JPMorgan Launches the Corporate Emerging Markets Bond Index

JPMorgan Launches the Corporate Emerging Markets Bond Index, CEMBI

       The Global Corporate Benchmark is the Latest Addition To
               JPMorgan's Family of Fixed Income Indices

    NEW YORK--(BUSINESS WIRE)--Nov. 8, 2007--JPMorgan today announced
the introduction of its Corporate Emerging Markets Bond Index (CEMBI),
a global, liquid corporate emerging markets benchmark that tracks
U.S.-denominated corporate bonds issued by emerging markets entities.
The CEMBI is the first in a series of corporate emerging markets
indices JPMorgan plans to introduce.

    Today's launch also includes the first hybrid index in the
JPMorgan emerging markets fixed income family - the CEMBI HYBRID,
which integrates corporates and sovereigns. The CEMBI HYBRID will
incorporate the newly created CEMBI and the widely used EMBI Global.

    The corporate CEMBI is a liquid basket of emerging markets
corporate issues which include approximately 80 bonds, representing 60
issuers and 16 countries (as of Oct 31, 2007). The CEMBI has strict
liquidity criteria for inclusion in order to provide replicability,
tradability, robust pricing and data integrity. The CEMBI BROAD, which
JPMorgan plans to launch in coming months, will be more comprehensive
and will include smaller issues to cover a wider array of corporate
bonds. The minimum amount outstanding required will likely be $350mm
for the CEMBI BROAD compared to $500 million for the replicable and
tradable CEMBI. There will also be a diversified version for both
series to provide a well-distributed, more balanced weightings for
countries included in the index.

    "We created the CEMBI in response to the rapid increase of
corporate issuance and the need for a diligently managed global
corporate index", said Gloria M. Kim, head of JPMorgan's Global Bond
Index Group. "It continues a legacy of premier index products
developed by JPMorgan and underscores the firm's dedication to
developing emerging markets."

    One key feature of the CEMBI is the liquidity of the underlying
basket. The CEMBI will allow JPMorgan to provide a full range of
tradeable products, starting with total return swaps and funded
certificates. JPMorgan's market-making on the CEMBI will be a tool for
investors to take directional views or implement relative value
strategies in the emerging markets corporate space.

    Annual external debt issuance from emerging market corporates has
risen from $21 billion in 2002 to $115 billion in 2006 and has already
exceeded $140 billion this year. "This market is growing rapidly and
generating significant interest from investors, both from traditional
emerging market funds and from dedicated corporate credit investors
that may be entering emerging markets for the first time," said
Victoria Miles co-head of Emerging Markets Corporate Credit Research
at JPMorgan.

    "This index will play a key role in the further development of the
asset class, providing investors with an important tool for
benchmarking and assessing relative value across global credit
markets," concluded Warren Mar, co-head of Emerging Markets Corporate
Credit Research at JPMorgan.

    Daily historical index levels and statistics are available from
December 31, 2001. Clients and investors can access index levels and
statistics for the CEMBI on JPMorgan's client-only research website,
www.morganmarkets.com and on Bloomberg page, (JPMX).

Country criteria               Instrument criteria
INCLUDES Low or middle income  USD-denominated
 for 5 consecutive years, or
non-OECD country for 5         Includes issues with face amount
 consecutive yrs                greater than or equal to $500mm
------------------------------ ---------------------------------------
Excludes countries that are    Maturity greater than 5 yrs / 3 yrs
 High Income and OECD for 5     once in the index
 consecutive years
                               Daily available, verifiable prices and
                                cash flow
                               Two largest issues if there are more
                                than 2 names (fixed coupon bonds only)
------------------------------ ---------------------------------------

CEMBI Countries CEMBI    CEMBI        Sector      CEMBI      CEMBI
                       Diversified                         Diversified
     Asia       40.84    42.12     Banks          26.77      27.90
--------------- ----- ------------
China           3.10      4.32     Industrials    27.44      27.70
Hong Kong       16.77    14.32     Oil            16.27      13.25
India           2.23      3.11     Retail          0.89       0.84
Malaysia        3.67      5.12     Telecom        14.95      16.40
Singapore       13.61    13.19     Utilities       3.26       4.55
Taiwan          1.47      2.05     Metals         10.42       9.36

    Europe                            Rating      CEMBI      CEMBI
                28.59    23.95        Buckets              Diversified
--------------- ----- ------------
Kazakstan       4.81      6.26     Inv Grade      84.60      83.13
Russia          22.99    16.59     Non Inv Grade  15.40      16.87
                                   ------------- -------- ------------
Ukraine         0.79      1.10     BB             11.95      12.42
                                   B               1.99       2.41
 Latin America  28.41    30.92     Residual        1.46       2.04
--------------- ----- ------------
Brazil          14.68    13.86
                                   ------------- --------
Colombia                               CEMBI        %
                1.22      1.70                    Returns
                                   ------------- --------
Jamaica         1.46      2.04      Cumulative    68.11
Mexico          9.38     10.98     YTD (October)   4.12
Peru            1.67      2.33         2006        6.63
                                       2005        6.62
  Middle East   1.03      1.44         2004        9.77
--------------- ----- ------------
Israel          1.03      1.44         2003       11.88
                                       2002       15.64
                                   ------------- --------
    Africa      1.12      1.57
--------------- ----- ------------
Egypt            1.12     1.57

    About JPMorgan Chase & Co.

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    CONTACT: JPMorgan Chase & Co.
             Brian Marchiony, 212-270-2596