TABLE 1. TOTAL BOOK OF BUSINESS COMPONENTS ($ in Millions) 1

Gross Mortgage Total Fannie Mae MBS Fannie Mae MBS

Portfolio and Other Guarantees in Portfolio Total Book Compounded New Business

[Table 3] [Table 4] [Table 5] of Business 4 Growth Rate 4 Acquisitions 4

September 2009 $ 792,675 $ 2,820,736 $ 370,588 $ 3,242,823 5.2% $ 68,942

October 2009 771,449 2,819,660 356,685 3,234,424 (3.1%) 58,871

November 2009 752,220 2,813,240 349,612 3,215,848 (6.7%) 43,051December 2009 772,504 2,826,389 358,194 3,240,699 9.7% 71,867

YTD 2009 $ 772,504 $ 2,826,389 $ 358,194 $ 3,240,699 4.2% $ 823,645

January 2010 $ 735,205 $ 2,824,667 $ 333,000 $ 3,226,872 (5.0%) $ 54,952

February 2010 725,891 2,822,552 318,798 3,229,645 1.0% 53,583

March 2010 764,809 2,815,997 317,395 3,263,411 13.3% 82,875April 2010 789,487 2,772,690 304,010 3,258,167 (1.9%) 85,320May 2010 813,661 2,724,494 287,470 3,250,685 (2.7%) 86,377

June 2010 817,800 2,683,988 282,186 3,219,602 (10.9%) 59,772

July 2010 811,988 2,670,491 276,727 3,205,752 (5.0%) 53,318August 2010 809,125 2,667,294 274,159 3,202,260 (1.3%) 57,781

September 2010 802,851 2,673,208 268,208 3,207,851 2.1% 79,505

YTD 2010 $ 802,851 $ 2,673,208 $ 268,208 $ 3,207,851 (1.3%) $ 613,483

TABLE 2. PORTFOLIO COMMITMENTS ($ in Millions) 1, 2, 3, 4 TABLE 3. GROSS MORTGAGE PORTFOLIO ($ in Millions) 1, 2

Commitments Commitments Net Retained Compounded Annualized

to Purchase, Net to Sell Commitments Purchases 3, 4 Sales 3 Liquidations 4 End Balance 3, 4 Growth Rate 3, 4 Liquidation Rate 4

September 2009 $ 69,667 $ (61,845) $ 7,822 $ 33,894 $ (11,548) $ (9,095) $ 792,675 22.4% (14.00%)

October 2009 64,522 (60,627) 3,895 26,360 (38,507) (9,079) 771,449 (27.8%) (13.74%)

November 2009 63,273 (60,392) 2,881 9,211 (19,272) (9,168) 752,220 (26.1%) (14.26%)

December 2009 59,261 (57,902) 1,359 34,321 (5,137) (8,900) 772,504 37.6% (14.20%)

YTD 2009 $ 710,195 $ (660,821) $ 49,374 $ 327,578 $ (218,838) $ (123,530) $ 772,504 (1.9%) (15.69%)January 2010 $ 53,605 $ (48,013) $ 5,592 $ 21,739 $ (49,293) $ (9,745) $ 735,205 (44.8%) (15.14%)

February 2010 46,726 (39,559) 7,167 19,564 (21,014) (7,864) 725,891 (14.2%) (12.84%)

March 2010 82,708 (45,672) 37,036 58,412 (9,152) (10,342) 764,809 87.1% (17.10%)

April 2010 79,154 (32,886) 46,268 52,701 (13,304) (14,719) 789,487 46.4% (23.09%)

May 2010 82,458 (32,725) 49,733 54,431 (16,060) (14,197) 813,661 43.6% (21.58%)

June 2010 64,250 (44,900) 19,350 27,607 (6,239) (17,229) 817,800 6.3% (25.41%)

July 2010 41,036 (32,298) 8,738 17,686 (7,898) (15,600) 811,988 (8.2%) (22.89%)

August 2010 54,841 (46,646) 8,195 18,681 (6,399) (15,145) 809,125 (4.1%) (22.38%)

September 2010 61,167 (55,667) 5,500 21,447 (11,302) (16,419) 802,851 (8.9%) (24.35%)

YTD 2010 $ 565,945 $ (378,366) $ 187,579 $ 292,268 $ (140,661) $ (121,260) $ 802,851 5.3% (20.93%)

