Fre 6.27.09

Freddie Mac Update

June 2009

Table of Contents Section

Page

I

Freddie Mac Overview

2

II

U.S. Housing Market

8

III

Credit Guarantee Business

19

IV

Investment Management Business

41

V

Global Debt Funding Program

47

VI

Mortgage Funding

60

For more information about Freddie Mac and its business, please see the company’s filings with the Securities and Exchange Commission, including the company’s Annual Report on Form 10-K for the year ended December 31, 2008, which are available on the Investor Relations page of the company’s Web site at www.FreddieMac.com/investors and the Securities and Exchange Commission’s Web site at www.sec.gov.

1

Freddie Mac Overview

Congress created Freddie Mac to provide stability, liquidity, and affordability to the U.S. residential mortgage market U.S. Residential Mortgage Market

Mortgage Securitization

Mortgage-backed Securities

Freddie Mac

Global Capital Markets

Mortgage Investments

Debt Securities

“A primary purpose is to provide stability in the secondary market for home mortgages including mortgages securing housing for low and moderate income families. This can be accomplished through both portfolio purchasing and selling activities, as well as through the securitization of home mortgages.”1 1House

of Representatives report on FIRREA, No. 54, 101st Congress, 1st Session, Part 3 at 2 (1989).

3

Freddie Mac is a central part of the U.S. housing market $ Trillions 20

U.S. Residential Mortgage Debt Outstanding $18.6

18

2008 FRE/FNM Total Portfolio FRE/FNM Eligible Total US Residential Mortgages

16 14 12

$ Trillions 5.3 10.4 11.9

$12.0

$11.9

$11.8

2007

2008

2009 Est.

$12.6

$11.2 $10.1

10 8 $5.5

6 4

$3.7 $2.9

2 0 1990

1995

2000

FRE/FNM Total Portfolio

2005

2006

Total U.S. Residential Mortgages

2010 Est.

2015 Est.

FRE/FNM Eligible

Sources: Freddie Mac Total Portfolio: Monthly Volume Summary, January 2009; Fannie Mae Total Portfolio: Monthly Summary, January 2009, “Book of Business”; Total US Residential MDO: Federal Reserve Board’s Flow of Funds Accounts, March 12, 2009. The MDO forecasts for 2009 through 2010 are based on the March 2009 forecast of Freddie Mac’s Chief Economist. The forecasted figure for 2015 is from the Homeownership Alliance, based on an 8.25% annual growth rate, and assume a constant FHA & VA share of MDO; FRE/FNM Eligible MDO: Nets out an assumed 15% jumbo share of single-family conventional MDO.

4

Our credit guarantee business has accounted for most of our growth Total mortgage portfolio

UPB $ Billions

$2,231

$2,207

2,200

$2,103

2,000 $1,827

1,800

$1,685 $1,506

1,600

$1,401

$1,415 1,400

$1,317

$1,836

1,200 1,000 800

$435

600 $830

400 200 0

$395 1

2002

2003

1

2004

1

2005

2006

2007

2008

2009

Outstanding Guaranteed PCs and Structured Securities Mortgage-related Investments Portfolio (PCs & Structured Securities) Mortgage-related Investments Portfolio (Non-Freddie Mac Mortgage-Related Securities & Mortgage Loans) 1 Includes

PCs and Structured Securities Freddie Mac held in connection with PC market-making and support activities accomplished through the Securities Sales & Trading Group business unit and the Money Manager program. These programs ceased in the fourth quarter of 2004. Source: Freddie Mac. Figures for 2009 are subject to change. 2009 data as of April 30, 2009.

