FANNIE MAE REDEMPTION

WASHINGTON, March 9 /PRNewswire/ --

Fannie Mae (NYSE: FNM) will redeem the principal amount indicated for the
following securities issues 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 date of redemption:


(All currency in US$)

Principal Security Interest Maturity CUSIP Redemption
Amount Type Rate Date Date

$25,000,000 MTN 3.000% March 19, 3136F5GE5 March 19, 2007
2014
$50,000,000 MTN 5.000% March 20, 3136F7VT1 March 20, 2007
2008
$250,000,000 MTN 5.300% March 20, 31359MJ79 March 20, 2007
2009
$100,000,000 MTN 6.500% September 20, 3136F72G1 March 20, 2007
2021
$50,000,000 MTN 6.500% September 20, 3136F7Z91 March 20, 2007
2021
$25,000,000 MTN 5.600% September 21, 3136F7Y68 March 21, 2007
2009

Fannie Mae is a New York Stock Exchange Company. It operates pursuant to
a federal charter. Fannie Mae has pledged through its American Dream
Commitment to expand access to homeownership for millions of first-time home
buyers; help raise the minority homeownership rate to 55 percent; make
homeownership and rental housing a success for millions of families at risk
of losing their homes; and expand the supply of affordable housing where it
is needed most. More information about Fannie Mae can be found on the
Internet at http://www.fanniemae.com.


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


Fannie Mae