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For Immediate Release October
14,
2005
FREDDIE MAC TO ISSUE NEW TWO-YEAR AND 10-YEAR REFERENCE NOTES® SECURITIES IN OCTOBERCompany Also Issues 2006 Funding Calendars and Provides its Quarterly Funding Summary for Third Quarter 2005
McLean, VA – Freddie Mac (NYSE: FRE) announced today that it plans to issue two Reference Notes® securities in October. The company will issue $4 billion of a new two-year USD Reference Notes security, CUSIP number 3134A4VF8, due November 16, 2007, and $4 billion of a new 10-year USD Reference Notes security, CUSIP number 3134A4VG6, due on November 17, 2015. Both issues will be priced on October 19, 2005, and will settle on October 21, 2005. The new two-year Reference Notes security will be offered via a syndicate of dealers headed by joint-leads Banc of America Securities, Credit Suisse First Boston and RBS Greenwich Capital. The new 10-year Reference Notes security will be offered via a syndicate of dealers headed by joint-leads Deutsche Bank Securities, Inc., Goldman Sachs Group and Lehman Brothers. An application will be made to list the issues on the Luxembourg Stock Exchange. "Today's announcement of two new Reference Notes securities and the release of our 2006 funding calendars underscores our commitment to providing liquid securities through transparent and predictable means," said John Radwanski, vice president and assistant treasurer of Freddie Mac. "Combined with our Quarterly Funding Announcements, we bring unparalleled transparency to this asset class, enabling us to attract a broad array of global capital and lower the cost of homeownership in the U.S." Including today's new offerings, Freddie Mac has issued $40.1 billion of Reference Notes securities during 2005 and has approximately $209.9 billion in Reference Notes and Reference Bonds® securities outstanding. Details of our funding activity for the third quarter of 2005 are provided in our Quarterly Funding Summary [PDF 148K], now available on our Web site. 2006 Funding Calendars Issued As in 2005, Freddie Mac's 2006 Reference Notes calendar features dates for releasing its Quarterly Funding Announcements (QFA). Beginning in March, Freddie Mac will release the QFA on the last Wednesday of the month preceding each subsequent quarter. All Reference Notes issuance dates are optional until specified in the QFA. Freddie Mac will issue at least one new issue of 2-, 3-, 5- and 10-year Reference Notes during 2006. 5- and 10-year Reference Notes will continue to be issued on quarterly offering cycles, while 2- and 3-year Reference Notes may be issued in any month (except August). Minimum Reference Notes offering sizes remain unchanged at $3 billion for 2-, 3-, 5- and 10-year new issues and there continues to be no minimum offering size for reopenings. Freddie Mac will continue to offer Reference Bills via auctions on Mondays and Tuesdays. Reference Bill auction announcements will now occur at 10:30 a.m., E.T., on Fridays, beginning in 2006. The minimum Reference Bill auction size remains unchanged at $1 billion. This announcement is neither an offer to sell nor a solicitation of offers to buy any of these securities. Any such offering will be made only by an offering circular and pricing supplement. Freddie Mac is a stockholder-owned company established by Congress in 1970 to support homeownership and rental housing. Freddie Mac fulfills its mission by purchasing residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage-related securities and debt instruments in the capital markets. Over the years, Freddie Mac has made home possible for one in six homebuyers and four million renters in America. ###
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