5

Conservatorship

ƒ

The Director of the Federal Housing Finance Agency (FHFA) has placed Freddie Mac and Fannie Mae in conservatorship in order to restore the balance between the GSEs’ safety and soundness and mission

ƒ

FHFA is the Conservator for both GSEs » The Conservator assumed all powers of the Boards, management and shareholders » FHFA reconstituted our board of directors and executive management » FHFA stated that the GSEs will continue business as usual during the conservatorship

ƒ

FHFA has indicated that the goals of the conservatorship include: » Restoring confidence in the GSEs » Enhancing the GSEs’ capacity to fulfill their missions » Mitigating the systemic risk that has contributed to market instability

ƒ

FHFA has indicated that a GSE’s conservatorship will end when the Director determines that FHFA’s plan to restore the GSE to a safe and solvent condition has been completed 6

GSE-related government actions ƒ

ƒ

Treasury actions: » Entered into a Senior Preferred Stock Purchase Agreement with each GSE • Each Agreement provides a commitment for an indefinite time period for a maximum amount of $200 billion for each GSE • Freddie Mac has received a total of $44.6 billion (including $30.8 billion received on March 31, 2009) and expects to receive an additional $6.1 billion by June 30, 2009 » Created a GSE Credit Facility • Short-term credit facility is available to Freddie Mac, Fannie Mae and the Federal Home Loan Banks at LIBOR + 50 basis points • Credit facility available until December 31, 2009 » Implemented an MBS Purchase Program • Purchased a total of $145.7 billion of GSE mortgage-backed securities as of May 31, 2009 • Program will expire on December 31, 2009 The Fed resumed purchases of Agency securities for its System Open Market Account (SOMA) for the first time since 1981 » Fed may purchase up to $200 billion in Agency debt securities and $1.25 trillion of Agency MBS by the end of 2009 • Purchased a total of $14.5 billion of Agency discount notes, $88.8 billion of Agency long-term debt securities and $881.0 billion of Agency MBS as of June 12, 2009 7

U.S. Housing Market

Single-family mortgage debt is protected in relation to total value of housing stock $ Trillions 25

20

15

Value of Housing Stock1

10

$7.9 Trillion

$7.9 Trillion (2001) Home Equity

5

$10.5 Trillion

Single-family Mortgage Debt 2

0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 1 Value

of Housing Stock: Federal Reserve Board’s Flow of Funds Accounts, March 12, 2009, Table B.100 (line #50). Note this figure includes homes with and without underlying mortgages. Home equity is the difference between the value of the housing stock and the amount of single-family debt.

2

Single-family Mortgage Debt Outstanding: Federal Reserve Board’s Flow of Funds Accounts, March 12, 2009, Table B.100 (line #33).

Source: Federal Reserve Board’s Flow of Funds Accounts. Data as of December 31, 2008.

9

U.S. nominal house prices have declined sharply Annual national house price growth Percent 16 14 12 10 8

4.7%: 1952-2008 Average Growth Rate

6 4 2 0 -2 -4

- Recession Year

-6 1952

1956

1960

1964

1968

1972

1976

1980

1984

1988

1992

1996

Note: Growth rates for 1952 to 2008 are calculated using the annual average of certain third party and Freddie Mac indices. Sources: E. H. Boeckh and Associates, Bureau of Labor Statistics, U.S. Census Bureau and Freddie Mac.

2000

2004

2008

10

National home prices have experienced a cumulative decline of 19.6% since June 20061 Percent (% ) 6 4.8

4.5

4 2.2

2.7

2.4

2.5

1.7

2

2.1 1.1 1.3 0.5

0.8

0 (0.3)

(0.6) (1.2)

(2)

(1.4) (2.0) (2.9)

(4)

(3.3)

(4.2) (6) (6.8) (8) 1Q04

3Q04

1 National

1Q05

3Q05

1Q06

3Q06

1Q07

3Q07

1Q08

3Q08

1Q09

home prices use the internal Freddie Mac index, which is value-weighted based on Freddie Mac’s single-family portfolio. The U.S. index is a monthly series; quarterly growth rates are calculated as a 3-month change based on the final month of each quarter. Prior period numbers 11 have been revised to conform to the current presentation. Source: Freddie Mac.