TABLE 4. FANNIE MAE GUARANTEED SECURITIES AND MORTGAGE LOANS ($ in Millions) 1

Fannie Mae Other Total Fannie Mae

MBS Annualized Fannie Mae MBS and Other Compounded Mortgage

Issuances 5 Liquidations 4 End Balance 4 Liquidation Rate4 Guarantees Guarantees 4 Growth Rate 4 Loans 4

September 2009 $ 59,246 $ (44,555) $ 2,795,734 (19.23%) $ 25,002 $ 2,820,736 6.9% $ 268,642 $ 3,089,378

October 2009 40,741 (41,175) 2,795,300 (17.67%) 24,360 2,819,660 (0.5%) 273,143 3,092,803

November 2009 40,366 (46,582) 2,789,084 (20.00%) 24,156 2,813,240 (2.7%) 273,929 3,087,169

December 2009 55,374 (43,569) 2,800,889 (18.75%) 25,500 2,826,389 5.8% 281,239 3,107,628

YTD 2009 $ 807,853 $ (590,553) $ 2,800,889 (22.86%) $ 25,500 $ 2,826,389 8.2% $ 281,239 $ 3,107,628

January 2010 $ 47,613 $ (53,924) $ 2,794,578 (23.10%) $ 30,089 $ 2,824,667 (0.7%) $ 284,616 $ 3,109,283

February 2010 43,975 (45,941) 2,792,612 (19.73%) 29,940 2,822,552 (0.9%) 292,443 3,114,995

March 2010 36,843 (43,744) 2,785,711 (18.80%) 30,286 2,815,997 (2.8%) 330,277 3,146,274

April 2010 37,806 (81,046) 2,742,471 (34.91%) 30,219 2,772,690 (17.0%) 372,667 3,145,357May 2010 36,204 (84,534) 2,694,141 (36.99%) 30,353 2,724,494 (19.0%) 416,331 3,140,825June 2010 40,174 (80,912) 2,653,403 (36.04%) 30,585 2,683,988 (16.5%) 426,185 3,110,173

July 2010 42,748 (56,446) 2,639,705 (25.53%) 30,786 2,670,491 (5.9%) 428,237 3,098,728

August 2010 47,999 (51,295) 2,636,409 (23.32%) 30,885 2,667,294 (1.4%) 429,032 3,096,326

September 2010 69,630 (63,219) 2,642,820 (28.78%) 30,388 2,673,208 2.7% 429,833 3,103,041

YTD 2010 $ 402,992 $ (561,061) $ 2,642,820 (26.71%) $ 30,388 $ 2,673,208 (7.2%) $ 429,833 $ 3,103,041

Total Fannie Mae MBS 

MON

and Mortgage Loans 4

Guaranteed Securities

Fannie Mae

+ - = S

 Fannie Mae’s B

compound annuSeptember.

 Fannie Mae’s G

compound annuSeptember.

 The Convention

Rate fell 12 basthe Multifamily points to 0.66 p

 The Effective D

averaged zero IMPORTANT NWe have been Federal Housinconservator, sin

Numbers may not sum due to rounding See Endnotes and Glossary on Page 3 and 4 
TABLE 5. MORTGAGE PORTFOLIO COMPOSITION ($ in Millions) 1

Mortgage M

Purchases Sales Liquidations Securitizations 6 End Balance Loans 4 Agency Non-Agency 

September 2009 $ 12,775 $ (3,267) $ (5,638) $ 11,423 $ 370,588 $ 268,642 $ 60,573 $ 92,872 

October 2009 2,391 (16,545) (5,588) 5,839 356,685 273,143 49,397 92,224 

November 2009 1,271 (7,737) (5,862) 5,255 349,612 273,929 37,181 91,498 December 2009 11,799 (3,696) (5,550) 6,029 358,194 281,239 42,645 90,426 

YTD 2009 $ 98,053 $ (170,932) $ (70,230) $ 213,733 $ 358,194 $ 281,239 $ 42,645 $ 90,426 

January 2010 $ 8,166 $ (33,338) $ (6,256) $ 6,234 $ 333,000 $ 284,615 $ 27,882 $ 89,708 

February 2010 5,634 (19,011) (5,147) 4,322 318,798 292,443 25,547 89,103 

March 2010 8,682 (9,087) (4,696) 3,698 317,395 330,277 28,703 88,434 April 2010 1,199 (10,100) (8,472) 3,988 304,010 372,667 25,006 87,804 

