Stull, Stull & Brody Announces Class Action on Behalf of Shareholders of Refco, Inc.

Notice is hereby given that a class action has been
commenced in the United States District Court for the Southern
District of New York on behalf of purchasers of Refco, Inc. ("Refco"
or the "Company") (NYSE:RFX) common stock during the period between
August 11, 2005 and October 18, 2005 (the "Class Period"), including
those who purchased the common stock of Refco pursuant and/or
traceable to the Company's initial public offering ("IPO") on or about
August 11, 2005, seeking to pursue remedies under the Securities Act
of 1933 (the "Securities Act") and the Securities Exchange Act of 1934
(the "Exchange Act").
   Stull, Stull & Brody has substantial experience representing
employees who suffered losses from purchases of their employer's stock
in their 401(k) plans. If you bought Refco's stock through your Refco
retirement account and have information or would like to learn more
about these claims, please contact us.
   The complaint charges certain of Refco's officers and directors
with violations of the federal securities laws. Refco provides
execution and clearing services for exchange traded derivatives; and
brokerage services in the fixed income and foreign exchange markets in
the United States, Bermuda, and the United Kingdom.
   The complaint alleges that Refco went public via an IPO in August
2005. A mere three months later, on October 10, 2005, Refco announced
that Phillip R. Bennett, its Chief Executive Officer ("CEO"), Chairman
and controlling shareholder, was being placed on a leave of absence
and that the Company had discovered, purportedly through an internal
review, a receivable of $430 million owed by Bennett to the Company.
The Company also announced that based on the undisclosed related-party
transaction, its prior financial statements should not be relied upon.
   According to the complaint, on or about August 10, 2005, Refco
filed with the SEC a Form S-1/A Registration Statement (the
"Registration Statement"), for the IPO. On or about August 11, 2005,
the Prospectus with respect to the IPO, which forms part of the
Registration Statement, became effective and 26.5 million shares of
Refco common stock were sold to the public, thereby raising
approximately $583 million. According to the complaint, the Prospectus
issued in connection with the IPO was materially false and misleading
for several reasons, including the fact that in a section entitled
"Certain Relationships and Related Transactions," the Prospectus
purported to detail all of the related-party transactions concerning
its business, but failed to disclose the related-party loan of $430
million to an entity controlled by Bennett. As detailed in the
complaint, Refco has now admitted that its financial statements as of
and for the periods ended February 28, 2002, February 28, 2003,
February 28, 2004, February 28, 2005 and May 31, 2005 should no longer
be relied upon and will be restated. This amounts to an admission that
those financial statements were materially false and misleading when
issued. In response to these announcements, the price of Refco common
stock declined precipitously falling from $28.56 per share to $15.60
per share on extremely heavy trading volume.
   On October 13, 2005, the Company issued a press release announcing
that it had hired advisors and imposed a 15-day moratorium on all
activities, including customer withdrawals, of Refco Capital Markets,
Ltd. In response to this announcement the price of Refco common stock
declined an additional $2.95 per share to $7.90 per share on extremely
heavy trading volume. On October 17, 2005, Refco announced that the
Company and certain of its subsidiaries had filed for protection under
Chapter 11 of the United States Bankruptcy Code.
   If you purchased Refco common stock during the Class Period, you
may request that the Court appoint you as lead plaintiff by 60 days
from October 11, 2005. 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 Stull, Stull & Brody, or
other counsel of your choice, to serve as your counsel in this action.
Stull, Stull & Brody has litigated many class actions for violations
of securities laws in federal courts over the past 30 years and has
obtained court approval of substantial settlements on numerous
occasions. Stull, Stull & Brody maintains offices in both New York and
Los Angeles.
   If you wish to discuss this action or have any questions
concerning this notice or your rights or interests with respect to
these matters, please contact Tzivia Brody, Esq. at Stull, Stull &
Brody by e-mail at [e-mail], by calling toll-free 1-800-337-4983,
or by fax at 212/490-2022, or by writing to Stull, Stull & Brody, 6
East 45th Street, New York, NY 10017. You can also visit our website
at www.ssbny.com.