# FORM 10-Q

`QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934
                  For the quarterly period ended March 31, 2000

                        Commission File Number: 333-10495

                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
             (Exact name of registrant as specified in its charter)

                               Maryland 52-1998335
                (State or other jurisdiction of (I.R.S. Employer
               incorporation or organization) Identification No.)

                             8401 Connecticut Avenue
                           Chevy Chase, Maryland 20815
               (Address of principal executive offices) (Zip Code)

                                 (301) 986-7000
              (Registrant's telephone number, including area code)`

Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

## Yes X No

The number of shares outstanding of the registrant's sole
class of common stock was 100 shares, $1 par value, as of April 30, 2000.

`________________________________________________________________________________





                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------`

# TABLE OF CONTENTS

`PART I - FINANCIAL INFORMATION`

Page

`Item 1. Financial Statements:................................................1
    (a) Statements of Financial Condition at March 31, 2000 and
          December 31, 1999....................................................2
    (b) Statements of Operations for the Three Months Ended
          March 31, 2000 and 1999..............................................3
         (c)      Statement of Stockholders' Equity for the Three Months Ended
                    March 31, 2000...........................................................................4
         (d)      Statements of Cash Flows for the Three Months Ended
                    March 31, 2000 and 1999..................................................................5
         (e)      Notes to Financial Statements..............................................................6

  Item 2.  Management's Discussion and Analysis of Financial
              Condition and Results of Operations............................................................8

  Item 3.  Quantitative and Qualitative Disclosures about Market Risk.......................................11

                           PART II - OTHER INFORMATION

  Item 1.  Legal Proceedings................................................................................12

  Item 2.  Changes in Securities............................................................................12

  Item 3.  Defaults Upon Senior Securities..................................................................12

  Item 4.  Submission of Matters to a Vote of Security Holders..............................................12

  Item 5.  Other Information................................................................................12

  Item 6.  Exhibits and Reports on Form 8-K.................................................................12`

# PART I

## ITEM 1. FINANCIAL STATEMENTS

The following unaudited financial statements and notes of Chevy
Chase Preferred Capital Corporation (the "Company") have been prepared
in accordance with generally accepted accounting principles for interim
financial information. In the opinion of management, all adjustments necessary
for a fair presentation of the financial position and the results of operations
for the interim period presented have been included. Such unaudited financial
statements and notes should be read in conjunction with the Company's
financial statements and notes for the year ended December 31, 1999, included in
the Company's Annual Report on Form 10-K (File No. 333-10495) filed with
the Securities and Exchange Commission on March 27, 2000 (the "1999
10-K").

# -1-

`CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------
                        STATEMENTS OF FINANCIAL CONDITION
                        ---------------------------------`

# (Unaudited)

`March 31,                      December 31,
                                                                                        2000                         1999
                                                                                ----------------------       ---------------------
                                                                                ----------------------       ---------------------

                                     ASSETS

Cash and interest-bearing deposits                                                      $   3,231,136                $  7,072,250
Residential mortgage loans (net of allowance for
   losses of $40,333 for both periods)                                                    296,900,558                 295,195,830
Accounts receivable from parent                                                             3,820,150                   3,599,534
Accrued interest receivable                                                                 1,518,779                   1,271,362
Prepaid expenses                                                                                8,097                       8,000
                                                                                ----------------------       ---------------------
                                                                                ----------------------       ---------------------
         Total assets                                                                   $ 305,478,720           $ 307,146,976
                                                                                ======================       =====================
                                                                                ======================       =====================


                      LIABILITIES AND STOCKHOLDERS' EQUITY

Accounts payable to parent                                                               $    274,768                 $   272,346
Accrued expenses and accounts payable to others                                                13,537                      53,619
Dividends payable to parent                                                                   500,000                   3,100,000
Dividends payable to others                                                                 3,890,625                   3,890,625
                                                                                ----------------------
                                                                                ----------------------       ---------------------
   Total liabilities                                                                        4,678,930                   7,316,590
                                                                                ----------------------       ---------------------
                                                                                ----------------------       ---------------------