May 2010 735 (14,146) (6,652) 3,523 287,470 416,331 22,695 87,165 June 2010 1,608 (5,806) (7,487) 6,401 282,186 426,185 22,850 86,579 

July 2010 1,149 (6,566) (6,009) 5,967 276,727 428,237 21,132 85,892 

August 2010 769 (6,238) (5,229) 8,130 274,159 429,032 20,660 85,274 September 2010 1,617 (11,264) (6,259) 9,955 268,208 429,833 20,181 84,629 

YTD 2010 $ 29,559 $ (115,556) $ (56,207) $ 52,218 $ 268,208 $ 429,833 $ 20,181 $ 84,629 

TABLE 6. OTHER INVESTMENTS ($ in Millions) 1 TABLE 7. DEBT ACTIVITY ($ in Millions) 7

Original Maturity 

Other Investments < 1 Year Maturities and Foreign Exchange 

End Balance End Balance Issuances Redemptions Repurchases Adjustments End Balance 

September 2009 $ September 2009 59,354 $ 241,039 $ 15,044 $ (27,692) $ (245) $ 13 $ 574,468 

October 2009 October 2009 76,942 218,678 20,699 (9,839) (491) 27 584,864 November 2009 November 2009 65,440 191,896 13,450 (7,939) - 12 590,387 

December 2009 December 2009 58,417 200,567 22,824 (27,494) (480) (29) 585,208 YTD 2009 $ YTD 2009 58,417 $ 200,567 $ 295,274 $ (253,842) $ (6,920) $ 139 $ 585,208 

January 2010 $ January 2010 80,792 $ 178,446 $ 29,944 $ (28,786) $ - $ (9) $ 586,357 

February 2010 February 2010 92,589 185,433 30,010 (34,489) (200) (25) 581,653 

March 2010 March 2010 135,025 208,007 42,041 (31,392) (296) 6 592,012 April 2010 April 2010 126,934 220,482 33,613 (31,353) (490) 9 593,791 

May 2010 May 2010 123,237 243,172 28,376 (24,893) (250) (73) 596,951 June 2010 June 2010 116,782 256,346 38,928 (31,453) - 20 604,446 

July 2010 July 2010 99,407 260,988 40,670 (54,304) - 60 590,872 

August 2010 August 2010 88,467 240,595 51,894 (41,587) - (21) 601,158 

September 2010 September 2010 78,025 219,397 46,200 (36,600) - 55 610,813 

YTD 2010 $ YTD 2010 78,025 $ 219,397 $ 341,676 $ (314,857) $ (1,236) $ 22 $ 610,813 

TABLE 8. INTEREST RATE RISK DISCLOSURES ($ in Billions) TABLE 9. SERIOUS DELINQUENCY RATES

Effective Multifamily

Rate Level Rate Slope Duration Gap Non-Credit Credit

Shock (50 bp) Shock (25 bp) (in months) Enhanced Enhanced Total Total 9

August 2009 2.87% 11.52% 4.45% 0.56%

September 2009 $ (0.8) $ (0.2) (2) September 2009 3.09% 12.16% 4.72% 0.62%October 2009 (0.5) (0.2) (1) October 2009 3.28% 12.75% 4.98% 0.61%

November 2009 (0.6) (0.2) 0 November 2009 3.52% 13.45% 5.29% 0.66%

December 2009 (0.6) (0.1) 1 December 2009 3.67% 13.51% 5.38% 0.63%

YTD 2009 $ (0.7) $ (0.2)January 2010 $ (0.2) $ (0.2) 1 January 2010 3.83% 13.68% 5.52% 0.69%February 2010 (0.3) (0.1) 0 February 2010 3.90% 13.80% 5.59% 0.73%

March 2010 (0.5) (0.1) (1) March 2010 3.90% 13.29% 5.47% 0.79%April 2010 (0.4) (0.1) (1) April 2010 3.89% 12.55% 5.30% 0.78%May 2010 (0.9) (0.1) (2) May 2010 3.81% 12.20% 5.15% 0.76%

June 2010 (0.4) 0.0 0 June 2010 3.74% 11.68% 4.99% 0.80%

July 2010 (0.2) 0.0 0 July 2010 3.62% 11.27% 4.82% 0.74%

August 2010 (0.2) 0.0 0 August 2010 3.55% 10.96% 4.70% 0.66%

September 2010 (0.3) (0.1) 0

YTD 2010 $ (0.4) $ (0.1)

Market Value Sensitivity 

Fannie Mae MBS in Portfolio Mortgage Securities

Non-Fannie Mae

Conventional Single-Family 8

Original Maturity > 1 Year

Numbers may not sum due to rounding See Endnotes and Glossary on Page 3 and 4 
1.

