Russell hires NE regional director to serve 401(k) market in alliance with The Principal® (Russell.com)

Russell hires NE regional director to serve 401(k) market in alliance with The Principal®

TACOMA, Wash. — April 8, 2003 — Russell has hired a Manhattan-based regional director in support of its growing two-year relationship with the Principal Financial Group®, a leader in offering 401k plans to employers, in defined contribution plan market. Matthew M. Russell, of Fairfield, Conn., joins the Russell firm this month, as regional director, Russell Investment Group. He works from Russell's New York office, 590 Madison Ave., and reports to Russell Investment Group's eastern division director, Fred Hanish.

Russell Investment Group is expanding its client service organization from two to four regional directors assigned specifically to the 401(k) business alliance with The Principal. Matthew Russell represents the third of these positions, and a fourth hiring is pending for the Southeast. Matthew Russell was previously vice president - sales manager for GoldK, LLC, of Waltham, Mass. Prior to 2000, he was senior vice president and senior trust officer with Columbus Circle Trust Company (PIMCO).

"We see a growing opportunity in our relationship with the Principal Financial Group as they help 401(k) plans offer multi-manager investments to plan participants," said Hanish. "Matt's expertise in the DC marketplace will allow us to develop deeper resources to serve this distribution and service relationship in the Northeast region."

In his new role, Matthew Russell will work with representatives of The Principal to offer Russell's multi-manager investments to financial intermediaries serving 401(k) plans. In a business alliance created in 2001, Russell teamed with The Principal for a full-service approach that allowed defined contribution plans to gain convenient and straight-forward access to Russell's diversified multi-manager funds.

According to Hanish, the multi-manager investment approach is gaining broader appeal in this service channel as DC plans and their participants seek a better way to address risk within their retirement plans.

"The investor mindset, especially among those with 401(k) plans, has shifted toward caution and diversification," said Hanish. "Our methods of objective research and careful blending of quality investment managers can offer an increased level of diversification for investors who have seen their retirement portfolios eroded by narrow market exposure."

About Frank Russell Company

Frank Russell Company, a global leader in multi-manager investment services, provides investment products and services in more than 35 countries. Russell manages more than $67 billion in assets and advises clients worldwide representing more than $1.6 trillion. Founded in 1936, Russell is a subsidiary of Northwestern Mutual and is headquartered in Tacoma, Wash., with additional offices in New York, Toronto, London, Paris, Singapore, Sydney, Auckland and Tokyo.

About the Principal Financial Group

The Principal Financial Group® (The Principal®)¹ is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance and mortgage banking through its diverse family of financial services companies. More employers choose the Principal Financial Group for their 401(k) plans than any other bank, mutual fund, or insurance company in the United States². A member of the Fortune 500, the Principal Financial Group has $111.1 billion in assets under management³ and serves some 13 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG. For more information, visit www.principal.com.

Frank Russell Company, a Washington, USA corporation, operates through subsidiaries worldwide.

Diversification does not assure a profit or guarantee against a loss in declining markets.

Russell Fund Distributors, Inc. is the distributor of Frank Russell Investment Company.

For complete information about Frank Russell Investment Company, including charges and expenses, you may obtain Prospectus by calling 1-800-832-6688. The Prospectus should be read carefully before an investment is made.

¹(1) "The Principal Financial Group" and "The Principal" are registered service marks of Principal Financial Services, Inc., a member of the Principal Financial Group.

²CFO Magazine, April/May 2002, based on total plans served in 2001 by insurance companies, banks and investment firms.

³As of December 31, 2002.