Fannie Mae Redemption

WASHINGTON, November 12, 2010 - 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 Date  CUSIP    Redemption
       Amount       Type     Rate                                Date
                                      November 23,            November 23,
    US$25,000,000   MTN     5.000%      2029       3136FJPZ8     2010
                                      November 23,            November 23,
    US$50,000,000   MTN     5.375%      2029       3136FJQW4     2010
                                      November 24,            November 24,
    US$25,000,000   MTNR    3.000%      2014       3136FJQP9     2010
                                      November 24,            November 24,
    US$50,000,000   MTN     4.000%      2017       3136FJQR5     2010
                                      November 24,            November 24,
    US$25,000,000   MTN     3.050%      2014       3136FJQS3     2010
                                      November 24,            November 24,
    US$25,000,000   MTN     3.000%      2014       3136FJRK9     2010
                                      November 24,            November 24,
    US$40,000,000   MTN     3.125%      2014       3136FJRN3     2010
                                      November 24,            November 24,
    US$25,000,000   MTN     3.520%      2015       3136FJRQ6     2010
                                      November 24,            November 24,
    US$30,000,000   MTN     1.100%      2014       3136FJUX7     2010
                                                              November 24,
    US$50,000,000   MTNR    3.000%   May 24, 2022  3136FMSC9     2010
                                                              November 24,
    US$50,000,000   MTN     3.000%   May 24, 2018  3136FMSD7     2010
                                      November 24,            November 24,
    US$75,000,000   MTN     2.500%      2015       3136FMSL9     2010
                                      November 24,            November 24,
    US$50,000,000   MTN     2.000%      2017       3136FMSM7     2010
                                                              November 24,
    US$50,000,000   MTN     1.300%   May 24, 2012  3136FMTC8     2010
                                      November 24,            November 24,
    US$105,000,000  MTNR    2.375%      2015       3136FMTH7     2010
                                      November 24,            November 24,
    US$100,000,000  MTN     2.250%      2015       3136FMVS0     2010
                                      August 24,              November 24,
    US$100,000,000  MTN     1.000%      2015       3136FPAC1     2010

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 the 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