2.3.4.5.6.7.8.9.

Reported amounts represent the UPB at each reporting period or, in the case of the long-term zero coupon bonds, at maturity. UPB deffect of debt basis adjustments, including discounts, premiums, and issuance costs.Calculated based on the UPB of seriously delinquent multifamily loans owned by Fannie Mae or underlying Fannie Mae guaranteed sthe UPB of multifamily loans owned by Fannie Mae or underlying Fannie Mae guaranteed securities.Includes seriously delinquent conventional single-family loans as a percent of the total number of conventional single-family loans. Thon conventional single-family mortgage loans and exclude reverse mortgages and non-Fannie Mae mortgage securities held in our poenhanced refers to loans that have primary mortgage insurance and/or other credit enhancements.Initiatives to repurchase delinquent loans out of MBS trusts may result in additional volatility on a month-to-month basis.Includes Fannie Mae mortgage-backed securities ("Fannie Mae MBS") issued from Fannie Mae's mortgage portfolio. See Table 5 for balances for Fannie Mae MBS held in portfolio. Securitizations in Table 5 represent new Fannie Mae MBS created from mortgage assets held in the mortgage portfolio, including whoamounts are included in issuances in Table 4 and, if sold during the month, will be included in sales in Table 5. Our securitizations of portfolio the prior month will reduce the mortgage loans reported in Table 5.

ENDNOTES

The end balances and business activity in this report represent unpaid principal balances ("UPB"), which do not reflect market valuatioallowance for loan losses, impairments, unamortized premiums and discounts, and the impact of consolidation of variable interest entAs of September 30, 2010, our gross mortgage portfolio end balance, after taking into account net outstanding commitments to sell of $794.8 billion.Gross commitments in Table 2 include dollar roll transactions (purchase commitments with concurrent agreements to re-sell later, or swith concurrent agreements to repurchase later) in the month in which we enter into them. Table 3 reflects activity from settlements of accounted for as purchases and sales of securities, but does not include activity from settlements of dollar rolls that are accounted for financings. Dollar roll activity may result in volatility on a month-to-month basis in our reported portfolio commitments, purchases, saleand compounded growth rate.
General

Table 1Table 2Table 3Table 4Table 5Table 6Table 7Table 8Table 9Serious Delinquency Rates. A measure of credit performance and indicator of future defaults for the single-family and multifamily mortgage credit books. We include single-family loans that are three mo

foreclosure process, and multifamily loans that are 60 days or more past due. We include conventional single-family loans that we own and that back Fannie Mae MBS in our single-family delinquency ratcredit enhancement.Debt Activity. Debt is classified in the table based on its original maturity. For debt with an original term of more than one year, the portion of that long-term debt that is due within one year is not reclassiYear." For more information about Fannie Mae's debt activity, please visit www.fanniemae.com/markets/debt/debt_activity. Our interest rate risk measures provide useful estimates of key interest-rate risk and include the impact of our purchases and sales of derivative instruments, which we use to limit our exposure to changes believe that our market value sensitivity and duration gap metrics are useful risk management tools, they should be understood as estimates rather than precise measurements. Methodologies employed tsensitivity disclosures are periodically changed on a prospective basis to reflect improvements in the underlying estimation processes.Market Value Sensitivity to Rate Level Shock (50bp). This measurement shows the estimated loss in pre-tax market value of Fannie Mae’s assets and liabilities from an immediate adverse 50 basis porates. The amounts shown are estimates, not precise measurements. The measurement excludes any sensitivity of the guaranty business. Fannie Mae tracks the daily average of this measurement for tMarket Value Sensitivity to Rate Slope Shock (25bp). This measurement shows the estimated loss in pre-tax market value of Fannie Mae’s assets and liabilities from an immediate adverse 25 basis poLIBOR yield curve. To calculate the adverse change in the slope of the LIBOR yield curve, the company calculates the effect of a 25 basis point change in slope that results in a steeper LIBOR yield curve change in slope that results in a flatter LIBOR yield curve, and reports the more adverse of the two results. The amounts shown are estimates, not precise measurements. The measurement excludes anbusiness. Fannie Mae tracks the daily average of this measurement for the reported month.

