FREDDIE MAC ANNOUNCES REFERENCE REMIC^SM SECURITY ISSUE

McLean, VA – Freddie Mac (NYSE: FRE) today announced its intention to issue its next Reference REMIC^SM security. The company expects to offer $2 billion of Reference REMIC Series R005, a Guaranteed Maturity Class (GMC) with a final maturity date of December 15, 2018. Reference REMIC Series R005 is expected to price on Wednesday, February 15, 2006, and expected to settle on Tuesday, February 21, 2006.

Citigroup Global Markets, Inc., Morgan Stanley and RBS Greenwich Capital will serve as the lead underwriters for Reference REMIC R005. Co-managers of the transaction will be Banc of America Securities, Bear, Stearns & Co. Inc., Deutsche Bank Securities, Inc., J.P. Morgan Chase and Merrill Lynch. The transaction will also involve a selling group. 

Information about the REMIC of which the GMC is a part is available in the Offering Circular Supplement on the Mortgage Securities page of the company's Web site at www.FreddieMac.com/mbs. The Offering Circular Supplement can be obtained by entering "R005" in the REMIC Prospectus Lookup box. Copies of the Offering Circular Supplement can also be obtained from the underwriters at the following addresses:

Citigroup Global Markets, Inc.
Prospectus Department
Brooklyn Army Terminal
140 58th Street, Suite 8G
Brooklyn, New York 11220
(718) 765-6732

Greenwich Capital Markets
Prospectus Department
600 Steamboat Road
Greenwich, Connecticut 06830
(203) 618-2318

Morgan Stanley                       
c/o ADP Financial Services
Prospectus Department
1155 Long Island Avenue
Edgewood, New York 11717
(631) 254-7106

This announcement is not an offer to sell any Freddie Mac securities. Offers for any given security are made only through applicable offering circulars and related supplements, which incorporate Freddie Mac's information statement and related supplements.

Freddie Mac's press releases sometimes contain forward-looking statements. A description of factors that could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements can be found in the company's Information Statement dated June 14, 2005, and related Information Statement Supplements, which are available on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors.

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 nearly four million renters in America.

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