EXHIBIT 99.1 PRESS RELEASE

Exhibit 99.1

Merrill Lynch Reports Record Net Revenues of $8.2 Billion for the
Second Quarter of 2006;
Second Quarter Diluted EPS of $1.63, up 43% from 2005;
Net Earnings of $1.6 Billion, up 44%

NEW YORK--(BUSINESS WIRE)--July 18, 2006--Merrill Lynch (NYSE:MER)
today reported record quarterly net revenues of $8.2 billion for the
second quarter of 2006, up 29% from the prior-year quarter and 2% from
the 2006 first quarter. Net revenues increased both sequentially and
year-over-year in all three business segments.
Second quarter 2006 net earnings were $1.6 billion and $1.63 per
diluted share, up 44% and 43%, respectively, from the year-ago
quarter. Net earnings and EPS were 1% lower than the $1.7 billion and
$1.65 per diluted share reported for the first quarter of 2006,
excluding the impact in that period of $1.2 billion, after taxes, of
one-time, non-cash compensation expenses. Pre-tax earnings of $2.3
billion were up 47% from the prior-year quarter and essentially
unchanged from the first quarter of 2006, on the same basis. The
pre-tax profit margin for the 2006 second quarter was 28.8%, up 3.6
percentage points from the prior-year period, and the annualized
return on common equity was 18.6%, up 4.3 percentage points. At the
end of the second quarter, book value per share was $37.31, up 11%
from the end of second quarter of 2005 and essentially unchanged
sequentially, even as Merrill Lynch repurchased $3 billion in common
stock during the quarter.


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"Merrill Lynch continued to perform well in the second quarter
despite uncertainty in the markets," said Stan O'Neal, chairman and
chief executive officer of Merrill Lynch. "All three of our business
segments delivered substantial year-over-year and sequential top-line
growth, underscoring the importance of the investments we have been
making to diversify and expand our capabilities and geographic
footprints. We continue to invest in talent and technology to build
further capabilities in various areas. These areas--along with our
continued focus on disciplined execution throughout the
organization--are critical to our future growth and our ability to
perform in more uncertain markets."
Net revenues for the first six months of 2006 also set a record,
at $16.1 billion, up 28% from the first half of 2005. Net earnings of
$2.1 billion for the first six months include $1.2 billion, after
taxes, of one-time compensation expenses incurred in the first quarter
of 2006. Excluding these one-time expenses, net earnings of $3.3
billion for the first six months of 2006 were up 40% from the
prior-year period. On the same basis, pre-tax earnings of $4.7 billion
increased 44% from the first six months of 2005, the first half
pre-tax profit margin was 29.2%, up 3.2 percentage points from the
first half of 2005, and the annualized return on average common equity
was 19.0%, up 4.1 percentage points from the 14.9% reported for the
first six months of 2005.

Business Segment Review:

The six-month comparisons in the following discussion of business
segment results exclude the impact of the $1.8 billion, pre-tax, in
one-time compensation expenses incurred in the first quarter of 2006.
These one-time compensation expenses were recorded in the first
quarter in the business segments as follows: $1.4 billion in Global
Markets and Investment Banking, $281 million in Global Private Client
and $109 million in Merrill Lynch Investment Managers. A
reconciliation of segment results with these amounts appear on
Attachment IV to this release.


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Global Markets and Investment Banking (GMI)
-------------------------------------------

GMI generated record second quarter 2006 net revenues despite more
challenging market conditions during the period, with a particularly
strong performance in private equity, as well as principal investing
and investment banking, demonstrating the cumulative benefits of
numerous targeted investments to grow and diversify revenues globally.

-- GMI's second quarter 2006 net revenues were a record $4.6
billion, up 33% from the year-ago quarter. Compared with the
second quarter of 2005, net revenues increased in all three
major business lines:

-- Equity Markets net revenues increased 84%, including
record revenues from private equity investments, which
were up nearly threefold from the prior-year period.
Equity-linked and cash equity trading revenues also grew
strongly, and equity financing and services revenues set a
new record.

-- Debt Markets net revenues increased 7%, driven primarily
by record revenues in the principal investing and secured
finance business and increased revenues from foreign
exchange.

-- Investment Banking net revenues were 21% higher, and a
record for a second fiscal quarter, largely due to
increases in merger and acquisition advisory and equity
origination revenues, partially offset by a slight decline
in debt origination revenues. Investment Banking net
revenues for the first six months of 2006 set a new record
for a half-year period.