47 States and Washington, DC had home price declines from March 2008 to March 20091 United States –11.4% -7.8

-4.5 0.6

-5.7 -11.5

-5.7

-1.6

-12.0

-2.2 -7.9 -8.3 -4.4

-9.7 -10.0

-10.6

-4.9

0.1

-4.4

-6.2

-35.1 -15.1

-10.6 -2.1 -5.1

-22.3

-0.9

-0.6

-2.3

-8.5

-0.7

-2.2

1 National

DC –6.1

-0.6

-10.4 -7.4

-3.6 -22.4

-17.9

CT –9.8

-6.5 -0.6

-3.1

-11.7

0.3

-2.0

RI –14.1

-16.2 -0.3

-2.5 -27.6

-8.7

>= 0% -5 to 0% -10 to -5% -20 to -10% < -20%

home prices use the internal Freddie Mac index, which is value-weighted based on Freddie Mac’s single-family portfolio. The state index is a monthly series; annual growth rates are calculated as a 12-month change. Source: Freddie Mac.

12

Inventories of homes for sale remain above recent levels Months Supply of Homes for Sale 15

14 Existing Homes 13 12 11 10 9 8 7 6 5 4 New Homes 3 2 1 0 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 - Recession Year Sources: Census Bureau and National Association of Realtors. 2009 data as of April 30, 2009.

13

A large inventory overhang remains within the housing market Excess unsold homes for sale

Numbers in Thousands

1,000 Annual Data

900

Quarterly Data

800 700 600 500 400 300 200 100 0 Q1

-100 1996

2000

2004

Q4 Q1

2005

Q4 Q1

2006

Q4 Q1

2007

Note: The excess unsold homes were estimated based on the average vacancy rate from 1996Q1 to 2005Q4 (1.7%). Source: Bureau of Census (1996-2004:Annual Data, 2005Q1–2009Q1:Quarterly Data)

Q4 Q1

2008

2009 14

Higher refinances expected to increase mortgage originations in 2009 Total single-family mortgage originations $ Billions 4,000 Refinance Originations Home Purchase Originations 3,000

2,000

1,000

0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Est. Est. Source: U.S. Department of Housing and Urban Development and Federal Financial Institutions Examination Council. 2008 and 2009 data based on the May 2009 forecast of Freddie Mac’s Office of the Chief Economist.

15

Housing affordability has improved Housing affordability Index

180 170 160 150 140 130 120 Average = 125

110 100 90 80 1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

Note: An index of 100 indicates a median income family has exactly enough income to qualify for a mortgage on a median-priced home. An index above 100 signifies that a median income family has more than enough income to qualify for a mortgage on a median-priced home. Data seasonally adjusted. Source: National Association of Realtors. 2009 data as of March 31, 2009.

16

Jumbo-conforming spreads have declined from record levels in December 2008 Effective jumbo-conforming interest rate spread

Basis points 200 180

Record: 184 bps 12/19/08

160 Most recent: 109 bps 6/5/09

140 120 100 80 60 40 20 0 1988

1991

1994

1997

2000

2003

2006

2009

Note: Effective spread adds fees and points to the interest rate. Source: HSH Associates. Data as of June 5, 2009.

17

Mortgage rates on conforming jumbo loans 30-year fixed mortgage rates Percent 8.0 7.5 7.0 6.5 6.0 5.5 5.0 4.5 1/4/08

2/29/08

4/25/08

30-Year Conforming

6/20/08

8/15/08

10/10/08

12/5/08

30-Year Conforming Jumbo

Source: HSH Associates. Points and fees are added to interest rates. Data as of June 5, 2009.

1/30/09

3/27/09

5/22/09

30-Year Non-Conforming Jumbo

18

Credit Guarantee Business

Our GSE market share remains near historical levels Freddie Mac share of PC/MBS issuances (Percent)

Freddie Mac’s GSE market share

50

45% 45 43%

43%

43%

42%

41% 40% 40 37% 35

30 2002

2003

2004

2005

2006

2007

2008

2009 YTD

20 Source: Freddie Mac and Fannie Mae Monthly Volume Summaries. 2009 data as of April 30, 2009. Figures for 2009 are subject to change.

Private-label MBS issuance has moderated $ Billions $500 $450 $400

$433 $403

$46 $38

$348 $20 $14 $19 $31

$350 $40 $300

$26

$345

$23 $1

$1

$15 $67

$348

$1

$6 $39

$89

$256

$250

$2

$222

$81

$200

$9

$80 $150

$283

$265

$285

$310

$100

$258 $173 $133

$50 $0 3Q 2007

4Q 2007

FRE & FNM

1Q 2008

GNMA

2Q 2008

Prime Jumbo

Note: Private-label MBS includes prime jumbo, Alt-A and subprime & other issuance categories. Source: Inside MBS & ABS.

