNT OF TIME 9OU CAN TAKE ON AS MUCH RESPONSIBILITY AS YOU ARE WILLING TOv

s h) ENJOY THE TREMENDOUS AMOUNT OF RESPONSIBILITY ANALYSTS ARE GIVEN AND MOST PEOPLE ARE GREAT TO WORK FOR !NYTHING ) DISLIKE ABOUT MY CURRENT JOB
is due to the job and banking itself and is not Jefferies-specific.”

s h)M VERY SATISlED FOR THE MOST PART /BVIOUSLY IT WILL DEPEND ON WHAT MY BONUS LOOKS LIKEv

Firm Culture [8.08]

s h*EFFERIES CULTURE IS DElNITELY ONE OF ITS STRENGTHS 4HE lRM HAS A COLLECTION OF VERY SMART PEOPLE WITH VERY DIVERSE INTERESTS AND BACKGROUNDS ,AST
year there was an analyst who was a performing magician sitting next to a fellow analyst that was a cage fighter on weekends.”

s h6ERY CORDIAL AND PROFESSIONAL ENVIRONMENT BUT ALSO DOWN TO EARTH 0EOPLE EXPECT A LOT FROM YOU BUT NOT IN A DISRESPECTFUL OR UNPLEASANT MANNER
Customized for: Kelvin (sunk@mit.edu)

We go out for drinks and dinners. The senior bankers are friendly and accessible, not stuck-up or intimidating as some would be at bigger, more
traditional investment banks.”

s h4HE CULTURE AT *EFFERIES IS VERY SPECIAL 4HE OFlCE IS VERY ENERGETIC "ANKERS ARE EXCITED AND PASSIONATE ABOUT THEIR WORK BUT AT THE SAME TIME
there’s a laid-back element.”

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Jefferies & Company, Inc.

s h4HERE IS NO DOUBT THAT THE CULTURE AT *EFFERIES IS ENTREPRENEURIAL AND HUNGRY -Y GROUP HOWEVER DOES NOT VALUE ANALYSTS CONTRIBUTIONS 4HERE IS
not much communication between senior and junior bankers. Senior people also do not care for junior development. However, it should be noted
that each group has a different culture and other analysts have had better experiences.”

s h6ERY AGGRESSIVE AND VERY DEMANDING .OTORIOUSLY DIFlCULT SENIOR MANAGEMENT BUT LOTS OF OPPORTUNITIES FOR JUNIOR BANKERSv

s h,ESS ARROGANT CULTURE THAN MANY lRMS )M FAMILIAR WITHv

s h*EFFERIES HAS GROWN SUBSTANTIALLY IN RECENT YEARS BUT STILL MANAGES TO MAINTAIN THE TIGHT KNIT CULTURE OF A SMALLER INVESTMENT BANKv

Hours [5.53]
s h)TS AN INVESTMENT BANK 9OU SIGN UP FOR IT KNOWING THAT THE HOURS WILL BE AWFUL -Y GROUP IS NOT AS BAD AS OTHERS THOUGH ) HAVE LIGHTER HOURS
than most. There’s no face time, and my senior bankers kick me out of the office if I have nothing to do. If you’re in the office, you’re there for good
reason.”

s h)TS BANKING YOURE GOING TO WORK  HOUR WEEKSv

s h)TS BEEN PRETTY BRUTAL BUT ) CANT SAY ) DIDNT KNOW WHAT ) WAS GETTING INTO -Y GROUP IS DOING A LOT OF DEALS AND ALTHOUGH THE HOURS ARE PAINFUL )M
learning a lot and getting a lot of transaction experience.”

s h,OTS OF WORK AND SOMETIMES YOU FEEL LIKE YOURE PAID TO PROCESS MARK UPS OR DATABASES AND NOT FOR lNANCEMODELING /VERALL ) HAVE LEARNED A LOT
but on a leveraged finance side, Jefferies seems to be different than other banks, which do more modeling and less presentation work.”

s h4HE EXPECTATION IS THAT YOU WILL WORK HARD AS AN ANALYST BUT ) RARELY FEEL OVERWHELMEDv

s h(OURS IN INVESTMENT BANKING ARE VERY LONG ESPECIALLY FOR THE LARGER WELL KNOWN GROUPS SUCH AS RESTRUCTURING HEALTH CARE AND TECHNOLOGY -OST
junior bankers can expect to work most weekends.”