Pre-tax earnings for GMI were $1.5 billion, up 36% from the
year-ago quarter, driven by strong revenue growth and
operating leverage. The second quarter 2006 pre-tax profit
margin was 32.6%.

-- GMI's year-to-date net revenues were a record $9.1 billion, up
35% from the first half of 2005, driven by strong revenue
growth across most business lines. Pre-tax earnings were $3.1
billion, up 38% from the prior year period. GMI's year-to-date
pre-tax profit margin was 33.7%, compared with 32.9% in the
first half of 2005, demonstrating continued operating leverage
in the segment even as investments are being made in the
business.

Global Private Client (GPC)
---------------------------

In the second quarter of 2006, GPC achieved record pre-tax
earnings and pre-tax profit margin, demonstrating the benefits of
industry-leading scale and operating leverage, despite a market
environment that became less favorable midway through the period.

-- GPC's second quarter 2006 net revenues were $3.0 billion, up
19% from the year-ago quarter. The increase was primarily
driven by fee-based revenues, including record fees from
annuitized-revenue products, record net interest profit, and
higher transaction and origination revenues. GPC's second
quarter pre-tax earnings of $701 million increased 53% from
the year-ago quarter, as the pre-tax profit margin of 23.0%
improved by more than 5 percentage points, demonstrating the
operating leverage inherent in GPC's scale platform.


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-- Turnover among Financial Advisors (FAs), particularly
top-producing FAs, remained near historical lows. FA headcount
reached 15,520 at quarter-end, as GPC continued to
successfully employ its disciplined strategy of actively
recruiting and training FAs.

-- Total client assets in GPC accounts increased 11% from the
year-ago quarter, to approximately $1.5 trillion. Second
quarter net inflows of client assets into annuitized-revenue
products were $10 billion.

-- For the first six months of 2006, GPC's net revenues increased
16% to $6.0 billion, driven by growth in nearly every major
revenue category. Pre-tax earnings increased 39% to $1.3
billion, demonstrating the continued operating discipline in
this business. GPC's year-to-date pre-tax profit margin was
22.5%, up 3.8 percentage points from 18.7% in the first half
of 2005.

Merrill Lynch Investment Managers (MLIM)
----------------------------------------

MLIM continued its positive momentum during the second quarter of
2006, as strong relative investment performance drove solid net flows
despite a market environment that became less favorable midway through
the period. MLIM also remained focused on broadening distribution and
maintaining operating discipline, while working toward completion of
the pending merger with BlackRock, Inc. (NYSE: BLK).

-- MLIM's second quarter 2006 net revenues were $630 million, up
56% from the 2005 second quarter. The year-over-year increase
in net revenues was driven principally by net inflows and
higher long-term asset values. Pre-tax earnings were $240
million, nearly double those of the year-ago quarter, due to
significantly higher net revenues and strong operating
leverage, which was enhanced by net benefits related to the
pending merger. MLIM's pre-tax profit margin for the quarter
was 38.1%.

-- Firmwide assets under management totaled $589 billion at the
end of the second quarter, up 23% from a year ago. Net inflows
for the quarter were $8 billion, primarily driven by the
EMEA Pacific retail business from a channel perspective and by
equity and fixed income from a product perspective.

-- MLIM's net revenues for the first half of 2006 increased 47%
over the first half of 2005, to $1.2 billion, driven by strong
net sales and asset appreciation. Pre-tax earnings were up 86%
to $462 million, and the year-to-date pre-tax profit margin
was 38.5%, up over 8 percentage points from 30.3% in the first
half of 2005, due to strong operating leverage arising from
expense discipline.


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Compensation Expenses
---------------------

Excluding the one-time compensation expenses in the first quarter,
year-to-date compensation and benefits expenses were 49.4% of net
revenues, compared to 49.7% for the prior-year period.

Non-compensation Expenses
-------------------------

Non-compensation expenses were $1.8 billion for the second quarter
of 2006, up 16% from the second quarter of 2005. Non-compensation
expenses as a percentage of net revenues were 22.4% in the 2006 second
quarter, down from 24.9% in the year-ago quarter. Details of the
significant changes in non-compensation expenses from the second
quarter of 2005 are as follows:

-- Communication and technology costs were $429 million, up 9%
due primarily to higher systems consulting costs related to
investments for growth, and higher market information and
communication costs.