10 3/8% Noncumulative Exchangeable
   Preferred Stock, $5 par value,
   10,000,000 shares authorized, 3,000,000
   shares issued and outstanding
   (liquidation value of $150,000,000 plus
   accrued and unpaid dividends)                                                           15,000,000                  15,000,000
Common stock, $1 par value,
   1,000 shares authorized, 100 shares
   issued and outstanding                                                                         100                         100
Capital contributed in excess of par                                                      284,999,900                 284,830,286
Retained earnings                                                                             799,790                     -
                                                                                ----------------------       ---------------------
                                                                                ----------------------       ---------------------

Total stockholders' equity                                                                300,799,790                 299,830,386
                                                                                ----------------------       ---------------------
                                                                                ----------------------       ---------------------

         Total liabilities and stockholders' equity                                     $ 305,478,720               $ 307,146,976
                                                                                ======================       =====================





                              The Notes to Financial Statements are an integral part of these statements.





                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------
                            STATEMENTS OF OPERATIONS
                            ------------------------`

# (Unaudited)

`Three Months Ended
                                                                                                     March 31,
                                                                                    ---------------------------------------------
                                                                                            2000                    1999
                                                                                    ---------------------    --------------------
Interest Income
   Residential mortgage loans                                                               $  5,510,041            $ 5,484,652
   Other                                                                                          34,161                 40,904
                                                                                    ---------------------    --------------------

   Total interest income                                                                       5,544,202              5,525,556

Provision for loan losses                                                                          -                     13,520
                                                                                    ---------------------    --------------------

   Total interest income after
      provision for loan losses                                                                5,544,202              5,512,036

Gain on sale of real estate acquired in
    settlement of  loans, net                                                                     -                       1,385
                                                                                    ---------------------    --------------------

     Total income                                                                              5,544,202              5,513,421
                                                                                    ---------------------    --------------------

Operating Expenses
   Loan servicing fees paid to parent                                                            271,367                272,904
   Advisory fees paid to parent                                                                   50,000                 50,000
   Directors fees                                                                                 11,000                  6,500
   General and administrative                                                                     10,952                130,669
                                                                                    ---------------------    --------------------

     Total operating expenses                                                                    343,319                460,073
                                                                                    ---------------------    --------------------

Income before income taxes                                                                     5,200,883               5,053,348
Provision for income taxes                                                                        10,468                   -
                                                                                    ---------------------    --------------------

NET INCOME                                                                                  $  5,190,415     $      5,053,348
                                                                                    =====================    ====================

PREFERRED STOCK DIVIDENDS                                                                      3,890,625              3,890,625
                                                                                    ---------------------    --------------------`

## EARNINGS AVAILABLE TO

`COMMON STOCKHOLDER                                                                       $  1,299,790     $      1,162,723
                                                                                    =====================    ====================

EARNINGS PER COMMON SHARE                                                                   $  12,997.90            $ 11,627.23
                                                                                    =====================    ====================


                              The Notes to Financial Statements are an integral part of these statements.





                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------
                        STATEMENT OF STOCKHOLDERS' EQUITY
                        ---------------------------------
                                   (Unaudited)


                                                                                   Capital
                                                                                 Contributed                               Total
                                           Preferred            Common            in Excess           Retained         Stockholders'
                                             Stock               Stock              of Par            Earnings            Equity
                                        -----------------   ----------------  -------------------  ----------------  ------------------

Balance, December 31, 1999                  $ 15,000,000           $    100        $ 284,830,286   $       -             $ 299,830,386

Net income                                     -                   -                  -                  5,190,415           5,190,415`

## Capital contribution from

`common stockholder                           -                   -                     169,614          -                    169,614`

Dividends on 10 3/8% Noncumulative
Exchangeable

`Preferred Stock, Series A                    -                   -                  -                 (3,890,625)         (3,890,625)

Dividends on Common Stock                      -                   -                  -                   (500,000)           (500,000)
                                        -----------------   ----------------  -------------------  ----------------  ------------------

Balance, March 31, 2000                     $ 15,000,000           $    100        $ 284,999,900         $ 799,790       $ 300,799,790
                                        =================   ================  ===================  ================  ==================























                               The Notes to Financial Statements are an integral part of this statement.





