3 million from the fourth quarter of 2007

Beta is a measure of a funds sensitivity to market movements. Please consider the investment objectives, risks, charges and expenses of theFunds carefully before investing.The prospectus contains this and otherinformation about the Fund.To obtain a prospectus, contact your financialprofessional or download one at morganstanley .Please read the prospectuscarefully before investing.Morgan StanleyErica Platt, 212-762-6848Media Relations Copyright Business Wire 2009. - Net loss available to common shareholders (net loss) of $1.55 per share for2008 fourth quarter.- Net loss of $2.19 per share for the twelve months ended December 31, 2008.- Fourth quarter loan loss provision of $850 million (pre-tax), $170 millionin excess of charge-offs of $680 million.- Quarterly dividend reduced to $0.01 per share.- No proxy officer or executive officer bonuses for 2008.- Approximately $100 million of annual expense initiatives undertaken.- M&I announces $1.3 billion in new credit and 90-day foreclosure moratoriumsince receipt of TARP funds.MILWAUKEE, Jan. 15 /PRNewswire-FirstCall/ Marshall & Ilsley Corporation(NYSE: MI) (M&I) today reported a 2008 fourth quarter net loss of $403.9million, or $1.55 per share, as compared to a loss from continuing operationsof $24.5 million, or $0.09 per share, in the fourth quarter of 2007. TheCorporation also reported a net loss of $568.3 million, or $2.19 per share, ascompared to income from continuing operations of $496.9 million, or $1.87 pershare, for the twelve months ended December 31, 2008 and 2007, respectively."Our fourth quarter and year-end results reflect the extent to which thecurrent recession has had an impact on our economy," said Mark Furlong,president and CEO, Marshall & Ilsley Corporation."Although these aredisappointing results, our excess capital and strong levels of reserves willkeep us ahead of the industry's challenges." 2008 Fourth Quarter Key Performance HighlightsOn an acquisition-adjusted basis, average loans and leases increased 7percent over the fourth quarter of 2007.Net interest margin rose 12 basis points on a linked quarter basis andwas up 5 basis points from the fourth quarter of 2007.Net interest income increased 10 percent compared to the same periodlast year.Adjusted efficiency ratio was 49.7 percent, an improvement of 2.8percentage points from the same period last year.Tangible equity ratio was 8.9 percent at December 31, 2008.Loan and Core Deposit GrowthM&I's average loans and leases totaled $50.2 billion for the fourth quarter of2008, reflecting an acquisition-adjusted increase of $3.2 billion or 7 percentcompared to the fourth quarter of 2007.The Corporation's average bank-issued deposits totaled $28.3 billion for thefourth quarter of 2008, an acquisition-adjusted decline of $1.1 billion or 4percent versus the fourth quarter of 2007. The net interest margin was 3.18 percent, up 12 basis points on alinked quarter basis, and up 5 basis points from the same period last year.For the twelve months ended December 31, 2008, M&I's net interest income (FTE)was $1,808.6 million, increasing $164.2 million or 10 percent versus thetwelve months ended December 31, 2007.Asset QualityM&I's construction and development portfolio continued to experiencedeterioration in the estimated collateral values and repayment abilities ofsome of the Corporation's customers, particularly among small and mid-sizedlocal residential developers. M&I's provision for loan and lease losses was$850 million in the fourth quarter of 2008 Net charge-offs for the periodwere $680 million.

At December 31, 2008 and 2007, the allowance for loan andlease losses was 2.41 percent and 1.07 percent, respectively, of total loansand leases. Non-performing loans and leases were 3.62 percent of total loansand leases at December 31, 2008, compared to 2.00 percent at December 31,2007.Renegotiated loans were $270.3 million in the fourth quarter of 2008up$180.8 million from the prior quarter. M&I's homeowner assistance program,which included a 90-day foreclosure moratorium on all owner-occupiedresidential loans, contributed to the higher level of renegotiated loans.Non-Interest IncomeThe Corporation's non-interest income was $166.1 million for the fourthquarter of 2008, a decrease of $37.6 million or 18 percent from the fourthquarter of 2007. Wealth Management total revenue was $64.2 million for thecurrent quarter, falling $5.9 million or 8 percent over the fourth quarter of2007. The primary drivers of the decline were overall equity market declinesand the shifting of higher fee assets into cash equivalents. Assets underManagement and Assets under Administration were $30.4 billion and $104.4billion, respectively, at December 31, 2008, compared to $25.7 billion and$105.7 billion, respectively, at December 31, 2007. The Corporation's servicecharges on deposits were $35.9 million for the fourth quarter of 2008, anincrease of $3.9 million or 12 percent from the same period last year.