s h A WEEKv

Manager Relations [8.15]

s h-OST SENIOR PROFESSIONALS TREAT JUNIOR PROFESSIONALS WITH A LOT OF RESPECT -OST DEAL TEAMS ARE RELATIVELY THINLY STAFFED SO JUNIOR PROFESSIONALS ARE
given a lot of responsibility and flexibility.”

s h)VE BEEN FORTUNATE TO WORK WITH GREAT MANAGERS AT *EFFERIESv

s h-ANGERS ARE RESPECTFUL WHEN SPEAKING TO YOU 4HE ASSOCIATES SEEM TO BE LESS RESPECTFUL THAN THE 60S AND -$Sv

s h6ERY STRONG SENIORJUNIOR BANKER RELATIONSHIPS $OORS ARE ALWAYS OPEN AND VERY OFTEN AN ANALYST WORKS DIRECTLY WITH A SENIOR BANKER ON MULTIPLE
projects.”

s h(IT OR MISSv

s h'REAT ACCESS TO SENIOR BANKERSˆVERY mAT ORGANIZATIONv

Formal Training [7.47]; Informal Training [6.77]

s h) THINK FORMAL TRAINING CAN BE BETTER AND MORE INFORMATIVE "UT THEN AGAIN MOST THINGS WILL BE LEARNED ON THE JOB IN WHICH CASE INFORMAL TRAINING
is key. Jefferies does a great job at that, simply because the people are great and always ready to lend a hand.”

s h,IKE OTHER INVESTMENT BANKS *EFFERIES HAS A FORMAL TRAINING PROGRAM DURING THE SUMMER FOR ANALYSTS AND ASSOCIATES 4HERE IS VERY LITTLE INFORMAL
training and mentoring once the job begins. Junior professionals are expected to learn on their own.”

s h) THINK *EFFERIES MAY HAVE THE BEST INVESTMENT BANKING TRAINING ENVIRONMENT AVAILABLE TO ENTRY LEVEL PROFESSIONALS 4HE LEVEL OF RESPONSIBILITY AND
general mentoring environment are unparalleled.”
Customized for: Kelvin (sunk@mit.edu)

s h) THINK ITS PRETTY GOOD #OULD BE A LITTLE BIT BETTER THOUGHv

s h&ORMAL TRAINING IS EXCELLENT WITH TRAINING FROM CURRENT BANKERS AS WELL AS THIRD PARTY PROFESSIONALS ! MENTORING PROGRAM HOWEVER LOOSELY EXISTS
and should be expanded or further developed.”

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Jefferies & Company, Inc.

Compensation [6.84]
s h4HE SIGNING BONUS AND SALARY ARE THE SAME AS THE 3TREETv

s h,AST YEAR *EFFERIES BONUSES WERE BELOW THE 3TREETv

s h) THINK OUR COMPENSATION IS IN LINE WITH THE 3TREET 7HICH MEANS IT ISNT THE GREATEST BUT ISNT THE WORSTv

s h,AST YEAR WAS PERHAPS AN OFF YEAR AS IT WAS DIFlCULT TIMES *EFFERIES SEEMED TO PAY A BIT LESS THAN THE 3TREETv

s h4HE LAST TWO YEARS HAVE BEEN DIFlCULT lNANCIALLY FOR ALL OF 7ALL 3TREET BUT MOVING FORWARD IT HAS BEEN INDICATED THAT *EFFERIES SEEKS TO PAY TOP DOLLAR
for top performers.”

Perks
s h-ATCHING K v

s h&REE BREAKFASTv

Respondents also point out that the firm offers free car rides home and dinner if working late, profit-sharing programs, moving expense reimbursement,
free parking, free or subsidized gym memberships, telecommuting, flex-time, paternity leave and extended maternity leave.

