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Repurchase Operation Overview: Reference Notes® Securities

Debt Securities Program Feature Description
Public Notice
Overnight notice will be provided via the Freddie Mac website, designated dealers, and major news wires. In rare circumstances, less advance notice (at least one hour) may be given. Advance notice will include target issues, maximum repurchase size, and cutoff time for offerings.
Response Time to Dealer
Freddie Mac expects to provide an automated reply (confirmation of trade) to participating dealers within 5 minutes after the cutoff time.
Public Results Announcement
Amount repurchased by issue, overall offer-to-cover ratio, will be posted within 15 minutes following completion of the operation.
Lockout Period
Reference Notes securities of a similar maturity as that of scheduled Reference Notes securities offerings will not be repurchased during a lockout period beginning 1 week prior to the announcement date through the settlement date. Also, repurchases of Reference Notes securities will not be conducted within one week of the final CBOT delivery date.
Execution Methodology
Dealers make offerings, expressed in yield, via the Internet.
Offerings Per Issue
Multiple offerings will be permitted for each issue.
Award Process
After the cutoff time, Freddie Mac will consider all offerings together and accept those offerings which best meet repurchase operation objectives. Offerings may be accepted in whole, in part, or rejected.
Issue Eligibility
Minimum Issue Size - following repurchase operations
The minimum outstanding amount of each Reference Notes securities issue following a repurchase will be $3 billion. For Reference Bonds securities, the minimum will be $1 billion.
Dealer Group Status 
Dealer Group members must be authorized and identified by Freddie Mac.
Timing
Freddie Mac will conduct repurchase operations from time to time according to funding needs and market conditions.
Settlement
All trades will be settled on the business day following the trade date (i.e. Trade Date + 1).

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