3Q 2008

Alt-A

4Q 2008

1Q 2009

Subprime & Other

21

We fulfill our mission through purchasing a variety of mortgage products Total mortgage portfolio purchases Four months ended April 30, 2009

Total mortgage portfolio As of April 30, 2009

$167.6 Billion

$1.96 Trillion 30-year Fixed Rate 65%

20-year Fixed Rate 3% 30-year Fixed Rate 80%

20-year Fixed Rate 3% 15-year Fixed Rate 13%

15-year Fixed Rate 10% ARM <1%

IO 8%

IO <1%

ARM 4%

Multifamily Conventional 4%

Option ARM 1% Balloon <1%

Other 3%

Other 1%

Note: Excludes non-Freddie Mac mortgage-related securities. Source: Freddie Mac.

Multifamily Conventional 5%

22

Current LTV of our single-family portfolio has increased Average estimated loan-to-value1 ratio of our single-family portfolio adjusted to reflect current market prices Average Estimated Current LTV (Percent) 80 76% 75 72% 70 65% 65

63%

63% 60%

61%

61%

61%

60

58% 56%

57%

55 1998 1

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

Mar 31, 2009

Based on the unpaid principal balance of the single-family mortgage portfolio, excluding Structured Securities backed by Ginnie Mae Certificates and certain Structured Transactions that are backed by non-Freddie Mac mortgage-related securities for which the loan characteristics data was not available. Current market values are estimated by adjusting the value of the property at origination based on changes in the market value of homes since origination. Estimated current LTV ratio range is not applicable to purchases we made during 2008, includes the credit-enhanced portion of the 23 loan and excludes any secondary financing by third parties. Source: Freddie Mac.

Freddie Mac’s single-family portfolio is well diversified1

North Central 19%

Northeast

West

24%

26% Southwest 13%

Southeast 18%

1

Based on unpaid principal balances, and excludes Structured Securities backed by Ginnie Mae Certificates.

Source: Freddie Mac. Data as of March 31, 2009.

24

Portfolio risk characteristics Estimated current loan-to-value1,2 (Percent)

Credit score2,3

Above 100 17% 60 and below 29% Above 90 to 100 11%

Less than 620 Not Available 4% 1% 620 to 659 9%

660 to 699 17%

740 and above 47%

Above 60 to 70 12% Above 80 to 90 16%

Above 70 to 80 15%

700 to 739 22%

1

Current market values are estimated by adjusting the value of the property at origination based on changes in the market value of homes since origination. Estimated current LTV ratio range is not applicable to purchase activity, includes the credit-enhanced portion of the loan and excludes any secondary financing by third parties. Including secondary financing, the total original LTV ratios above 90% was 14% at March 31, 2009. 2

Based on the unpaid principal balance of the single-family mortgage portfolio excluding Structured Securities backed by Ginnie Mae Certificates and certain Structured Transactions. Structured Transactions with ending balances of $2 billion at March 31, 2009 are excluded since these securities are backed by non-Freddie Mac issued securities for which the loan characteristics data was not available. 3

Credit score data is as of mortgage loan origination and is based on FICO scores.

Source: Freddie Mac. Data as of March 31, 2009.

25

Portfolio exposure by current LTV ratio range Estimated current loan-to-value1 Percent 100

Above 100%

90 80

Above 90% - 100%

70

Above 80% - 90%

60 50

Above 70% - 80%

40 30

Above 60% - 70%

20

60% and below

10 0 2004

2005

2006

2007

2008

Mar 31, 2009

1

Current market values are estimated by adjusting the value of the property at origination based on changes in the market value of homes since origination. Estimated current LTV ratio range is not applicable to purchase activity, includes the credit-enhanced portion of the loan and excludes any secondary financing by third parties. Including secondary financing, the total LTV ratios above 90% were 14% at both March 31, 2009 and December 31, 2008, respectively. Source: Freddie Mac.

