Fannie Mae Redemption

WASHINGTON, Sept. 30, 2011 /PRNewswire-AsiaNet/ –

Fannie Mae (OTC Bulletin Board: FNMA) will redeem the principal amounts
indicated for the following securities issues on the redemption dates
indicated below at a redemption price equal to 100 percent of the principal
amount redeemed, plus accrued interest thereon to the date of redemption:

Principal Security Interest Maturity CUSIP Redemption
Amount Type Rate Date Date
$50,000,000 MTNR 2.000% July 12, 2019 3136FMK60 October 12, 2011
$50,000,000 MTN 1.500% April 12, 2018 3136FPSB4 October 12, 2011
$175,000,000 MTN 1.250% April 12, 2021 3136FREP4 October 12, 2011
$50,000,000 MTN 1.000% April 12, 2016 3136FRGN7 October 12, 2011

Fannie Mae exists to expand affordable housing and bring global capital
to local communities in order to serve the U.S. housing market. Fannie Mae
has a federal charter and operates in America’s secondary mortgage market to
enhance the liquidity of the mortgage market by providing funds to mortgage
bankers and other lenders so that they may lend to home buyers. Our job is
to help those who house America.

This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities of Fannie Mae. Nothing in this
press release constitutes advice on the merits of buying or selling a
particular investment. Any investment decision as to any purchase of
securities referred to herein must be made solely on the basis of
information contained in Fannie Mae’s applicable Offering Circular, and that
no reliance may be placed on the completeness or accuracy of the information
contained in this press release.

You should not deal in securities unless you understand their nature and
the extent of your exposure to risk. You should be satisfied that they are
suitable for you in light of your circumstances and financial position. If
you are in any doubt you should consult an appropriately qualified financial
advisor.

SOURCE: Fannie Mae

CONTACT: Resource Center,
+1-800-732-6643;

Katherine Constantinou,
+1-202-752-5403