Asia PR News

WASHINGTON, June 29 /PRNewswire-AsiaNet/ –

Fannie Mae (NYSE: FNM) will redeem the principal amount indicated for the
following security issue on the redemption date indicated below at a redemption
price equal to 100 percent of the principal amount redeemed, plus accrued
interest thereon to the dates of redemption:

Principal Security Interest Maturity Date CUSIP Redemption
Amount Type Rate Date

$25,000,000 MTN 5.500% October 10, 2008 3136F7YH4 July 10, 2007

Fannie Mae is a shareholder-owned company with a public mission. We exist
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 ensure that mortgage bankers
and other lenders have enough funds to lend to home buyers at low rates. 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 the 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: Latressa Cox of Fannie Mae,
+1-202-752-6707

Web site: http://www.fanniemae.com

(FNM)