                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)

                                                                                                    Three Months Ended
                                                                                                        March 31,
                                                                                        -------------------------------------------

                                                                                        -------------------------------------------
                                                                                              2000                     1999
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------`

## Cash flows from operating activities:

`Net income                                                                                   $5,190,415                $ 5,053,348
Adjustments to reconcile net income to net cash
--------------------------------------------------------------------------------------
  provided by operating activities:
     Provision for loan losses                                                                   -                          13,520
     Gain on sale of real estate acquired in
       settlement of loans, net                                                                  -                          (1,385)
     (Increase) decrease in accounts receivable from parent                                     (220,616)                  967,050
     Increase in accrued interest receivable                                                    (247,417)                  (79,711)
     (Increase) decrease in prepaid expenses                                                         (97)                   98,379
     Increase (decrease) in accrued expenses and accounts
        payable to others                                                                        (40,082)                   61,637
     Increase in accounts payable to parent                                                       2,423                      2,975
                                                                                        -----------------       -------------------
     Net cash provided by operating activities                                                4,684,626                  6,115,813
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------

Cash flows from investing activities:
     Purchases of residential mortgage loans                                                  (8,141,068)              (23,292,328)
     Repayments of residential mortgage loans                                                 6,436,340                 22,284,891
     Net proceeds on sale of real estate acquired
        in settlement of loans                                                                   -                         260,062
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------

     Net cash used in investing activities                                                    (1,704,728)                 (747,375)
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------`

## Cash flows from financing activities:

`Capital contribution from common stockholder                                               169,614                      3,549
     Dividends paid on preferred stock                                                        (3,890,625)               (3,890,625)
     Dividends paid on common stock                                                           (3,100,000)               (3,460,000)
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------
                                                                                        (6,821,011)
     Net cash used in financing activities                                                    (6,821,011)               (7,347,076)
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------
Net decrease in cash and cash equivalents                                                     (3,841,114)               (1,978,638)
Cash and cash equivalents at beginning of period                                              7,072,250                  4,861,984
                                                                                        -----------------       -------------------
                                                                                        -----------------       -------------------
Cash and cash equivalents at end of period                                                   $3,231,136                $ 2,883,346
                                                                                                                ===================
                                                                                        =================       ===================`

## Supplemental disclosures of cash flow information:

`Income taxes paid during the year                                                         $  10,468         $            -
                                                                                        =================       ===================
Supplemental disclosures of non-cash activities:
     Loans receivable transferred to real estate
       acquired in settlement of loans                                                  $            -                  $  292,314
                                                                                        =================       ===================


                              The Notes to Financial Statements are an integral part of these statements.





                    CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------
                          NOTES TO FINANCIAL STATEMENTS
                          -----------------------------`

# (Unaudited)

## NOTE 1 - ORGANIZATION AND BASIS OF PRESENTATION:

The Company is a Maryland corporation which acquires, holds and manages
real estate assets. Chevy Chase Bank, F.S.B. (the "Bank"), a federally
insured stock savings bank, owns all of the Company's common stock. The
Bank is in compliance with its regulatory capital requirements.

## NOTE 2 - RESIDENTIAL MORTGAGE LOANS:

Residential mortgage loans consist of one-year adjustable rate
mortgages ("ARMs"), three-year ARMs and five-year, seven-year and
ten-year fixed-rate loans with automatic conversion to one-year ARMs after the
end of the respective fixed rate period, and 30 year fixed-rate mortgages. Each
of the mortgage loans is secured by a mortgage, deed of trust or other security
instrument which created a first lien on the residential dwellings located in
their respective jurisdictions. The following table shows the residential
mortgage loan portfolio by type at the dates indicated:

`March 31,               December 31,
                                                                         2000                      1999
                                                                  -------------------      ---------------------
                                                                  -------------------      ---------------------
                      One-year ARMs                                     $ 11,098,905              $  11,854,943
                      Three-year ARMs                                     21,082,223                 24,886,732
                      3/1 ARMs                                             4,103,300                -
                      5/1 ARMs                                            97,395,260                 93,066,498
                      7/1 ARMs                                            12,188,145                 12,243,571
                      10/1 ARMs                                          145,968,189                147,823,258
                      30 year fixed-rate                                   5,104,869                  5,361,161
                                                                  -------------------      ---------------------
                                                                  -------------------      ---------------------
                           Total                                         296,940,891                295,236,163