Mortgage Portfolio Composition. Shows the primary components of Fannie Mae's mortgage portfolio and activity relating to Fannie Mae MBS held in the mortgage portfolio.

Non-Fannie Mae Agency Securities. Represents mortgage-related securities issued by Freddie Mac and Ginnie Mae.Non-Fannie Mae Non-Agency Securities. These are commonly referred to as "private-label securities."

Effective Duration Gap. The effective duration gap estimates the net sensitivity of the fair value of Fannie Mae’s assets and liabilities to movements in interest rates. This statistic is expressed as a numaverage for the reported month. A duration gap of zero implies that the change in the fair value of assets from an interest rate move will be offset by an equal move in the fair value of liabilities, including dno change in the fair value of the net assets. The calculation excludes any sensitivity of the guaranty business. 

Issuances. Represents the total amount of Fannie Mae MBS created during the month, including lender-originated issues and Fannie Mae MBS created from mortgage loans previously held in FanniMBS may be held in portfolio after their creation.Liquidations. Represents the total amount of repayments, curtailments, payoffs, and foreclosures on mortgages underlying Fannie Mae MBS, including Fannie Mae MBS held in the mortgage portfolOther Fannie Mae Guarantees. Outstanding balance of Fannie Mae guarantees, other than Fannie Mae MBS. This primarily includes long-term standby commitments we have issued and credit enhAnnualized Liquidation Rate. The liquidation rate is calculated as liquidations divided by the prior period ending balance of total Fannie Mae MBS, annualized. Liquidations. Represents the total amount of repayments, curtailments, payoffs, and foreclosures on mortgage loans and mortgages underlying securities held in the mortgage portfolio.Annualized Liquidation Rate. The liquidation rate is calculated as liquidations divided by the prior period ending balance of the mortgage portfolio, annualized. 

Fannie Mae Guaranteed Securities and Mortgage Loans. Consists of securities and mortgage loans for which Fannie Mae manages credit risk. This table excludes non-Fannie Mae securities held in tshown in Table 5.

Total Fannie Mae MBS. Includes Fannie Mae MBS, private label wraps, whole loan REMICs, and Ginnie Mae wraps. Also includes Multifamily discount MBS (DMBS) that Fannie Mae guarantees, re

are held in the mortgage portfolio or held by investors other than Fannie Mae. If an MBS has been resecuritized into another MBS, the principal amount is only included once in this total. Net Retained Commitments. Represents mandatory commitments to purchase, less commitments to sell, net of mortgage loans for which a cash pair-off has been paid. 

Gross Mortgage Portfolio. End balance represents the unpaid principal balance ("UPB") of the mortgage portfolio that Fannie Mae holds for investment and liquidity purposes. 

Purchases. Acquisition of mortgage loans and mortgage securities for the mortgage portfolio. Includes capitalized interest.Sales. Sales of mortgage securities from the mortgage portfolio.

Other Investments. The $78.0 billion total as of September 30, 2010 includes $71.4 billion of readily marketable instruments such as certificates of deposit, federal funds sold, securities purchased under treasury bills. In addition, the balance includes $6.6 billion of non-governmental asset-backed securities.

GLOSSARY & OTHER INFORMATION

Risk Disclosures. In addition to the interest rate risk disclosures provided in Table 8, Fannie Mae's most recent available information relating to subordinated debt, liquidity management, corporate risk rain its most recent Form 10-K or Form 10-Q filed with the Securities and Exchange Commission.Compounded Growth Rate. Monthly growth rates are compounded to provide an annualized rate of growth.Total Book of Business. Sum of the Gross Mortgage Portfolio balance and Total Fannie Mae MBS and Other Guarantees balance, less Fannie Mae MBS held in the mortgage portfolio.

New Business Acquisitions. Sum of MBS issuances and Mortgage Portfolio purchases less Fannie Mae MBS purchases and securitizations of mortgage loans previously held in portfolio.

Portfolio Commitments. Represents mandatory commitments entered into during the month. Fannie Mae enters into forward commitments to purchase mortgage securities and mortgage loans, or to semortgage portfolio. Purchase commitments typically require mandatory delivery and are subject to the payment of pair-off fees for non-delivery. 

Commitments to Purchase, Net. Represents mandatory commitments to purchase mortgage loans and mortgage securities, net of mortgage loans for which a cash pair-off has been paid. Pair-offs 

delivered against mandatory commitments.Commitments to Sell. Represents mandatory commitments to sell mortgage securities.