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E*TRADE FINANCIAL to Open New Financial Services Center in Chicago, Illinois

  Extending Its Center Infrastructure to Provide Customers With Information,
               Services and Support When and Where They Need It

    NEW YORK, Oct. 25 /PRNewswire-FirstCall/ -- E*TRADE FINANCIAL Corporation
(NYSE: ET) today announced the opening of its flagship retail financial
service center in Chicago, Illinois, marking the Company's tenth Center to
serve individual investors in the United States. The new 5,200 square foot
E*TRADE FINANCIAL Center in Chicago will provide customers with access to
comprehensive investing, banking and lending solutions and personalized
service from Relationship Managers and Investment Specialists licensed with
E*TRADE Securities LLC.
    On October 25, 2004, from 4:00 pm to 8:00 pm, E*TRADE FINANCIAL will host
the grand opening of the Chicago Financial Center at 125 South Wacker Drive.
Mitchell Caplan, CEO and Jarrett Lilien, President, E*TRADE FINANCIAL will be
available for interview, providing information and insight into the Company's
retail center expansion strategy and its investment offerings.
    "E*TRADE FINANCIAL is proud of the relationships we have forged with the
Chicago business and financial community," said Lou Klobuchar, Chief Brokerage
Officer and President, E*TRADE Securities.  "The opening of an E*TRADE
FINANCIAL retail center broadens our presence in Chicago by providing a
facility where investors can access banking, brokerage, and lending products
to help them reach their financial goals."
    At the Chicago E*TRADE FINANCIAL Center, customers will be able to open
brokerage and bank accounts, apply for mortgage and RV/Marine loans, make
brokerage deposits and learn more about investing options with the guidance of
Relationship Managers and Investment Specialists.  Internet access to
etrade.com is also available at the Center to those who want to learn more
about the investment, banking and lending products independently.  The E*TRADE
FINANCIAL Center will be open Monday-Friday, 8:00 am to 4:30 pm.
    E*TRADE FINANCIAL currently operates financial centers in Alpharetta, GA;
Beverly Hills, CA; Boston, MA; Chicago, IL; Costa Mesa, CA; Denver, CO; La
Jolla, CA; New York, NY; Orlando, FL; and San Francisco, CA.

    About E*TRADE FINANCIAL
    The E*TRADE FINANCIAL family of companies provide financial services
including brokerage, banking and lending for retail, corporate and
institutional customers.  Securities products and services are offered by
E*TRADE Securities LLC (Member NASD/SIPC).  Bank and lending products and
services are offered by E*TRADE Bank, a Federal savings bank, Member FDIC, or
its subsidiaries. Bank deposits are FDIC insured up to $100,000.  E*TRADE
Securities and E*TRADE Bank are separate but affiliated companies.

    Important Notice
    E*TRADE FINANCIAL and the E*TRADE FINANCIAL logo is a registered trademark
or trademark of E*TRADE FINANCIAL Corporation. The statements contained in
this news release that are forward-looking are based on current expectations
that are subject to a number of uncertainties and risks, and actual results
may differ materially. The uncertainties and risks include, but are not
limited to, changes in market activity, anticipated increases in the rate of
new customer acquisition, the conversion of new visitors to the site to
customers, the activity of customers and assets held at the institution,
seasonality, the development and enhancement of products and services,
competitive pressures (including price competition), system failures, economic
and political conditions, changes in consumer behavior and the introduction of
competing products having technological and/or other advantages. Further
information about these risks and uncertainties can be found in the
information included in the annual reports previously filed by E*TRADE Group,
Inc. or E*TRADE FINANCIAL Corporation with the SEC on Form 10-K (including
information under the caption "Risk Factors") and quarterly reports on Form
10-Q.

     E*TRADE FINANCIAL Media Contact
     Pam Erickson
     E*TRADE FINANCIAL Corporation
     617-296-6080
     pam.erickson@etrade.com

     E*TRADE FINANCIAL Investor Relations Contact
     Adam Townsend
     E*TRADE FINANCIAL Corporation
     703-236-8719
     adam.townsend@etrade.com


SOURCE E*TRADE FINANCIAL Corporation




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Related links:
  • http://www.etrade.com
    CONTACT:
    media, Pam Erickson, +1-617-296-6080, or
    pam.erickson@etrade.com, or investors, Adam Townsend,
    +1-703-236-8719, or adam.townsend@etrade.com, both of E*TRADE
    FINANCIAL Corporation