Janus Announces Fourth Quarter and Year-End 2006 Results

Fourth quarter earnings of $0.19 per diluted share and Full year earnings of $0.66 per diluted share ------------------------------------------------------ Long-term net outflows of $0.7 billion for the quarter and Long-term net inflows of $2.3 billion for the year ------------------------------------------------- More than 70% of retail funds outperformed their Lipper peer group medians for 3 and 5 years (1) ------------------------------------------------- $125 million of stock buybacks during the fourth quarter and $493 million for the year; outstanding shares reduced by 10.4% during 2006

Company Release - 1/25/2007 8:00 AM ET

DENVER--(BUSINESS WIRE)--

Janus Capital Group Inc. (NYSE: JNS) today reported fourth quarter net income of $37.7 million, or $0.19 per diluted share, compared with net income of $29.5 million, or $0.15 per diluted share, in the third quarter 2006. For the full year 2006, net income totaled $133.6 million, or $0.66 per diluted share, compared with $87.8 million, or $0.40 per diluted share for 2005. The company's investment management operating margins for the fourth quarter 2006 were 25.6% compared with 24.9% for the third quarter 2006. For the entire year, Janus' investment management operating margins were 25.5% compared with 22.3% for 2005.

Beginning in the first quarter 2006, Janus reported only GAAP results. For informational purposes, Janus previously disclosed adjusted earnings per diluted share of $0.52 and adjusted investment management operating margins of 24.3% for the full year 2005.

Flows and Assets Under Management

Average assets under management during the fourth quarter increased 7.8% to $165.1 billion compared with $153.2 billion during the third quarter 2006. At December 31, 2006, the company's total assets under management were $167.7 billion compared with $158.3 billion at September 30, 2006. The increase in assets at the end of the fourth quarter reflects $10.6 billion in market appreciation and fund performance, money market net outflows of $0.5 billion and long-term net outflows of $0.7 billion. Fourth quarter long-term net outflows include $3.2 billion of Janus legacy subadvised mandate redemptions. Company-wide long-term net inflows were $2.3 billion for 2006, the second consecutive year of positive long-term net flows.

Janus' INTECH subsidiary had long-term net inflows of $3.6 billion in the fourth quarter compared with long-term net inflows of $1.7 billion in the third quarter 2006. Full year 2006 flows totaled $12.0 billion. Excluding INTECH, Janus' long-term net outflows totaled $4.3 billion in the fourth quarter 2006 versus long-term net outflows of $1.8 billion in the third quarter 2006. Full year 2006 outflows totaled $9.7 billion and included more than $4 billion of previously announced subadvisory redemptions.

"Generating firmwide positive flows for a second year in a row was another big step forward for Janus, and we're eager to build on that momentum in 2007," said CEO Gary Black. "Despite losing some large subadvised accounts last year, we're pleased to see positive net flows from our broker-dealer and retail supermarket sales as well as our international and institutional businesses."

Investment Management

Janus' relative investment management performance remained strong during the fourth quarter, with approximately 63%, 73% and 72% of the funds in the company's primary retail fund family, Janus Investment Fund (JIF), in the top half of their Lipper categories on a one-, three- and five-year total-return basis, respectively, at December 31, 2006. (Detailed Lipper rankings and performance data for all JIF funds are on pages 10-12.)

"Our focus is on delivering consistently strong results, so we're proud that more than 70% of our funds again beat their peers during the last three- and five-year periods," Black said. "We're especially encouraged that the performance of our flagship funds improved significantly last year. At the end of 2006, Janus Fund was back in the top two Lipper quartiles on a 1-, 3-, 5- and 10-year total-return basis. Meanwhile, Janus Worldwide Fund finished the year in the 56th Lipper percentile on a 1-year total-return basis, up from the 83rd percentile at the end of September 2006."

Financial Discussion

Financial Highlights
(dollars in millions, except per share data or as noted)

                               Three Months Ended      Year Ended
                               ------------------  -------------------
                               Dec. 31, Sept. 30,  Dec. 31,  Dec. 31,
                                2006      2006      2006      2005
                               -------- ---------  -------- ----------


Investment Management Segment
------------------------------
Average Assets (billions)       $165.1    $153.2    $156.7     $135.2
Ending AUM (billions)           $167.7    $158.3    $167.7     $148.5
Revenues                        $241.2    $229.0    $935.8     $868.3
Operating Expenses              $179.5    $172.0    $696.9     $675.1
Operating Income                 $61.7     $57.0    $238.9     $193.2
Operating Margin                  25.6%     24.9%     25.5%      22.3%

Printing and Fulfillment
 Operating Loss                  $(2.4)    $(5.7)   $(15.9)    $(35.3)

Consolidated Net Income          $37.7     $29.5    $133.6      $87.8
Diluted Earnings per Share       $0.19     $0.15     $0.66      $0.40
Shares Repurchased                 6.1       7.7      24.8       20.3
Cost of Shares Repurchased      $124.9    $138.1    $492.9     $292.6

Investment Management Segment

Fourth quarter revenues of $241.2 million were up from $229.0 million in the previous quarter as a result of a 7.8% increase in average assets under management that was partially offset by a higher proportion of lower-yielding INTECH products. Fourth quarter 2006 operating expenses increased from the previous quarter primarily due to the net items described below as well as higher compensation and asset-based distribution expenses. Compensation included higher bonus accruals (both Janus and INTECH) and increased fund-performance-driven incentive compensation. In addition, as a result of adopting a new investment team compensation plan that will be in effect for 2007, a one-time charge of $2.0 million of incentive compensation was recorded in the fourth quarter. In the new plan, portfolio manager compensation continues to be driven primarily by long-term investment performance, but the aggregate level of compensation is tied to the company's investment management fees.