                      Less:
                           Allowance for loan losses                          40,333                     40,333
                                                                  -------------------      ---------------------
                                                                  -------------------      ---------------------

                           Total                                        $296,900,558              $ 295,195,830
                                                                  ===================      =====================

=======================================================================================================================================`

## NOTE 3 - PREFERRED STOCK

Cash dividends on the Company's 10 3/8%  Noncumulative
Exchangeable Preferred Stock, Series A ("the Series A Preferred
Shares") are payable quarterly in arrears. The liquidation value of each
Series A Preferred Share is $50 plus accrued and unpaid dividends. The Series A
Preferred Shares are not redeemable until January 15, 2007 (except upon the
occurrence of certain tax events), and are redeemable thereafter at the option
of the Company. Except under certain limited circumstances, the holders of the
Series A Preferred Shares have no voting rights. The Series A Preferred Shares
are automatically exchangeable for a new series of preferred stock of the Bank
upon the occurrence of certain events relating to the Bank.

`CHEVY CHASE PREFERRED CAPITAL CORPORATION
                    -----------------------------------------
                          NOTES TO FINANCIAL STATEMENTS
                          -----------------------------`

# (Unaudited)

## NOTE 4 - DIVIDENDS:

During the three months ended March 31, 2000, the Company's
Board of Directors declared $3,890,625 and $500,000 of preferred stock and
common stock dividends, respectively, out of the retained earnings of the
Company. These dividends were paid in April, 2000.

`ITEM 2.      MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND                                               RESULTS   OF`

## OPERATIONS

## FINANCIAL CONDITION

## Residential Mortgage Loans

At March 31, 2000, the Company had $296,900,558 invested in
loans secured by first mortgages or deeds of trust on single-family residential
real estate properties ("Residential Mortgage Loans"). The $1,704,728
increase from the balance at December 31, 1999, resulted from Residential
Mortgage Loan purchases of $8,141,068, which were offset by principal
collections of $6,436,340. Management intends to continue to reinvest proceeds
received from repayments of loans in additional Residential Mortgage Loans to be
purchased from either the Bank or its affiliates.

At March 31, 2000, the Company had three non-accrual loans
(contractually past due 90 days or more or with respect to which other factors
indicate that full payment of principal and interest is unlikely) with an
aggregate principal balance of $409,566 (or 0.14% of loans).

At March 31, 2000, the Company had five loans which were
delinquent 30-89 days with an aggregate principal balance of $879,128 (or 0.30%
of loans).

## Allowance for Loan Losses

An analysis is performed periodically to determine whether an
allowance for loan losses is required. An allowance may be provided after
considering such factors as the economy in lending areas, delinquency statistics
and past loss experience. The allowance for loan losses is based on estimates,
and ultimate losses may vary from current estimates. As adjustments to the
allowance become necessary, provisions for loan losses are reported in
operations in the periods they are determined to be necessary. The activity in
the allowance for loan losses is as follows:

`Three Months
                                                                                          Ended
                                                                                        March 31,
                                                                    --------------------------------------------------
                                                                            2000                        1999
                                                                    ----------------------      ----------------------
                                                                    ----------------------      ----------------------
Balance at beginning of period                                                $    40,333                $    40,333
Provision for loan losses                                                              -                      13,520
Charge-offs                                                                            -                      (26,314)
                                                                    ----------------------      ----------------------

Balance at end of period                                                      $    40,333                $    27,539
                                                                    ======================      ======================
                                                                    ======================      ======================`

## Interest Rate Risk

The Company's income consists primarily of interest
payments on Residential Mortgage Loans. If there is a decline in interest rates
then the Company will experience a decrease in income available to be
distributed to its stockholders. Certain Residential Mortgage Loans which the
Company holds allow borrowers to convert an ARM to a fixed-rate mortgage, thus
"locking in" a fixed interest rate at a time when interest rates have
declined. In addition, when interest rates decline, holders of fixed-rate
mortgages are more likely to prepay such mortgages. In such an interest rate
environment, the Company may experience an increase in prepayments on its
Residential Mortgage Loans and may find it difficult to purchase additional
loans bearing interest rates sufficient to support payment of dividends on the
Series A Preferred Shares.

