FREDDIE MAC ANNOUNCES REFERENCE REMIC^SM SECURITY ISSUE

McLean, VA. – Freddie Mac (NYSE: FRE) today announced its intention to issue its next Reference REMIC^SM security.  The company expects to offer $3.0 billion of Reference REMIC Series R-004, a Guaranteed Maturity Class (GMC) with a final maturity date of December 15, 2013.  The total GMC is $3.116 billion, of which Freddie Mac will retain $116 million for its investment portfolio.  Reference REMIC Series R-004 is expected to price on Thursday, January 19, 2006, and expected to settle on Tuesday, January 24, 2006.

Bear, Stearns & Co. Inc., Credit Suisse, and RBS Greenwich Capital will serve as the lead underwriters for Reference REMIC R-004.  Co-managers of the transaction will be Barclays Capital, Inc., Goldman, Sachs & Co., JP Morgan, Lehman Brothers, Merrill Lynch & Co., and Morgan Stanley.  The transaction will also involve a selling group.

Information about the REMIC of which the GMC is a part is available on the Mortgage Securities page of the company's Web site at www.FreddieMac.com/mbs/.  Copies can be obtained from the underwriters at the following addresses:

Bear, Stearns & Co. Inc.
c/o ADP Financial Services
Prospectus Department
1155 Long Island Avenue
Edgewood, New York 11717
(631) 254-7106

Credit Suisse
Prospectus Department
11 Madison Avenue
New York, New York 10010-3629
(212) 325-2580

Greenwich Capital Markets
Prospectus Department
600 Steamboat Road
Greenwich, Connecticut 06830
(203) 618-2318

This announcement is not an offer to sell any Freddie Mac securities.  Offers for any given security are made only through applicable offering circulars and related supplements, which incorporate Freddie Mac's information statement and related supplements.

Freddie Mac's press releases sometimes contain forward-looking statements.  A description of factors that could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements can be found in the company's Information Statement dated June 14, 2005, and related Information Statement Supplements, which are available on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors.

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 nearly four million renters in America.

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