Fourth quarter operating expenses also include a net benefit of $1.6 million, representing insurance recoveries for legal fees incurred in prior periods and fund proxy costs, while third quarter 2006 included a net expense of $9.5 million resulting from impairment charges, certain litigation fees and a decline in long-term compensation expenses.

Printing and Fulfillment Segment

Janus' printing business, Rapid Solutions Group (RSG), reported an operating loss of $2.4 million in the fourth quarter of 2006. The improved results reflect higher seasonal production volume at RSG.

Capital and Liquidity

At December 31, 2006, Janus had stockholders' equity of $2.3 billion, cash and investments of $732.8 million and $537.2 million of outstanding debt. During the fourth quarter, $113.1 million of debt matured and was repaid.

As part of its capital and liquidity management, Janus reduced its outstanding shares by 2.9% during the fourth quarter by repurchasing 6.1 million shares of its common stock at an average price of $20.50 per share and a total cost of $124.9 million. For the year, Janus has repurchased 24.8 million shares of its common stock at an average price of $19.85 per share and a total cost of $492.9 million, reducing shares outstanding by 10.4%. On January 23, 2007, the Janus Board of Directors approved a new $500 million stock repurchase program to begin when the current authorization is completed. At December 31, 2006, $130.9 million was available for repurchase under the currently authorized program.

Fourth Quarter 2006 Earnings Call Information

Janus Capital Group will discuss its results during a conference call on Thursday, January 25 at 10 a.m. Eastern Standard Time. The call-in number will be 877-301-7574. Anyone outside the U.S. or Canada should call 706-643-3623. The slides used during the presentation will be available in the investor relations section of the Janus Capital Group Web site (www.janus.com/ir) approximately one hour prior to the call. For those unable to join the conference call at the scheduled time, an audio replay will be available on www.janus.com/ir.

About Janus Capital Group Inc.

Founded in 1969, Denver-based Janus Capital Group Inc. (Janus) is a recognized leader of growth and risk-managed investment strategies. Our commitment to deliver for investors is rooted in our research-intensive approach and relentless passion to gain a competitive edge.

At the end of December 2006, Janus managed $167.7 billion in assets for more than four million shareholders, clients and institutions around the globe. Outside the U.S., Janus has offices in London, Milan, Tokyo and Hong Kong. Janus Capital Group consists of Janus Capital Management LLC, Enhanced Investment Technologies, LLC (INTECH) and Capital Group Partners, Inc. (doing business as Rapid Solutions Group). In addition, Janus Capital Group owns 30% of Perkins, Wolf, McDonnell and Company, LLC.

Please consider the charges, risks, expenses and investment objectives carefully before investing. For a prospectus containing this and other information, please call Janus at 1-800-525-3713 or download the file from www.janus.com. Read it carefully before you invest or send money.

Data presented reflects past performance, which is no guarantee of future results. Rankings referenced exclude money markets.

Funds distributed by Janus Distributors LLC (1/07).

This press release includes statements concerning potential future events involving Janus Capital Group Inc. that could differ materially from the events that actually occur. The differences could be caused by a number of factors including those factors identified in Janus' Annual Report on Form 10-K for the year ended December 31, 2005, on file with the Securities and Exchange Commission (Commission file no. 001-15253), including those that appear under headings such as "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations." Many of these factors are beyond the control of the Company and its management. Any forward-looking statements contained in this release are as of the date on which such statements were made. The Company assumes no duty to update them, even if experience, unexpected events, or future changes make it clear that any projected results expressed or implied therein will not be realized.

(1) Detailed Lipper rankings and performance data for all JIF funds are on pages 10-12.

                       JANUS CAPITAL GROUP INC.
             UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
             (dollars in millions, except per share data)

                                Three Months Ended      Year Ended
                                ------------------  ------------------
                                Dec. 31, Sept. 30,  Dec. 31, Dec. 31,
                                 2006      2006      2006      2005
                                -------- ---------  -------- ---------
Investment Management Revenues:
 Investment management fees      $194.1    $183.5    $750.2    $673.1
 Performance fees                   2.4       4.0      14.9      26.8
 Shareowner servicing fees and
  other                            44.7      41.5     170.7     168.4
                                -------- ---------  -------- ---------
  Total                           241.2     229.0     935.8     868.3
                                -------- ---------  -------- ---------

Investment Management Operating
 Expenses:
 Employee compensation and
  benefits                         82.9      70.7     315.2     299.5
 Long-term incentive
  compensation                     20.7      17.0      82.7      75.1
 Marketing and advertising          8.6       6.6      28.3      30.4
 Distribution                      30.1      26.1     110.2     102.9
 Depreciation and amortization      7.8       7.6      32.0      35.9
 General, administrative and
  occupancy                        33.0      33.5     131.6     135.1
 Restructuring and impairments      0.5      10.5      11.0       5.5
 Mutual fund investigation
  recoveries, net of charges       (4.1)        -     (14.1)     (9.3)
                                -------- ---------  -------- ---------
  Total                           179.5     172.0     696.9     675.1
                                -------- ---------  -------- ---------

Investment Management Operating
 Income                            61.7      57.0     238.9     193.2

Printing and Fulfillment
 Segment:
 Revenue                           24.7      21.1      90.9      84.8
 Operating expenses                25.1      24.8      98.9      92.2
 Depreciation and amortization      2.0       2.0       7.9       7.9
 Restructuring and impairments        -         -         -      20.0
                                -------- ---------  -------- ---------
Printing and Fulfillment
 Operating Loss                    (2.4)     (5.7)    (15.9)    (35.3)

Interest expense                  (10.0)     (8.1)    (32.3)    (28.6)
Other, net                         14.0       8.6      39.4      39.3
Income tax provision              (21.8)    (18.4)    (81.9)    (67.9)
Equity in earnings of
 unconsolidated affiliate           1.7       1.7       7.1       7.1
Minority interest in
 consolidated earnings             (5.5)     (5.6)    (21.7)    (20.0)
                                -------- ---------  -------- ---------