Based on the outstanding balance of the Company's
Residential Mortgage Loans at March 31, 2000 and the interest rates on such
loans, anticipated annual interest income, net of servicing fees, on the
Company's loan portfolio was approximately 129.9% of the projected annual
dividend on the Series A Preferred Shares. There can be no assurance that an
interest rate environment in which there is a decline in interest rates would
not adversely affect the Company's ability to pay dividends on the Series A
Preferred Shares. The Company, to date, has not used any derivative instruments
to manage its interest rate risk.

There have been no material changes to the Company's market
risk disclosures from the disclosures made in the 1999 10-K.

## Significant Concentration of Credit Risk

Concentration of credit risk arises when a number of customers
engage in similar business activities, or activities in the same geographical
region, or have similar economic features that would cause their ability to meet
contractual obligations to be similarly affected by changes in economic
conditions. Concentration of credit risk indicates the relative sensitivity of
the Company's performance to both positive and negative developments
affecting a particular industry.

The Company's exposure to geographic concentrations
directly affects the credit risk of the Residential Mortgage Loans within the
portfolio. Most (or 82.2%) of the Company's Residential Mortgage Loans are
secured by residential real estate properties located in the Washington, DC
metropolitan area. Consequently, these loans may be subject to a greater risk of
default than other comparable residential mortgage loans in the event of adverse
economic, political or business developments and natural hazards in the region
that may affect the ability of residential property owners in the region to make
payments of principal and interest on the underlying mortgages.

## Liquidity and Capital Resources

The objective of liquidity management is to ensure the
availability of sufficient cash flows to meet all of the Company's
financial commitments. In managing liquidity, the Company takes into account
various legal limitations placed on a real estate investment trust (a
"REIT"), as discussed below in "Tax Status of the Company."

The Company's principal liquidity need will be to fund the
acquisition of additional mortgage assets as mortgage assets held by the Company
are repaid and to pay dividends on the Series A Preferred Shares. The
acquisition of such additional mortgage assets will be funded with the proceeds
from principal repayments on its current portfolio of mortgage assets. The
Company does not anticipate that it will have any other material capital
expenditures. The Company believes that cash generated from the payment of
principal and interest on its mortgage asset portfolio will provide sufficient
funds to meet its operating requirements and to pay dividends in accordance with
the requirements to be treated as a REIT for income tax purposes for the
foreseeable future. The Company may borrow funds as it deems necessary.

## Tax Status of the Company

The Company has elected to be taxed as a REIT under Sections 856
through 860 of the Internal Revenue Code of 1986, as amended. As a REIT, the
Company generally will not be subject to Federal income tax on its net income
(excluding capital gains) provided that it distributes 100 percent of its annual
REIT taxable income to its stockholders, meets certain organizational, stock
ownership and operational requirements and meets certain income and asset tests.
If in any taxable year the Company fails to qualify as a REIT, the Company would
not be allowed a deduction for distributions to stockholders in computing its
taxable income and would be subject to Federal and state income tax (including
any applicable alternative minimum tax) on its taxable income at regular
corporate rates. In addition, the Company would also be disqualified from
treatment as a REIT for the four taxable years following the year during which
qualification was lost.

There were no capital gains recognized on Real Estate Owned
("REO") properties for quarter ended March 31, 2000. During the year
ended December 31, 1999, the Company recognized capital gains on the sale of
five REO properties of $29,909. As a result, subsequent to year 1999, the
Company made a tax payment of $10,468.

## RESULTS OF OPERATIONS

`Three Months Ended March 31, 2000 Compared to Three Months Ended March 31, 1999`

During the three months ended March 31, 2000 and 1999, the
Company reported net income of $5,190,415 and $5,053,348, respectively.

