New York, NY, July 30, 2004 - MacKay Shields today announced that the high yield/global high yield team at Pareto Partners headed by Dan Roberts will join MacKay Shields, significantly expanding MacKay Shields’ high yield investment management capability.  Mr. Roberts will join MacKay Shields as a Senior Managing Director, with Michael Kimble, Taylor Wagenseil and Louis Cohen joining as Directors in the firm.  Pareto Partners has agreed to work with MacKay Shields in transitioning clients that are currently managed by Mr. Roberts and his team.  Mr. Roberts and his team will continue to manage and service their clients with the same investment approach they used at Pareto Partners.

“In bringing Dan and his group on board, we are underscoring our commitment to and excellence in the high yield business,” stated Ravi Akhoury, Chairman and CEO of MacKay Shields.  “These are experienced professionals of proven distinction who will complement the outstanding MacKay Shields high yield team headed by Don Morgan.”

All clients of MacKay Shields who are currently managed and serviced by Mr. Morgan will continue to be managed by his team and receive the same high level of performance and service.

MacKay Shields has over $15 billion in high yield assets under management and, with the surge in high yield assets in recent years, is pleased to offer its clients two strong complementary teams in this important asset class.  This will increase MacKay Shields’ capacity and depth and allow the firm to continue to grow and deliver strong investment performance in high yield.

MacKay Shields currently manages $36 billion in assets.  Its clients include pension funds and other institutional investors in the US and overseas.  MacKay Shields is an affiliate of New York Life Investment Management LLC.

With more than $180 billion in assets under management as of June 30, 2004, New York Life Investment Management LLC and its affiliates provide a wide range of investment services to institutional, individual, corporate, public, and Taft-Hartley clients, including institutional asset management, retail investments, retirement services, guaranteed products, real estate investments, and alternative investments.