Net Income                        $37.7     $29.5    $133.6     $87.8
                                ======== =========  ======== =========

Basic Earnings per Share
 Weighted average shares
  outstanding (in millions)       193.6     201.0     202.4     218.6
 Basic earnings per share         $0.19     $0.15     $0.66     $0.40

Diluted Earnings per Share
 Weighted average shares
  outstanding (in millions)       196.0     202.2     203.5     219.1
 Diluted earnings per share       $0.19     $0.15     $0.66     $0.40

Average Assets Under Management
 (in billions)                   $165.1    $153.2    $156.7    $135.2
                       JANUS CAPITAL GROUP INC.
           UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
                        (dollars in millions)

                                          December 31,   December 31,
                                              2006          2005
                                          ------------- --------------
Assets
 Cash and cash equivalents                      $559.7         $552.6
 Investments                                     173.1          334.1
 Other assets                                    291.7          285.5
 Property and equipment, net                      60.3           64.7
 Intangibles and goodwill, net                 2,453.1        2,391.6
                                          ------------- --------------
  Total Assets                                $3,537.9       $3,628.5
                                          ============= ==============

Liabilities and Stockholders' Equity
 Debt                                           $537.2         $376.3
 Other liabilities                               295.0          246.9
 Deferred income taxes                           399.3          424.1
 Stockholders' equity                          2,306.4        2,581.2
                                          ------------- --------------
  Total Liabilities and Stockholders'
   Equity                                     $3,537.9       $3,628.5
                                          ============= ==============
                   UNAUDITED CONDENSED CONSOLIDATED
                        CASH FLOW INFORMATION
                        (dollars in millions)

                                Three Months Ended      Year Ended
                                -------------------  -----------------
                                Dec. 31,  Sept. 30,  Dec. 31, Dec. 31,
 Cash provided by (used for)      2006      2006      2006     2005
                                --------- ---------  -------- --------
  Operating activities            $104.3     $50.7    $301.8   $273.2
  Investing activities             229.5     (65.9)     45.8     64.8
  Financing activities            (234.0)    137.2    (340.5)  (312.5)
                                --------- ---------  -------- --------
 Net change during period          $99.8    $122.0      $7.1    $25.5
                                ========= =========  ======== ========
                       JANUS CAPITAL GROUP INC.
                ASSETS & FLOWS BY INVESTMENT DISCIPLINE
                         (dollars in billions)

                                 Three Months Ended     Year Ended
                                 ------------------  -----------------
                                 Dec. 31, Sept. 30,  Dec. 31, Dec. 31,
                                   2006      2006      2006     2005
                                 -------- ---------  -------- --------
Growth/Blend
  Beginning of period assets       $67.0     $66.9     $68.5    $71.4
  Sales                              2.3       1.9      11.2      8.5
  Redemptions                        7.0       3.5      19.0     17.2
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (4.7)     (1.6)     (7.8)    (8.8)
  Market appreciation                4.5       1.6       6.1      5.8
                                 -------- ---------  -------- --------
  End of period assets             $66.8     $67.0     $66.8    $68.5
                                 ======== =========  ======== ========

Global/International
  Beginning of period assets       $13.3     $12.6     $12.2    $14.6
  Sales                              1.4       0.7       4.0      1.5
  Redemptions                        0.7       0.7       3.8      5.3
                                 -------- ---------  -------- --------
  Net Sales (redemptions)            0.7         -       0.2     (4.0)
  Market appreciation                2.0       0.7       3.6      1.6
                                 -------- ---------  -------- --------
  End of period assets             $16.0     $13.3     $16.0    $12.2
                                 ======== =========  ======== ========

Mathematical/Quantitative
  Beginning of period assets       $55.6     $51.5     $44.7    $25.8
  Sales                              5.9       3.2      18.5     17.7
  Redemptions                        2.3       1.4       6.5      1.7
                                 -------- ---------  -------- --------
  Net Sales (redemptions)            3.6       1.7      12.0     16.1
  Market appreciation                3.1       2.3       5.6      2.9
                                 -------- ---------  -------- --------
  End of period assets             $62.3     $55.6     $62.3    $44.7
                                 ======== =========  ======== ========

Fixed Income
  Beginning of period assets        $4.7      $4.7      $5.2     $6.2
  Sales                              0.2       0.2       0.9      1.1
  Redemptions                        0.4       0.4       1.7      1.8
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (0.2)     (0.2)     (0.8)    (0.9)
  Market appreciation                0.1       0.1       0.3     (0.1)
                                 -------- ---------  -------- --------
  End of period assets              $4.6      $4.7      $4.6     $5.2
                                 ======== =========  ======== ========

Value
  Beginning of period assets        $9.7      $9.7     $10.4    $10.2
  Acquisitions (dispositions)          -         -         -     (0.2)
  Sales                              0.6       0.6       3.0      3.2
  Redemptions                        0.7       0.7       4.2      3.7
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (0.1)     (0.1)     (1.2)    (0.4)
  Market appreciation                0.8       0.1       1.3      1.0
                                 -------- ---------  -------- --------
  End of period assets             $10.5      $9.7     $10.5    $10.4
                                 ======== =========  ======== ========

Money Market
  Beginning of period assets        $8.0      $7.9      $7.5    $10.8
  Sales                             14.6      11.7      48.2     38.0
  Redemptions                       15.0      11.4      48.3     41.2
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (0.5)      0.3         -     (3.2)
  Market appreciation                  -         -         -        -
                                 -------- ---------  -------- --------
  End of period assets              $7.5      $8.0      $7.5     $7.5
                                 ======== =========  ======== ========