26

Portfolio exposure by credit score range Credit score1 Not available Percent 100

Less than 620 620 to 659

90 80

660 to 699

70 60

700 to 739

50 40 30

740 and above

20 10 0 2003 1

2004

2005

2006

2007

2008

Mar 31, 2009

Based on the unpaid principal balance of the single-family mortgage portfolio excluding Structured Securities backed by Ginnie Mae Certificates and certain Structured Transactions. Structured Transactions with ending balances of $2 billion at March 31, 2009, $2 billion at December 31, 2008, $6 billion at December 31, 2007 and $5 billion at December 31, 2006 excluded since these securities are backed by non-Freddie Mac issued securities for 27 which the loan characteristics data was not available. Credit score data is as of mortgage loan origination and is based on FICO scores. Source: Freddie Mac.

Estimated sensitivity of credit losses to an immediate 5% decline in house prices1 Net Present Value ($ Millions) 12,000 10,000 8,000 6,000 4,000 2,000 0

6/30/2007 9/30/2007 12/31/2007 3/31/2008 6/30/2008 9/30/2008 12/31/2008 3/31/2009

Before credit enhancements 2

After credit enhancements3

1

Based on the single-family mortgage portfolio, excluding Structured Securities backed by Ginnie Mae Certificates. Since we do not use this analysis for determination of our reported results under GAAP, this sensitivity analysis is hypothetical and may not be indicative of our actual results. 2

Assumes that none of the credit enhancements currently covering our mortgage loans has any mitigating impact on our credit losses.

3

Assumes we collect amounts due from credit enhancement providers after giving effect to certain assumptions about counterparty default rates.

Source: Freddie Mac.

28

Credit delinquencies and losses continue to increase

90-day single-family delinquencies1

Basis Points 250

Total credit losses2

Basis Points 30

225 200

25

175

20

150

15

125 100

10

75

5

50

0

25 2004

2005

2006

2007

2008

Mar 31, 2009

2004

2005

2006

2007

2008

Mar 31, 2009

1 Based on mortgage loans in our mortgage-related investments portfolio and total guaranteed PCs and Structured Securities issued, excluding Structured Transactions, Structured Securities backed by Ginnie Mae Certificates and mortgage loans whose contractual terms have been modified under an agreement with the borrower and the borrower is less than 90 days delinquent under the modified terms. 2Calculated

as annualized credit losses divided by the average total mortgage portfolio, excluding non-Freddie Mac mortgage-related securities and that portion of Structured Securities that is backed by Ginnie Mae Certificates. Source: Freddie Mac.

29

Delinquencies are low relative to the industry 90-day or more delinquencies Basis Points 500

470

450 400

374

350 300 250

229

200

172

150 100 50 0 2003

2004

2005

2006

2007

2008

Mar 31, 2009

MBA Prime Conventional Mortgage Delinquencies 1 Freddie Mac Total Single-Family 90-day or More Delinquencies 1

Based on mortgage loans in our mortgage-related investments portfolio and total guaranteed PCs and Structured Securities issued, excluding Structured Transactions, Structured Securities backed by Ginnie Mae Certificates and mortgage loans whose contractual terms have been modified under an agreement with the borrower and the borrower is less than 90 days delinquent under the modified terms. Source: Mortgage Bankers Association and Freddie Mac.

30

Single-family delinquency rates by region

(In Basis Points) Non-credit enhanced delinquency rates

1Q 2008

2Q 2008

3Q 2008

4Q 2008

1Q 2009

1

1

North Central

52

59

72

98

130

2

Northeast

45

53

69

96

129

3

Southeast

76

98

131

187

249

4

Southwest

33

38

46

68

82

5

West

59

80

108

167

250

65

77

93

172

229

Total single-family delinquency rate 6

2

Total portfolio

1 Presentation

of non-credit-enhanced delinquency rates with the following regional designation: West (AK, AZ, CA, GU, HI, ID, MT, NV, OR, UT, WA); Northeast (CT, DE, DC, MA, ME, MD, NH, NJ, NY, PA, RI, VT, VA, WV); North Central (IL, IN, IA, MI, MN, ND, OH, SD, WI); Southeast (AL, FL, GA, KY, MS, NC, PR, SC, TN, VI); and Southwest (AR, CO, KS, LA, MO, NE, NM, OK, TX, WY).

