You can decompose the exponential distribution into a sum of two terms, which are not both gamma distributed. Let A,B,ε be independent where A,B are exponentially distributed and ε takes the values 0,1 each with probability 1/2, and set X=A/2, Y=εB. You can calculate the moment generating functions of X and Y, $$ E\left[\exp(-\lambda X)\right] = E\left[\exp(-(\lambda/2)A)\right]=1/(1+\lambda/2). $$ $$ E\left[\exp(-\lambda Y)\right]=(1/2)E\left[\exp(-\lambda B)\right]+1/2=(2+\lambda)/(2+2\lambda). $$ Then you can check the moment generating function function of X+Y, E[exp(-λ(X+Y)]=E[exp(-λX)]E[exp(-λY)]=1/(1+λ) to see that X+Y has the exponential distribution. Edit: After reading at Michael Lugo's response below, it might be more satisfying to have an answer where neither of X or Y are Gamma distributed. In fact, by iterating my argument above you can get the following example. If A<sub>1</sub>,A<sub>2</sub>,... have the exponential distribution and ε<sub>1</sub>,ε<sub>2</sub>,... take values 0,1 each with probability 1/2 (and all these rvs are independent), then X=∑<sub>n</sub>2<sup>1-n</sup>ε<sub>n</sub>A<sub>n</sub> has the exponential distribution (just check the moment generating function). By splitting this sum up into two smaller sums you can generate a whole load of counterexamples where neither term is gamma distributed. Edit 2: Apologies for keeping coming back to this one, but it seems interesting and my examples above are a special case of the following. For any k>0 and measurable subset A of the interval (0,1], you can define a random variable X<sub>A</sub> with moment generating function E[exp(-λX<sub>A</sub>)]=exp(-λk∫<sub>A</sub>dx/(1+λx)). If you partition (0,1] into two measurable sets A,B and X<sub>A</sub>,X<sub>B</sub> are independent, then X<sub>A</sub>+X<sub>B</sub> has the Gamma(k) distribution. If A and B are unions of finitely many intervals then the moment generating functions will be k<sup>th</sup> powers of rational functions of λ and its easy to make sure that X<sub>A</sub>,X<sub>B</sub> are not gamma distributed. My first example above is using k=1 and the partition (0,1/2],(1/2,1]. The second one, in the edit, is partitioning (0,1] into the intervals (2<sup>-n</sup>,2<sup>1-n</sup>]. You can construct X<sub>A</sub> as follows. Let T<sub>1</sub>,T<sub>2</sub>,… be independent with the Exp(k) distribution, and S<sub>n</sub>=exp(-T<sub>1</sub>-…-T<sub>n</sub>). The number of S<sub>n</sub> in a subset A of (0,1] will be Poisson with parameter ∫<sub>A</sub>dx/x. If Y<sub>1</sub>,Y<sub>2</sub>,… are independent exponentially distributed then X<sub>A</sub>=∑<sub>n</sub>1<sub>{S<sub>n</sub>∈A}</sub>S<sub>n</sub>Y<sub>n</sub> has the correct moment generating function. (I'll leave you work through the details...). Alternatively, the set {(S<sub>n</sub>,Y<sub>n</sub>):n≥1} is a <em>Poisson point process</em> with intensity ke<sup>-y</sup> dy ds/s.