Total
  Beginning of period assets      $158.3    $153.4    $148.5   $139.0
  Acquisitions (dispositions)          -         -         -     (0.2)
  Sales                             25.0      18.2      85.8     70.0
  Redemptions                       26.2      18.0      83.5     71.2
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (1.2)      0.2       2.3     (1.2)
  Market appreciation               10.6       4.7      16.8     10.9
                                 -------- ---------  -------- --------
  End of period assets            $167.7    $158.3    $167.7   $148.5
                                 ======== =========  ======== ========

Total Excluding Money Markets
  Beginning of period assets      $150.3    $145.5    $141.0   $128.2
  Acquisitions (dispositions)          -         -         -     (0.2)
  Sales                             10.5       6.5      37.5     31.8
  Redemptions                       11.2       6.6      35.2     29.8
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (0.7)     (0.1)      2.3      2.0
  Market appreciation               10.6       4.7      16.9     10.9
                                 -------- ---------  -------- --------
  End of period assets            $160.2    $150.3    $160.2   $141.0
                                 ======== =========  ======== ========

Total Excluding Mathematical/Quantitative
 & Money Markets
  Beginning of period assets       $94.7     $94.0     $96.2   $102.4
  Acquisitions (dispositions)          -         -         -     (0.2)
  Sales                              4.6       3.4      19.0     14.1
  Redemptions                        8.9       5.2      28.7     28.0
                                 -------- ---------  -------- --------
  Net Sales (redemptions)           (4.3)     (1.8)     (9.7)   (14.1)
  Market appreciation                7.5       2.4      11.3      8.1
                                 -------- ---------  -------- --------
  End of period assets             $97.9     $94.7     $97.9    $96.2
                                 ======== =========  ======== ========

Each line has been rounded on the schedule individually to increase
 the accuracy of the amounts presented. Therefore totals and subtotals
 may not foot.
                       JANUS CAPITAL GROUP INC.
                       NON-GAAP RECONCILIATIONS
             (dollars in millions, except per share data)

In 2005, Janus management analyzed its historical results after
 adjusting for certain items that were not ongoing or were non-
 operational in nature. The company believed that excluding these
 items was useful to management and investors because it provided a
 more comparable basis for evaluating Janus' operating results and
 financial performance over time. Internally, these adjusted results
 were used to evaluate the performance of the Company.


                             Year Ended December 31, 2005
                ------------------------------------------------------


                                             Investment   Printing
                 Investment   Non-GAAP        Management     and
                 Management  Adjustments       Adjusted  Fulfillment
                ------------------------------------------------------
Revenues             $868.3          $-          $868.3       $84.8

Employee
 compensation
 and benefits         299.5        (9.8)  (1)     289.7         5.5
Long-term
 incentive
 compensation          75.1        (1.5)  (1)      73.6         0.2
Marketing and
 advertising           30.4        (2.0)  (2)      28.4           -
General,
 administrative
 and occupancy        135.1        (7.9)(1,3)     127.2         3.6
Restructuring
 and
 impairments            5.5        (5.5)  (4)         -        20.0
Provision for
 mutual fund
 investigation         (9.3)        9.3   (5)         -           -
Operating
 expenses             138.8           -           138.8        90.8
                ------------ -----------     ----------- -----------
       Total          675.1       (17.4)          657.7       120.1
                ------------ -----------     ----------- -----------

Operating
 income (loss)        193.2        17.4           210.6       (35.3)
Operating
 margin                22.3%                       24.3%      -41.6%

Interest
 expense              (28.6)          -           (28.6)          -
Other income
 (expense)             37.9        (9.9)  (6)      28.0         1.4
Income tax
 benefit
 (provision)          (72.8)       (2.2)  (7)     (75.0)        4.9
Equity earnings
 in
 unconsolidated
 affiliate              7.1           -             7.1           -
Minority
 interest in
 consolidated
 earnings             (20.0)          -           (20.0)          -
                ------------ -----------     ----------- -----------
Net income
 (loss)              $116.8        $5.3          $122.1      $(29.0)
                ============ ===========     =========== ===========

Diluted
 earnings
 (loss) per
 share                $0.53       $0.02           $0.56      $(0.13)

Average AUM
 (billions)          $135.2


                             Year Ended December 31, 2005
                ------------------------------------------------------
                                             Printing and
                                Non-GAAP      Fulfillment    Adjusted
                              Adjustments      Adjusted       Total
                ------------------------------------------------------
Revenues                               $-           $84.8      $953.1

Employee
 compensation
 and benefits                           -             5.5       295.2
Long-term
 incentive
 compensation                           -             0.2        73.8
Marketing and
 advertising                            -               -        28.4
General,
 administrative
 and occupancy                          -             3.6       130.8
Restructuring
 and
 impairments                        (20.0)(8)           -           -
Provision for
 mutual fund
 investigation                          -               -           -
Operating
 expenses                               -            90.8       229.6
                --------------------------   -------------  ----------
       Total                        (20.0)          100.1       757.8
                --------------------------   -------------  ----------

Operating
 income (loss)                       20.0           (15.3)      195.3
Operating
 margin                                             -18.0%       20.5%

Interest
 expense                                -               -       (28.6)
Other income
 (expense)                              -             1.4        29.4
Income tax
 benefit
 (provision)                            -             4.9       (70.1)
Equity earnings
 in
 unconsolidated
 affiliate                              -               -         7.1
Minority
 interest in
 consolidated
 earnings                               -               -       (20.0)
                --------------------------   -------------  ----------
Net income
 (loss)                             $20.0           $(9.0)     $113.1
                ==========================   =============  ==========

Diluted
 earnings
 (loss) per
 share                              $0.09          $(0.04)      $0.52

Average AUM
 (billions)



