FREDDIE MAC PRICES $500 MILLION OF PREFERRED STOCK

McLean, VA – Freddie Mac (NYSE: FRE) today announced that it has priced its fixed-rate non-cumulative perpetual preferred stock, CUSIP 313400640. The shares are expected to be issued on September 28, 2007, subject to the satisfaction of customary closing conditions.

The 20 million shares of preferred stock are being offered to investors at $25 per share with a dividend rate of 6.55 percent. Freddie Mac will have the option to redeem all or part of the shares on or after September 30, 2017, at $25 per share plus accrued dividends.

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

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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