ITG Reviewing Hoenig Loss From Unauthorized Trading

New York, May 9, 2002 — Investment Technology Group, Inc. (NYSE: ITG), a leading provider of technology-based equity trading services, today said that it is reviewing disclosures made by Hoenig Group Inc. (“Hoenig”) (Nasdq: HOEN) of unauthorized trading by a former employee in Hoenig's United Kingdom subsidiary. Hoenig has advised ITG that it is investigating the activities. Hoenig stated that it has incurred a loss of approximately $7.1 million, and that it is exploring various remedies to try to mitigate the loss.

ITG announced on February 28, 2002, that it had signed an agreement under which ITG would acquire Hoenig for approximately $115 million. ITG has commenced additional due diligence to assess what impact, if any, these activities and the related loss may have on Hoenig and the acquisition.

About ITG

ITG is headquartered in New York with offices in Boston, Los Angeles, Dublin, Hong Kong, London, Melbourne, Sydney, Tel Aviv and Toronto. As a leading provider of technology-based equity-trading services and transaction research to institutional investors and brokers, ITG services help clients to access liquidity, execute trades more efficiently, and make better trading decisions. ITG generates superior trading results for its clients through three lines of business. POSIT®, the world's largest equity matching system, allows clients to trade confidentially. The Electronic Trading Desk is recognized as one of the leading program trading operations in the U.S. ITG's leading-edge client site products allow users to implement their own trading strategies by providing direct electronic access to most sources of market liquidity. For additional information, visit

In addition to historical information, this press release may contain "forward-looking" statements, as defined in the Private Securities Litigation Reform Act of 1995, that reflect management's expectations for the future. These forward-looking statements involve risks and uncertainties, including the risk that conditions to the closing of the Hoenig transaction described herein will not be satisfied and the sale will not be completed. These risks and uncertainties are in addition to those set forth in the Company's periodic reports and other filings with the Securities and Exchange Commission. Forward-looking statements reflect the Company's current views with respect to future events. Actual events and results may vary materially and adversely from those anticipated, believed, estimated or otherwise indicated.

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