Notes to non-GAAP adjustments:
(1)Severance charges related to the departure of the Chief Financial
    Officer, Principal Operating Officer and other administrative
    personnel and expenses incurred as result of the August 2005 cost
    reduction plan.
(2)Costs associated with the settlement-mandated fund proxy mailing.
(3)Accrual related to the possible resolution of certain legal-related
    matters.
(4)Charges related to the closure of a Bay Isle Financial LLC facility
    in Oakland, California, severance of a Bay Isle portfolio manager
    and impairment of intangibles associated with the loss of
    institutional accounts.
(5)Insurance recoveries of $14.4 million for costs incurred related to
    the mutual fund investigation, net of ongoing legal fees.
(6)Realized gain on the sale of investments. In the first half of
    2005, the Company reduced its seed capital investments by $48.8
    million which produced after-tax gains of $6.1 million. Included
    in the second half of 2005 are $3.8 of investment gains which are
    considered a component of normal investing activity and therefore,
    have not been adjusted.
(7)Includes tax effect of adjustments and $5.0 million for the
    reversal of a tax contingency.
(8)Impairment charge recorded to reduce goodwill at Rapid Solutions
    Group (the operating unit of the Printing and Fulfillment
    segment).
Janus Investment Funds                   Lipper Rankings Based
 ("JIF")
                                    on Total Returns as of 12/31/06
                                  ------------------------------------
                                        1-Year            3-Year
                                  ------------------ ----------------

                                                     Percen-
               PM      Lipper      Percen-  Rank /    tile   Rank /
             Inception  Category    tile     Total    Rank    Total
                                  Rank (%)    Funds    (%)     Funds
            --------------------- ------------------ -----------------
Growth Funds
----------------------------------------------------------------------
                       Large-Cap
                        Growth
Janus Fund    Jan-06    Funds            9   58/723      50  306/616
                       Large-Cap
Janus Twenty            Growth
 Fund(1)      Aug-97    Funds            6   43/723       1    1/616
Janus                  Large-Cap
 Research               Growth
 Fund         Jan-06    Funds           25  178/723      14   82/616
                       Multi-Cap
Janus Orion             Growth
 Fund         Jun-00    Funds            4   15/489       2    5/394
Janus                  Mid-Cap
 Enterprise             Growth
 Fund         Jan-02    Funds           15   90/621       9   42/489
Janus                  Small-Cap
 Venture                Growth
 Fund(1)      Jan-01    Funds            1    2/557      10   43/456
Janus Global           Multi-Cap
 Research               Growth
 Fund         Feb-05    Funds            4   17/489       -        -
                       Small-Cap
Janus Triton            Growth
 Fund         Jun-06    Funds           16   88/557       -        -
----------------------------------------------------------------------
Core Funds
----------------------------------------------------------------------
Janus Growth           Large-Cap
 and Income             Core
 Fund         Dec-03    Funds           94  757/811      18  122/680
Janus                  Multi-Cap
 Contrarian             Core
 Fund         Feb-00    Funds            1    2/909       1    1/646
                       Mixed-
                        Asset
                        Target
Janus                   Alloc.
 Balanced               Mod.
 Fund         Apr-05    Funds           53  224/425      25   75/306
Janus                  Large-Cap
 Fundamental            Core
 Equity Fund  Apr-05    Funds           83  669/811       2    9/680
INTECH Risk-           Multi-Cap
 Managed                Core
 Stock Fund   Feb-03    Funds           74  671/909      12   76/646
----------------------------------------------------------------------
International/
 Global Funds
----------------------------------------------------------------------
Janus                  Inter-
 Overseas               national
 Fund         Jun-03    Funds            1    1/968       1    1/798
Janus
 Worldwide             Global
 Fund         Jun-04    Funds           56  211/381      96  288/302
                       Science
                       &
Janus Global           Tech-
 Technology            nology
 Fund         Jan-06    Funds           39  111/291      37   97/262
Janus Global           Health/
 Life                  Biotech-
 Sciences              nology
 Fund         Dec-98    Funds           89  160/179      38   60/159
Janus
Global
Oppor-
tunities               Global
 Fund         Jun-01    Funds           97  368/381      93  279/302
----------------------------------------------------------------------
Value Funds
----------------------------------------------------------------------
Janus Mid
 Cap Value             Mid-Cap
 Fund -                 Value
 Inv(2)       Aug-98    Funds           57  169/296      54  119/222
Janus Small
 Cap Value             Small-Cap
 Fund -                 Core
 Inv.(1,2)    Feb-97    Funds           73  507/702      77  413/542
----------------------------------------------------------------------
Income Funds
----------------------------------------------------------------------
                       Inter-
                       mediate
                       Inv
Janus                  Grade
 Flexible              Debt
 Bond Fund    Dec-91   Funds            40  192/486      53  221/419
                       High
                        Current
Janus High-             Yield
 Yield Fund   Dec-03    Funds           25  114/457      38  147/388
                       Short
                       Investment
Janus Short-           Grade
 Term Bond             Debt
 Fund         Jun-03    Funds           45  105/235      33   64/195
Janus
 Federal               General
 Tax-Exempt             Muni Debt
 Fund         Feb-05    Funds           57  145/257      77  193/250
----------------------------------------------------------------------
Asset
 Allocation
 Funds
----------------------------------------------------------------------
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Growth
 Growth       Dec-05    Funds            8   45/587       -        -
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Mod.
 Moderate     Dec-05    Funds           12   51/425       -        -
                       Mixed-
Janus                   Asset
Smart                   Target
Portfolio-              Alloc.
Conserv-                Cons.
ative         Dec-05    Funds            5   14/337       -        -
----------------------------------------------------------------------


Janus Investment Funds
 ("JIF")                                 Lipper Rankings Based
                                     on Total Returns as of 12/31/0
                                  ------------------------------------
                                        5-Year           10-Year
                                  ------------------ ----------------

