Bear Stearns Hires Manfred Puffer to Expand Franchise in Germany, Austria and Eastern Europe

Based in London and reporting directly to Michel Peretie, Chairmanof Bear, Stearns International Ltd., Dr. Puffer will be responsiblefor driving growth in Germany and Austria and for expanding thefranchise further into Eastern Europe.

"Germany and Austria are key areas for Bear, Stearns Internationaland this new position reflects the importance we place on the region,"commented Mr. Peretie. "The breadth and depth of Manfred Puffer'sexperience will enable us to drive our franchise across many key areasand build on our recent success. Dr. Puffer is a key addition to ourfirm."

Among recent transactions in the region, Bear Stearns wasjoint-lead manager in the HypEssen $1 Billion 4.75% issue and onlylast month, arranged an office park acquisition in Munich.

"I have been very impressed with the growth of Bear Stearns'business in Europe," Dr. Puffer said. "That development, coupled withthe company's capabilities, make this an excellent time to be joiningBear Stearns. I look forward to developing our presence even furtherin Europe."

Dr. Puffer's extensive experience includes commodities, fixedincome, equities, structured finance and advisory services. He waspreviously at West LB, where he was a member of the management boardand responsible for investment banking. He has also worked atHypovereinsbank and Goldman Sachs in London. Dr Puffer holds a PHD inbusiness administration from Wirtschaftsuniversitat Wein.

Bear, Stearns International Limited is a wholly owned subsidiaryof The Bear Stearns Companies Inc. (NYSE: BSC) BSIL currently employsapproximately 1,000 staff in London who serve corporations,institutions, partnerships and governmental entities in the UnitedKingdom, Europe and the Middle East. BSIL's capabilities includeinvestment banking, institutional equities and fixed income sales,trading and research, derivatives, financial futures, foreignexchange, private client services and global clearing. Bear, StearnsInternational Limited is authorised and regulated by the FinancialServices Authority.

Founded in 1923, Bear, Stearns & Co. Inc. is a leading investmentbanking and securities trading and brokerage firm, and the majorsubsidiary of The Bear Stearns Companies Inc. (NYSE:BSC). Withapproximately $57.6 billion in total capital, Bear Stearns servesgovernments, corporations, institutions and individuals worldwide. Thecompany's business includes corporate finance and mergers andacquisitions, institutional equities and fixed income sales andtrading, securities research, private client services, derivatives,foreign exchange and futures sales and trading, asset management andcustody services. Through Bear, Stearns Securities Corp., it offersfinancing, securities lending, clearing and technology solutions tohedge funds, broker-dealers and investment advisors. Headquartered inNew York City, the company has approximately 12,000 employeesworldwide. For additional information about Bear Stearns, please visitthe firm's website at http://www.bearstearns.com.