For thetwelve months ended December 31, 2008, M&I's non-interest income was $748.1million, increasing $19.0 million or 3 percent versus the twelve months endedDecember 31, 2007.Non-Interest ExpenseM&I's non-interest expense was $402.8 million for the fourth quarter of 2008,a decrease of $43.3 million from the fourth quarter of 2007. After adjustingfor certain non-recurring items that include a severance accrual related tothe Corporation's expense initiatives, certain credit-related expenses, andother market disruption-related expenses, M&I's efficiency ratio was 49.7percent in the current quarteran improvement of 2.8 percentage points fromthe same period last year. For the twelve months ended December 31, 2008,M&I's non-interest expense was $1,459.0 million, increasing $144.1 million or11 percent versus the twelve months ended December 31, 2007.Balance Sheet and Capital ManagementThe Corporation's consolidated assets and total shareholders' equity were$63.8 billion and $7.7 billion, respectively, at December 31, 2008, comparedto $59.8 billion and $7.0 billion, respectively, at December 31, 2007. Therewere 265.3 million common shares outstanding at December 31, 2008, compared to263.5 million outstanding at December 31, 2007.

M&I has a Stock RepurchaseProgram authorization under which up to 12 million shares of the Corporation'scommon stock can be repurchased annually. In the fourth quarter of 2008, M&Idid not repurchase any shares. The Corporation's tangible equity ratio was 8.9percent at December 31, 2008.Recent EventsThe Corporation has announced the following actions to strengthen its balancesheet in light of the nation's rapid decline into recession and the lack ofclarity surrounding the future of the economy.Dividend ReductionMarshall & Ilsley Corporation announced that the quarterly cash dividend hasbeen reduced to $0.01 per share.The next regular dividend declaration dateis in February 2009.Expense InitiativesM&I also announced the following expense initiatives:Executive/Board CompensationProxy officers and all other executive officers will receive nobonusesfor 2008.Total 2008 annual cash compensation for proxy officers as a group willdecline approximately 26 percent from 2007, and a total of 56 percentfor the two-year period since 2006.Proxy officer and all executive officer salaries will be frozen in2009and a broad salary freeze has been instituted for other seniorofficers.The Board of Directors has reduced the annual cash retainer fordirectors by 25 percent.The Corporation has also decreased awards and benefits under a varietyof other programs for employees.Reduction in ForceThe Corporation will eliminate approximately 830 positions, or 8percentof its workforce.The reductions include positions already eliminated in 2008, theelimination of open positions, staff reductions, and attrition.Approximately 80 percent of the staff reductions are complete. Theremaining 20 percent are related to operational efficiencies and areexpected to be achieved by year-end 2009.The Corporation recorded a pre-tax charge of approximately $9 millioninthe fourth quarter of 2008 in connection with the costs related to thereduction in force.Other ExpensesThe Corporation is also cutting other expenses, which aggregate on anannualized, pre-tax basis approximately $30 million.The expense initiatives outlined above are expected to reduce theCorporation's expenses on an annualized, pre-tax basis by approximately $100million, or $0.23 per share after-tax."We believe the dividend reduction, the aggressive steps to address creditquality, and the expense initiatives will allow us to maintain a strongcapital base as we move through what is looking to be the most severe economicdownturn since the Great Depression," continued Furlong. We expectthat in the long run the difficult decisions we are announcing today will laythe foundation for a strong and profitable future for M&I."TARP FundsOn November 14, 2008, M&I issued 1.715 million shares of its preferred stockto the U.S. Treasury in return for $1.715 billion in cash pursuant to theTreasury's Capital Purchase Program.