                                                     Percen-
               PM      Lipper      Percen-  Rank /    tile   Rank /
             Inception  Category    tile     Total    Rank    Total
                                  Rank (%)    Funds    (%)     Funds
            --------------------- ------------------------------------
Growth Funds
----------------------------------------------------------------------
                       Large-Cap
                        Growth
Janus Fund    Jan-06    Funds           34  170/505      43   80/186
                       Large-Cap
Janus Twenty            Growth
 Fund(1)      Aug-97    Funds            3   12/505       2    2/186
Janus                  Large-Cap
 Research               Growth
 Fund         Jan-06    Funds           18   91/505       5    8/186
                       Multi-Cap
Janus Orion             Growth
 Fund         Jun-00    Funds            6   17/310       -        -
Janus                  Mid-Cap
 Enterprise             Growth
 Fund         Jan-02    Funds           21   80/385      60   92/153
Janus                  Small-Cap
 Venture                Growth
 Fund(1)      Jan-01    Funds           10   35/374      30   41/136
Janus Global           Multi-Cap
 Research               Growth
 Fund         Feb-05    Funds            -        -       -        -
                       Small-Cap
Janus Triton            Growth
 Fund         Jun-06    Funds            -        -       -        -
----------------------------------------------------------------------
Core Funds
----------------------------------------------------------------------
Janus Growth           Large-Cap
 and Income             Core
 Fund         Dec-03    Funds           31  180/581       4    9/251
Janus                  Multi-Cap
 Contrarian             Core
 Fund         Feb-00    Funds            1    3/468       -        -
                       Mixed-
                        Asset
                        Target
Janus                   Alloc.
 Balanced               Mod.
 Fund         Apr-05    Funds           38   82/219       4    4/107
Janus                  Large-Cap
 Fundamental            Core
 Equity Fund  Apr-05    Funds            7   36/581       1    1/251
INTECH Risk-           Multi-Cap
 Managed                Core
 Stock Fund   Feb-03    Funds            -        -       -        -
----------------------------------------------------------------------
International/
 Global Funds
----------------------------------------------------------------------
Janus                  Inter-
 Overseas               national
 Fund         Jun-03    Funds            8   51/650       4    9/260
Janus
 Worldwide             Global
 Fund         Jun-04    Funds           96  221/230      68    66/97
                       Science
                       &
Janus Global           Tech-
 Technology            nology
 Fund         Jan-06    Funds           50  119/238       -        -
Janus Global           Health/
 Life                  Biotech-
 Sciences              nology
 Fund         Dec-98    Funds           63   84/134       -        -
Janus
Global
Oppor-
tunities               Global
 Fund         Jun-01    Funds           52  120/230       -        -
----------------------------------------------------------------------
Value Funds
----------------------------------------------------------------------
Janus Mid
 Cap Value             Mid-Cap
 Fund -                 Value
 Inv(2)       Aug-98    Funds           46   76/166       -        -
Janus Small
 Cap Value             Small-Cap
 Fund -                 Core
 Inv.(1,2)    Feb-97    Funds           75  318/425       -        -
----------------------------------------------------------------------
Income Funds
----------------------------------------------------------------------
                       Inter-
                       mediate
                       Inv
Janus                  Grade
 Flexible              Debt
 Bond Fund    Dec-91   Funds            18   62/357      33   49/151
                       High
                        Current
Janus High-             Yield
 Yield Fund   Dec-03    Funds           60  189/315      16   19/118
                       Short
                       Investment
Janus Short-           Grade
 Term Bond             Debt
 Fund         Jun-03    Funds           44   62/140      36    26/72
Janus
 Federal               General
 Tax-Exempt             Muni Debt
 Fund         Feb-05    Funds           67  151/227      81  117/145
----------------------------------------------------------------------
Asset
 Allocation
 Funds
----------------------------------------------------------------------
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Growth
 Growth       Dec-05    Funds            -        -       -        -
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Mod.
 Moderate     Dec-05    Funds            -        -       -        -
                       Mixed-
Janus                   Asset
Smart                   Target
Portfolio-              Alloc.
Conserv-                Cons.
ative         Dec-05    Funds            -        -       -        -
----------------------------------------------------------------------


Janus Investment Funds
 ("JIF")                                Lipper Rankings Based
                                   on Total Returns as of 12/31/0
                                  ---------------------------------
                                         Since PM Inception
                                  ---------------------------------


