RFX Refco Inc.

The law firm of Milberg Weiss Bershad & Schulman LLP announces that a class action lawsuit was filed today on behalf of purchasers of the securities of Refco Inc. ("Refco" or the "Company") (NYSE: RFX) between August 11, 2005 and October 7, 2005, inclusive (the "Class Period"), including purchasers of the Company's shares pursuant or traceable to the Company's initial public offering (the "Offering") on August 11, 2005. The action seeks to pursue remedies under the Securities Act of 1933 ("Securities Act") and the Securities Exchange Act of 1934 (the "Exchange Act"). Refco is a leading independent provider of execution and clearing services for exchange-traded derivatives and a major provider of prime brokerage services in the fixed income and foreign exchange markets. The complaint alleges that Refco and Refco insiders completed an initial public offering of Refco common stock on August 11, 2005, selling 26.5 million shares at $22 per share for proceeds of $583 million. The complaint further alleges that, three months later, on October 10, 2005, before trading opened, defendants revealed that the Company had been carrying an undisclosed receivable from its Chief Executive Officer, Defendant Phillip R. Bennett, in the amount of $430 million, that Bennett was taking a leave of absence, and that Company financial statements issued since 2002 could no longer be relied upon. The announcement stunned the market, driving down the price of Refco shares by 44.4%, from a closing price of $28.06 on October 7, 2005 (Friday) to a low of $15.60 on October 10, 2005 (Monday). Trading in Refco shares was halted on the morning of October 11, 2005 pending additional news, and, after resumption of trading, closed at $13.06, down 11.2% for the day. On October 12, 2005, The Wall Street Journal reported that an investment firm controlled by Bennett, had paid Liberty Corner, a New Jersey hedge fund, to help him hide that he owed Refco hundreds of millions of dollars, and that the SEC had launched an investigation of the Company. Later that day, Bloomberg News reported that Bennett had been arrested by federal authorities on charges of securities fraud stemming from his failure to disclose in public filings with the SEC the existence of hundreds of millions of dollars in transactions between Refco and a company he controlled. If you bought the securities of Refco between August 11, 2005 and October 7, 2005 and sustained damages, you may, no later than December 12, 2005, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Milberg Weiss Bershad & Schulman LLP, or other counsel of your choice, to serve as your counsel in this action. The action is pending in the United States District Court for the Southern District of New York against defendants Refco, Phillip R. Bennett (former CEO), Gerald Sherer (CFO) and each member of Refco's Board of Directors. A copy of the complaint filed in this action is available from the Court or can be viewed on Milberg Weiss's website at: http://www.milbergweiss.com. Milberg Weiss Bershad & Schulman LLP (http://www.milbergweiss.com) is a firm with over 100 lawyers with offices in New York City, Los Angeles, Boca Raton, Delaware and Washington, D.C. and is active in major litigations pending in federal and state courts throughout the United States. Milberg Weiss has taken a leading role in many important actions on behalf of defrauded investors, consumers, and others for nearly 40 years. Please contact the Milberg Weiss website for more information about the firm. If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following attorneys: -0- *T Steven G. Schulman Peter E. Seidman Andrei V. Rado One Pennsylvania Plaza, 49th fl. New York, NY, 10119-0165 Phone number: (800) 320-5081 Email: sfeerick@milbergweiss.com Website: http://www.milbergweiss.com *T