Diversity with Respect to Women [6.82]; Minorities [6.97]; GLBT [6.42]

s h) WORK WITH MANY WOMEN BUT THERE ARE FEW MINORITIESv

s h4HERE IS NO STRONG NETWORK OF WOMEN AT THE lRM 4HAT CAN BE IMPROVED IN TERMS OF HAVING GREATER SOLIDARITY AND EFFORT PUT INTO THE RECRUITING AND
development of women in business.”

s h7E HAVE A VERY DIVERSE OFlCEv

s h4HE lRM IS DIVERSE AND RESPECTFUL OF PEOPLE OF ALL RACES AND SEXESv

Environmentally Friendly Practices [7.65]

s h3TRONG GREEN INITIATIVESv

s h6ERY ENVIRONMENTALLY FRIENDLY (AD A @GO GREEN INITIATIVE IMPLEMENTED BEFORE IT BECAME POPULAR TO @GO GREEN

s h7E ARE VERY GREEN )SSUED ALL MEMBERS A *%& GREEN CUP TO HELP REDUCE PLASTIC CUPSv

s h7E HAVE A GREEN COMMITTEE THAT HAS VARIOUS INITIATIVESv

s h0APER RECYCLING COULD BE IMPROVEDv

Office Space [6.81]

s h#OMFORTABLE SPACE .O lRM WIDE CAFETERIA OR FANCY GYMS BUT WE HAVE A SHARED KITCHEN AREA ON EACH mOORv

s h"ORING BUT WORKABLE 3OME KITCHENS ARE SPACIOUS WITH TWO LARGE REFRIGERATORS AND MICROWAVESv

s h,OCATION COULD BE BETTER /FlCE DECOR AND COMFORT ARE PRETTY SOLIDv

s h6ERY NICE ESPECIALLY OUR CONFERENCE ROOMSv

s h$UE TO GROWTH OFlCE SPACE IS CRAMPED BUT THEYRE ADDING mOORS AND IN THE PROCESS OF MOVING US AROUNDv

s h3TANDARD OFlCE SPACEv

Customized for: Kelvin (sunk@mit.edu)

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Jefferies & Company, Inc.

Business Outlook [9.29]

s h,OTS OF GROWTH #OMBING THE MARKET AND TAKING THE BEST AVAILABLE TALENT OUT THERE 7ITH THE INFUSION OF THE 5"3 BANKING TEAM WERE REALLY POSITIONED
to become the next elite bank.”

s h!S A lRM *EFFERIES IS WELL POSITIONED TO THRIVE ONCE THE MARKET PICKS UP -OST BANKING GROUPS ARE ALREADY SEEING HUGE INCREASES IN DEAL mOW
Morale is getting better in those groups only.”

s h4HE COMPANY IS IN A GROWTH PHASE NOW 4HE GENERAL CONSENSUS IS THAT *EFFERIES HAS CAPITALIZED WELL ON THE OPPORTUNITIES THAT PRESENTED THEMSELVES
during the recession while some of the larger banks were struggling. The firm has the potential to do big things.”

s h;"ENJAMIN= ,ORELLO IS TEARING IT UP #OMPLETELY DIFFERENT lRM ON THE INSIDE WITH A LOT OF SENIOR AND RESPECTED BANKERSv

s h4HE BANK IS BECOMING MORE OF A THREAT TO BIGGER COMPETITORS AND IS ACTIVELY GAINING MARKET SHARE /UTLOOK FOR  AND  IS VERY FAVORABLEv

s h7E DIDNT NEED GOVERNMENT MONEY HAVE A STABLE BALANCE SHEET AND ARE WELL POSITIONED TO CAPTURE MARKET SHAREv

s h!LL SIGNS LOOK GOODv

Fun Facts
s h;*EFFERIES #HAIRMAN AND #%/= 2ICHARD (ANDLER IS DOWN TO EARTH AND WEARS CASUAL CLOTHES TO WORK (E ALSO HAS A BASEBALL lELD IN HIS BACKYARDv

s h4HE SINGLE LARGEST CORPORATE DONOR TO (AITI RELIEFv

s h4HE HEAD OF INVESTMENT BANKING AND CAPITAL MARKETS HAS MADE IT A POINT TO MEET AND HAVE DINNER WITH EVERY GROUP OF THE BANK SHOWING A
committed effort to support and get to know each banker.”

s h! SIGNIlCANT PORTION OF THE COMPANY IS EMPLOYEE OWNEDv

Customized for: Kelvin (sunk@mit.edu)

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