Morgan Stanley Acquires Stake In Clean Technology Venture Investor NGEN Partners,...

Morgan Stanley Acquires Stake In Clean Technology Venture Investor NGEN Partners, LLC

Investment Underscores Morgan Stanley's Commitment to Pursuing
Market-Based Solutions to Environmental Challenges
NEW YORK--(Business Wire)--Morgan Stanley (NYSE:MS) announced today that it has agreed to
acquire a minority equity stake in NGEN Partners, LLC, a leading
venture capital firm which invests in companies that focus on clean
technologies.

This investment, the first by a major Wall Street firm in a clean
technology venture firm, underscores Morgan Stanley's commitment to
finding market-based solutions to environmental issues, as well as its
belief in the business opportunities that stem from sustainable global
development.

Founded in 2001, NGEN Partners is a pioneering investor in the
cleantech sector. The firm has deep expertise and a strong portfolio
of companies in the areas of alternative energy, energy efficiency,
pollution abatement and green resources.

"Our stake in NGEN represents an exciting investment opportunity
for Morgan Stanley that we believe can help deliver attractive returns
both for our shareholders and the environment. NGEN's experienced team
of investment professionals has an impressive history of identifying
companies that are developing and bringing to market innovative clean
technologies," said Jeff Holzschuh, Chairman of the Morgan Stanley
Environmental Committee. "And, we believe there will be an increasing
investment focus on these technologies in the years ahead as a result
of rising energy prices, natural resource constraints and acceptance
of climate changes as a global challenge."

Jim Butcher, Director of Morgan Stanley's Office of the
Environment, said, "The investment in NGEN builds on the actions that
Morgan Stanley has taken in recent years to promote innovative
solutions to environmental challenges, including the recent launch of
the Morgan Stanley Carbon Bank to assist clients seeking to become
carbon neutral. We are committed to considering environmental issues
in all aspects of our business and assisting our clients as they do
the same, and we believe this investment will allow us to leverage
NGEN's expertise in Morgan Stanley's own advisory work."

Morgan Stanley's Commitment to Addressing Environmental Challenges

Morgan Stanley believes that leading financial institutions and
the global capital markets have important roles to play in addressing
the challenges facing the environment. In addition to this most recent
investment in NGEN Partners, Morgan Stanley also has:

-- Launched the Morgan Stanley Carbon Bank to assist clients
seeking to become carbon neutral. Offered in conjunction with
Det Norske Veritas (DNV), a leading international provider of
emissions data certification, it is the market's first broadly
offered service providing integrated carbon verification and
offsetting capabilities based on the highest recognized
international standards.

-- Committed to invest approximately $3 billion in initiatives
related to greenhouse gas emission reductions over five years.

-- Invested in several companies in the clean energy space
including companies in the solar and smart grid sectors.

-- Done extensive energy efficiency and greenhouse gas reductions
to date, including committing to reduce greenhouse gas
emissions by 7-10 percent below 2006 levels by 2012 through
new green buildings and additional energy use improvements.

-- Committed to being globally carbon neutral by 2008 by
offsetting the greenhouse gases emitted from its worldwide
offices and employee business travel through the purchase of
carbon credits, which meet the standards of the Kyoto
Protocol.

Morgan Stanley is a leading global financial services firm
providing a wide range of investment banking, securities, investment
management and wealth management services. The Firm's employees serve
clients worldwide including corporations, governments, institutions
and individuals from more than 600 offices in 33 countries. For
further information about Morgan Stanley, please visit
www.morganstanley.com.

Morgan Stanley
Media Relations:
Jennifer Sala, 212-762-6885

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