-Caveat Lector-

Morgan Stanley Exec Who Hired Clinton Resigns

New York, Feb.  16 (Bloomberg) -- Michael Rankowitz, the Morgan
Stanley Dean Witter & Co.  official who hired former President
Bill Clinton to speak and sparked a firestorm of criticism, has
resigned.

Clinton earlier this month spoke at a high-yield bond investor
conference in Boca Raton, Florida.  Rankowitz, 43, who became a
managing director in charge of high-yield bonds in October,
arranged the conference.

Morgan Stanley Chairman Philip Purcell told clients in an e- mail
message earlier this week that the largest U.S.  securities firm
``clearly made a mistake'' by hiring Clinton to speak.  Morgan
Stanley officials said there wasn't a connection between his
departure and the Clinton speech.

The Clinton incident ``had nothing to do with it,'' said Raymond
O'Rourke, a spokesman for Morgan Stanley.  ``He recognizes the
timing is unfortunate, but this is something he discussed a month
before the conference.''

Rankowitz's resignation follows the departure of his former
co-head of global high yield, Dwight Sipprelle, in October.
Sipprelle resigned shortly after executive changes that included
naming new managers of the firm's trading, research, investment-
banking and asset-management units.

Rankowitz, who had jointly managed the high-yield area, covering
sales, trading and research, took over as head when Sipprelle
left.

The Morgan Stanley conference drew a record number of attendees,
including treasurers, chief financial officers and chief
executives from companies that sell junk bonds, including Paxson
Communications Corp., Nextel Communications Inc.  and Northwest
Airlines Corp.


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