-- Brokerage, clearing, and exchange fees were $253 million, up
17% due primarily to higher transaction volumes.

-- Occupancy costs and related depreciation were $249 million, up
10% due principally to higher office rental expenses.

-- Advertising and market development costs were $191 million, up
19% due primarily to higher travel expenses associated with
increased activity levels, and increased advertising costs.

-- Expenses of consolidated investments totaled $145 million, up
from $35 million due principally to increased expenses
associated with the related increase in revenues from
consolidated investments.

Total non-compensation expenses increased 13% sequentially,
largely due to increased minority interest associated with investment
gains and litigation provisions.

Income Taxes
------------

Merrill Lynch's effective tax rate was 30.5% for the second
quarter, bringing the year-to-date effective rate to 28.3%. Excluding
the one-time compensation expenses, Merrill Lynch's year-to-date
effective tax rate was 30.1%, up from 28.1% for the prior-year period.

Share Repurchases
-----------------

As part of its active management of equity capital, Merrill Lynch
repurchased 41.4 million shares of its common stock for $3.0 billion
during the second quarter. At quarter end, $2.3 billion of authorized
repurchase capacity remained of the $6 billion repurchase program
authorized in February 2006.


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Staffing
--------

Merrill Lynch's full-time employees totaled 56,000 at the end of
the second quarter of 2006, a net increase of 500 during the quarter.

* * * *

Jeff Edwards, senior vice president and chief financial officer,
will host a conference call today at 10:00 a.m. ET to discuss the
company's 2006 second quarter results. The conference call can be
accessed via a live audio webcast available through the Investor
Relations Web site at www.ir.ml.com or by dialing (888) 810-0245 (U.S.
callers) or (706) 634-0180 (non-U.S. callers). On-demand replay of the
webcast will be available from approximately 1:00 p.m. ET today at the
same Web address.

* * * *

Merrill Lynch is one of the world's leading wealth management,
capital markets and advisory companies with offices in 36 countries
and territories and total client assets of approximately $1.8
trillion. As an investment bank, it is a leading global trader and
underwriter of securities and derivatives across a broad range of
asset classes and serves as a strategic advisor to corporations,
governments, institutions, and individuals worldwide. Through Merrill
Lynch Investment Managers, the company is one of the world's largest
managers of financial assets. Firmwide, assets under management total
$589 billion. For more information on Merrill Lynch, please visit
www.ml.com.

* * * *

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Merrill Lynch may make forward-looking statements, including, for
example, statements about management expectations, strategic
objectives, growth opportunities, business prospects, investment
banking pipelines, anticipated financial results, the impact of off
balance sheet arrangements, significant contractual obligations,
anticipated results of litigation and regulatory investigations and
proceedings, and other similar matters. These forward-looking
statements are not statements of historical facts and represent only
Merrill Lynch's beliefs regarding future performance, which is
inherently uncertain. There are a variety of factors, many of which
are beyond Merrill Lynch's control, which affect the operations,
performance, business strategy and results and could cause its actual
results and experience to differ materially from the expectations and
objectives expressed in any forward-looking statements. These factors
include, but are not limited to, financial market volatility; actions
and initiatives taken by current and potential competitors; general
economic conditions; the effect of current, pending and future
legislation, regulation, and regulatory actions; and the other
additional factors described in the Risk Factors section of Merrill
Lynch's Annual Report on Form 10-K for the fiscal year ended December
30, 2005 and also disclosed from time to time in its subsequent
reports on Form 10-Q and 8-K, which are available on the Merrill Lynch
Investor Relations Web site at www.ir.ml.com and at the SEC's Web
site, www.sec.gov.
Accordingly, readers are cautioned not to place undue reliance on
forward-looking statements, which speak only as of the date on which
they are made. Merrill Lynch does not undertake to update
forward-looking statements to reflect the impact of circumstances or
events that arise after the date the forward-looking statements are
made. The reader should, however, consult any further disclosures
Merrill Lynch may make in its future filings of its reports on Form
10-K, Form 10-Q and Form 8-K.
Merrill Lynch may also, from time to time, disclose financial
information on a non-GAAP basis where management believes this
information will be valuable to investors in gauging the quality of
Merrill Lynch's financial performance and identifying trends.


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