FREDDIE MAC TO OFFER $500 MILLION OF PREFERRED STOCK

McLean, VA – Freddie Mac (NYSE: FRE) today announced that it will issue $500 million of fixed-rate non-cumulative perpetual preferred stock. The issue, CUSIP 313400640, is being offered to investors at $25 per share and is expected to price on Tuesday, September 25, 2007.

Banc of America Securities LLC is the underwriter for the preferred stock. An application will be made to list the preferred stock on the New York Stock Exchange.

Information about the transaction will be available in the preliminary Offering Circular on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors/preferred_stock.html. Copies of the preliminary Offering Circular can also be obtained from the underwriter at the following address:

Banc of America Securities LLC
Prospectus Department
100 West 33rd Street, 3rd Floor
New York, New York 10001
(800) 294-1322

This announcement is neither an offer to sell nor a solicitation of offers to buy any of these securities. Any such offering will be made only by an offering circular.

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 more than four million renters in America.

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