               PM      Lipper        Percentile       Rank/Total
             Inception  Category      Rank (%)            Funds
            --------------------- ---------------------------------
Growth Funds
-------------------------------------------------------------------
                       Large-Cap                ++
                        Growth
Janus Fund    Jan-06    Funds
                       Large-Cap
Janus Twenty            Growth
 Fund(1)      Aug-97    Funds                   2            4/230
Janus                  Large-Cap                ++
 Research               Growth
 Fund         Jan-06    Funds
                       Multi-Cap
Janus Orion             Growth
 Fund         Jun-00    Funds                  33           76/230
Janus                  Mid-Cap
 Enterprise             Growth
 Fund         Jan-02    Funds                  12           46/391
Janus                  Small-Cap
 Venture                Growth
 Fund(1)      Jan-01    Funds                  16           53/336
Janus Global           Multi-Cap
 Research               Growth
 Fund         Feb-05    Funds                   2            7/434
                       Small-Cap                ++
Janus Triton            Growth
 Fund         Jun-06    Funds
-------------------------------------------------------------------
Core Funds
-------------------------------------------------------------------
Janus Growth           Large-Cap
 and Income             Core
 Fund         Dec-03    Funds                  18          122/682
Janus                  Multi-Cap
 Contrarian             Core
 Fund         Feb-00    Funds                  12           40/341
                       Mixed-
                        Asset
                        Target
Janus                   Alloc.
 Balanced               Mod.
 Fund         Apr-05    Funds                  14           55/393
Janus                  Large-Cap
 Fundamental            Core
 Equity Fund  Apr-05    Funds                   3           22/769
INTECH Risk-           Multi-Cap
 Managed                Core
 Stock Fund   Feb-03    Funds                  31          176/582
-------------------------------------------------------------------
International/
 Global Funds
-------------------------------------------------------------------
Janus                  Inter-
 Overseas               national
 Fund         Jun-03    Funds                   1            1/758
Janus
 Worldwide             Global
 Fund         Jun-04    Funds                  81          250/309
                       Science                  ++
                       &
Janus Global           Tech-
 Technology            nology
 Fund         Jan-06    Funds
Janus Global           Health/
 Life                  Biotech-
 Sciences              nology
 Fund         Dec-98    Funds                  41            20/48
Janus
Global
Oppor-
tunities               Global
 Fund         Jun-01    Funds                  27           58/216
-------------------------------------------------------------------
Value Funds
-------------------------------------------------------------------
Janus Mid
 Cap Value             Mid-Cap
 Fund -                 Value
 Inv(2)       Aug-98    Funds                   6             4/68
Janus Small
 Cap Value             Small-Cap
 Fund -                 Core
 Inv.(1,2)    Feb-97    Funds                  15           20/135
-------------------------------------------------------------------
Income Funds
-------------------------------------------------------------------
                       Inter-
                       mediate
                       Inv
Janus                  Grade
 Flexible              Debt
 Bond Fund    Dec-91   Funds                    4             2/52
                       High
                        Current
Janus High-             Yield
 Yield Fund   Dec-03    Funds                  38          147/388
                       Short
                       Investment
Janus Short-           Grade
 Term Bond             Debt
 Fund         Jun-03    Funds                  26           47/180
Janus
 Federal               General
 Tax-Exempt             Muni Debt
 Fund         Feb-05    Funds                  52          131/251
-------------------------------------------------------------------
Asset
 Allocation
 Funds
-------------------------------------------------------------------
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Growth
 Growth       Dec-05    Funds                   8           45/591
                       Mixed-
                        Asset
                        Target
Janus Smart             Alloc.
 Portfolio-             Mod.
 Moderate     Dec-05    Funds                  12           51/425
                       Mixed-
Janus                   Asset
Smart                   Target
Portfolio-              Alloc.
Conserv-                Cons.
ative         Dec-05    Funds                   5           14/341
-------------------------------------------------------------------
                       Percent of JIF Funds per Lipper Quartile based
                                       on Total Returns
                       -----------------------------------------------
                                                            Since PM
                        1-Year   3-Year   5-Year   10-Year   Inception
----------------------------------------------------------------------
1st Quartile              51.9%    50.0%    42.9%     50.0%      65.2%
2nd Quartile              11.1%    22.7%    28.6%     28.6%      26.1%
3rd Quartile              22.2%     9.1%    23.8%     14.3%       4.3%
4th Quartile              14.8%    18.2%     4.8%      7.1%       4.3%
----------------------------------------------------------------------

Lipper Inc. - A Reuters Company, is a nationally recognized organization that ranks the performance of mutual funds within a universe of funds that have similar investment objectives. Rankings are historical with capital gains and dividends reinvested. If an expense waiver was in effect, it may have had a material effect on the total return or yield for the period.

Data presented reflects past performance, which is no guarantee of future results.

    Notes:

    (1) Closed to new investors

(2) Ranking is for the investor share class only; other classes may have different performance characteristics.

++ The Fund's since PM-Inception ranking is not available.

Data presented reflects past performance, which is no guarantee of future results. Investment results and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Due to market volatility, current performance may be higher or lower than the performance shown. Call 1-800-975-9932 or visit www.janus.com for performance current to the most recent month-end.

See notes to performance on the following page.

Janus Investment Fund
 ("JIF")
                                  Average Annual Total Returns (%) for
                                        Periods Ended 12/31/06(1)
                                  ------------------------------------
                                                                Life
                       Inception                                  of
                          Date    1 Year  3 Year 5 Year 10 Year  Fund
                       ---------- ------ ------- ------ ------- ------
Growth Funds
----------------------------------------------------------------------
Janus Fund                  2/70  10.59    6.38   2.81    6.12  13.73
Janus Twenty Fund (2)       4/85  12.30   15.04   7.71    9.91  13.42
Janus Research Fund
 (3)                        5/93   8.65    8.74   3.82    8.57  12.40
Janus Orion Fund (5)        6/00  18.64   18.13  10.74      --  (0.02)
Janus Enterprise Fund       9/92  13.22   15.04   8.20    7.37  11.44
Janus Venture Fund
 (2,4)                      4/85  23.58   13.84  10.83   10.31  13.72
Janus Global Research
 Fund (6)                   2/05  18.40      --     --      --  20.18
Janus Triton Fund (4)       2/05  15.85      --     --      --  18.57
----------------------------------------------------------------------
Core Funds
----------------------------------------------------------------------
Janus Growth and
 Income Fund                5/91   7.82   10.71   5.83   10.71  13.23
Janus Contrarian Fund
 (8)                        2/00  24.58   21.01  15.69      --  10.43
Janus Balanced Fund         9/92  10.56    9.00   6.60    9.70  11.25
Janus Fundamental
 Equity Fund (7)            6/96  10.28   13.44   8.09   11.84  12.78
INTECH Risk-Managed
 Stock Fund (9,10)          2/03  11.37   13.33     --      --  18.47
----------------------------------------------------------------------
International/Global
 Funds
----------------------------------------------------------------------
Janus Overseas Fund
 (7,9,11,12)                5/94  47.21   32.21  19.19   14.42  15.31
Janus Worldwide Fund
 (9)                        5/91  17.90    9.61   3.89    6.82  11.34
Janus Global
 Technology Fund (7,9)     12/98   7.98    6.82   1.16      --   3.47
Janus Global Life
 Sciences Fund (7,9)       12/98  (1.95)   7.90   2.27      --   8.83
Janus Global
 Opportunities Fund
 (9)                        6/01  11.19   10.10   9.21      --   9.72
----------------------------------------------------------------------
Value Funds
----------------------------------------------------------------------
Janus Mid Cap Value
 Fund - Inv. (5,7,14)       8/98  15.25   14.61  12.76      --  17.58
Janus Small Cap Value
 Fund - Inv. (2,5,13)      10/87  12.37   11.60   9.92   14.48  14.45
----------------------------------------------------------------------
Income Funds
----------------------------------------------------------------------
Janus Flexible Bond
 Fund (7,15,16)             7/87   4.12    3.24   5.17    5.83   7.48
Janus High-Yield Fund
 (5,7,9,15,16)             12/95  11.10    7.70   8.26    6.96   8.40
Janus Short-Term Bond
 Fund (7,15,16,17)          9/92   4.21    2.55   3.03    4.58   4.66
Janus Federal Tax-
 Exempt Fund
 (15,16,17,18)              5/93   4.26    3.09   4.46    4.36   4.59
----------------------------------------------------------------------
Asset Allocation Funds
----------------------------------------------------------------------
Janus Smart Portfolio-
 Growth                    12/05  18.51      --     --      --  18.45
Janus Smart Portfolio-
 Moderate                  12/05  14.28      --     --      --  14.24
Janus Smart Portfolio-
 Conservative              12/05  11.09      --     --      --  11.05
----------------------------------------------------------------------
    Notes:

