Fannie Mae Redemption

WASHINGTON, June 10, 2011 -

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
        $541,000    FINP      5.150%    June 20, 2023  3135A1HV2    June 20,
                                                                      2011
    $350,000,000     MTN      1.250%     December 20,  31398A6Y3    June 20,
                                              2013                    2011
     $25,000,000     MTN      5.000%     December 21,  3136FJXE6    June 21,
                                              2029                    2011
    $250,000,000     MTN      3.100%     December 21,  3136FMXE9    June 21,
                                              2018                    2011
     $75,000,000     MTN      0.875%   March 21, 2013  3136FPHU4    June 21,
                                                                      2011
     $50,000,000     MTN      1.500%     December 21,  3136FPJ57    June 21,
                                              2015                    2011
    $500,000,000     MTN      0.900%     December 21,  31398A6Z0    June 21,
                                              2012                    2011
    $250,000,000     MTN      0.900%     December 21,  31398A7B2    June 21,
                                              2012                    2011
    $250,000,000     MTN      0.875%     December 21,  31398A7J5    June 21,
                                              2012                    2011
    $200,000,000     MTN      5.953%    June 21, 2027  31398ADD1    June 21,
                                                                      2011
     $50,000,000     MTN      2.100%    June 22, 2016  3136FMWV2    June 22,
                                                                      2011
    $125,000,000     MTN      1.000%     December 22,  3136FPG76    June 22,
                                              2025                    2011
     $50,000,000     MTN      1.900%    June 22, 2015  3136FPJM0    June 22,
                                                                      2011
     $50,000,000     MTN      2.200%    June 22, 2015  3136FPU39    June 22,
                                                                      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.

Katherine Constantinou of Fannie Mae, +1-202-752-5403