News release: Immediate
August 28, 1998

J.P. MORGAN DISCLOSES RUSSIAN EXPOSURE

J.P. Morgan said today that its exposure to the Russian
Federation at August 27 was approximately $160 million.
This comprises credit and settlement exposure to Russian
counterparties of $70 million, including the full notional
amount of foreign exchange contracts, and net trading assets
of $90 million.  In addition, Morgan has provided financing
to non-Russian institutional investors and investment funds
to invest in Russian assets.  These financings are
substantially supported by cash and U.S. Treasury
collateral.

J.P. Morgan also said that, because of unsettled financial
markets globally and notably events in Russia, trading
revenues (including trading-related net interest income) for
the quarter to date are approximately $300 million.  This
amount includes losses from write-downs of Russian trading
assets, partially offset by gains in other emerging markets,
and lower revenues from trading activities in developed
markets.