Interest income on Residential Mortgage Loans totaled $5,510,041
and $5,484,652 for the three months ended March 31, 2000 and 1999, respectively,
which represents an average yield on such loans of 7.42% and 7.50%,
respectively. The average loan balance of the Residential Mortgage Loan
portfolio was $297,045,073 and $292,637,062 for the three months ended March 31,
2000 and 1999, respectively. The Company would have recorded an additional
$7,492 and $10,715 in interest income for the three months ended March 31, 2000
and 1999, respectively, had its non-accrual loans been current in accordance
with their original terms.

Other interest income of $34,161 and $40,904 were recognized on
the Company's interest bearing deposits during the three months ended March
31, 2000 and 1999, respectively.

No provision for loan losses was recorded for the three months
ended March 31, 2000. A provision for loan losses of $13,520 was recorded on the
Company's loan portfolio during the three months ended March 31, 1999.

The Company did not have any REO properties during the three
months ended March 31, 2000. The Company recognized aggregate gains of $1,385 on
the sale of one REO property during the three months ended March 31, 1999.

Operating expenses totaling $343,319 and $460,073 for the three
months ended March 31, 2000 and 1999, respectively, were comprised of loan
servicing fees paid to parent, advisory fees paid to parent, directors fees and
general and administrative expenses. Loan servicing fees paid to parent of
$271,367 and $272,904, for the three months ended March 31, 2000 and 1999,
respectively, were based on a servicing fee rate of 0.375% per annum of the
outstanding principal balances of Residential Mortgage Loans, pursuant to a
servicing agreement between the Company and the Bank. Advisory fees paid to
parent for the three months ended March 31, 2000 and 1999 totaled $50,000 for
each period. Directors' fees totaled $11,000 and $6,500 for the three
months ended March 31, 2000 and 1999, respectively, and represent compensation
to the two independent members of the Board of Directors. General and
administrative expenses totaled $10,952 and $130,669 for the three months ended
March 31, 2000 and 1999, respectively. The decrease in general and
administrative expenses is due primarily to the acceleration in 1999 of the
amortization of organizational costs in accordance with the American Institute
of Certified Public Accountants' Statement of Position 98-5 "Reporting
on the Costs of Start-Up Activities," which the Company adopted during
fiscal year 1999.

On March 21, 2000 the Company's Board of Directors
declared, out of the retained earnings of the Company, a cash dividend of
$1.296875 per share on the outstanding Series A Preferred Shares. Dividends of
$3,890,625 were subsequently paid on April 17, 2000.

The Company's Board of Directors also declared on March 21,
2000, out of the retained earnings of the Company, a cash dividend of $5,000 per
share of common stock. The $500,000 dividend was paid on April 17, 2000.

## ITEM 3. Quantitative and Qualitative Disclosures
about Market Risk

Information required by this item is included in Item 2,
"Management's Discussion and Analysis of Financial Condition and
Results of Operations - Interest Rate Risk", which is hereby incorporated
herein by reference.

`PART II - OTHER INFORMATION`

## ITEM 1. Legal Proceedings

The Company is not the subject of any material litigation. None
of the Company, the Bank or any affiliate of the Bank is currently involved in
nor, to the Company's knowledge, is currently threatened with any material
litigation with respect to the Residential Mortgage Loans included in the
portfolio, other than routine litigation arising in the ordinary course of
business, most of which is covered by liability insurance.

## ITEM 2. Changes in Securities

`None.`

## ITEM 3. Defaults Upon Senior Securities

`None.


ITEM 4.  Submission of Matters to a Vote of Security Holders

None.`

## ITEM 5. Other Information

`None.`

## ITEM 6. Exhibits and Reports on Form 8-K

`(a) Exhibits required by Item 601 of Regulation S-K are set forth below.`

## Exhibit

`No.          Exhibit
-----------------------
   11          Computation of Earnings Per Common Share included in Part I, Item 1 of this report
   27          Financial Data Schedule

(b) No reports on Form 8-K were filed during the three months ended March 31, 2000.`

# SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.

# CHEVY CHASE PREFERRED CAPITAL CORPORATION

# (Registrant)

# Exhibit Index

## Exhibit

`No.                               Exhibit
-------------------------------------------

  11       Computation of Earnings Per Common Share included in Part I, Item
           1 of this report.

  27       Financial Data Schedule.`