    (1) All figures unaudited.

    (2) Closed to new investors.

(3) Effective December 31, 2006, Janus Mercury Fund changed its name to Janus Research Fund. The Fund will continue to be managed with the same investment objective and strategies.

(4) This Fund has been significantly impacted, either positively or negatively, by investing in initial public offerings (IPOs).

(5) Due to certain investment strategies, some funds may have an increased position in cash.

(6) Effective December 31, 2006, Janus Research Fund changed its name to Janus Global Research Fund and adopted an additional investment strategy to normally invest at least 40% of its net assets in securities of issuers from different countries located throughout the world, excluding the United States.

(7) The Fund will invest at least 80% of its net assets in the type of securities described by its name.

(8) The Fund held approximately 18.16% of its assets in Indian securities as of September 30, 2006 and the Fund has experienced significant gains due, in part, to its investments in India. While holdings are subject to change without notice, the Fund's returns and NAV may be affected to a large degree by fluctuations in currency exchange rates or political or economic conditions in India.

(9) A 2% redemption fee may be imposed on shares held for 3 months or less. Performance shown does not reflect this redemption fee and, if reflected, performance would have been lower.

(10) For certain periods, the Fund's performance reflects the effect of expense waivers. Without the effect of these expense waivers, the performance shown would have been lower.

(11) Returns have sustained significant gains due to market volatility in the financials and consumer discretionary sectors.

(12) The Fund held approximately 14.83% and 14.86% of its assets in India and Brazil securities, respectively, as of September 30, 2006, and the Fund has experienced significant gains due, in part, to its investments in India and Brazil. While holdings are subject to change without notice, the Fund's returns and NAV may be affected to a large degree by fluctuations in currency exchange rates or political or economic conditions in India and/or Brazil.

(13) Returns shown for Janus Small Cap Value Fund prior to April 21, 2003 are those of Berger Small Cap Value Fund.

(14) Returns shown for Janus Mid Cap Value Fund prior to April 21, 2003 are those of Berger Mid Cap Value Fund.

(15) Bond funds have the same interest rate, inflation, and credit risks that are associated with the underlying bonds owned by the Fund. Unlike owning individual bonds, there are ongoing fees and expenses associated with owning shares of bonds funds. The return of principal is not guaranteed due to net asset value fluctuation that is caused by changes in the price of specific bonds held in the Fund and selling of bonds within the fund by the portfolio manager.

(16) As of December 31, 2006, the 30-day SEC Yield was 3.94% on Janus Federal Tax-Exempt Fund, 5.04% on Janus Flexible Bond Fund, 6.21% on Janus High-Yield Fund and 4.62% on Janus Short-Term Bond Fund.

(17) Janus Capital has contractually agreed to waive Janus Short-Term Bond Fund and Janus Federal Tax-Exempt Fund's total operating expenses to the levels indicated in the prospectus until at least March 1, 2007. Without such waivers, Janus Short-Term Bond Fund and Janus Federal Tax-Exempt Fund's yield as of December 31, 2006 would have been 4.27% and 3.60%, respectively and total returns would have been lower.

(18) Income may be subject to state or local taxes and to a limited extent certain federal tax. Capital gains are subject to federal, state and local taxes.

Differences between compared investments may include objectives, sales and management fees, liquidity, volatility, tax features and other features, which may result in differences in performance.

A fund's performance may be affected by risks that include those associated with non-diversification, investments in foreign securities and emerging markets, non-investment grade debt securities, undervalued or overlooked companies, companies with relatively small market capitalizations and investments in specific industries or countries. Please see a Janus prospectus or janus.com for more information about fund holdings and details.

The proprietary mathematical process used by Enhanced Investment Technologies LLC ("INTECH") may not achieve the desired results. Since the portfolio is regularly re-balanced, this may result in a higher portfolio turnover rate, higher expenses and potentially higher net taxable gains or losses compared to a "buy and hold" or index fund strategy.

Because Janus Capital is the adviser to the Janus Smart Portfolios and to the underlying funds held within the Portfolios, it is subject to certain potential conflicts of interest when allocating the assets of the Portfolios among underlying Janus funds.

Source: Janus Capital Group Inc.

Contact: Janus Capital Group Inc. Shelley Peterson, 303-316-5625 James Aber, 303-336-4513