2 Based

on mortgage loans in our mortgage-related investments portfolio and total guaranteed PCs and Structured Securities issued, excluding Structured Transactions, Structured Securities backed by Ginnie Mae Certificates and mortgage loans whose contractual terms have been modified under an agreement with the borrower and the borrower is less than 90 days delinquent under the modified terms. Source: Freddie Mac. Data as of March 31, 2009.

31

Single-family credit losses by book year1 and state (UPB $ Billions; Credit Losses $ Millions) Total UPB ($) as of March 31, 2009

1Q 2008 Total Credit Losses 2 ($)

4Q 2008 Total Credit Losses 2 ($)

1Q 2009 Total Credit Losses 2 ($)

1Q 2009 Seriously Delinquent (%)3

1

2009

$90

$ -

$ -

$ -

- %

2

2008

281

-

12

31

1.02

3

2007

330

49

380

460

5.13

4

2006

258

228

437

499

4.95

5

2005

272

89

176

196

2.78

6

2004 & Prior

639

162

146

132

1.31

$1,870

$528

$1,151

$1,318

2.41%

7

Total

8

CA

$260

$112

$345

$387

3.48%

9

FL

123

43

142

191

6.56

10

AZ

52

30

119

171

4.10

11

NV

23

16

53

86

6.14

12

MI

60

82

88

74

2.28

13

GA

60

31

58

66

2.44

14

MN

53

12

31

38

1.47

15

Subtotal

631

326

836

1,013

3.83

16 17

All Other Total U.S.

1,239

202

315

305

1.77

$1,870

$528

$1,151

$1,318

2.41%

1

Book year indicates year of loan origination. Credit losses consist of the aggregate amount of charge-offs, net of recoveries, and the amount of REO operations expense in each of the respective periods.

2

3

Based on the number of mortgages 90 days or more delinquent or in foreclosure. Percentage based on loan counts. Includes certain Structured Transactions. The total delinquency rate excluding all Structured Transactions was 2.29% at March 31, 2009.

32

Single-family 1Q 2009 credit losses & REO counts by region and state Total Portfolio UPB

90+ Day Delinquencies1

($ Billions)

% of Total

UPB ($ Millions)

REO Acquisitions & Balance UPB2

Credit Losses3

% of Total

1Q 2009 Acquisitions ($ Millions)

REO Inventory ($ Millions)

% of Total Inventory

($ Millions)

% of Total

Region 1

Northeast

$453

24%

$10,164

18%

$223

$569

10%

$91

7%

2

Southeast

341

18

15,566

27

581

944

17

296

22

3

North Central

351

19

7,805

14

367

1,203

22

190

14

4

Southwest

233

13

3,449

6

231

411

7

60

5

5

West

492

26

20,039

35

1,205

2,445

44

681

52

$1,870

100%

$57,023

100%

$2,607

$5,572

100%

$1,318

100%

Total

6

State 7

CA

$260

14%

$12,583

22%

$530

$1,376

25%

$387

29%

8

FL

123

7

11,276

20

288

424

7

191

15

9

AZ

52

3

2,766

5

358

539

10

171

13

10

NV

23

1

1,893

3

179

291

5

86

6

11

MI

60

3

1,492

2

97

449

8

74

6

12

GA

60

3

1,623

3

169

271

5

66

5

13

MN

53

3

948

2

74

284

5

38

3

14

Other

1,239

66

24,442

43

912

1,938

35

305

23

$1,870

100%

$57,023

100%

$2,607

$5,572

100%

$1,318

100%

15

1 2 3

Total

Based on the number of mortgages 90 days or more delinquent or in foreclosure. UPB amounts exclude certain Structured Transactions. Based on the UPB of loans at the time of REO acquisition. Credit losses consist of the aggregate amount of charge-offs, net of recoveries, and the amount of REO operations expense.

33

Single-family portfolio characteristics

Total Portfolio as of

FICO

Option

FICO

Original LTV

FICO < 620 & Original LTV > 90%

March 31, 2009 1

Alt-A2

620 - 659

IO

ARM

< 620

> 90%

1 Balance (UPB $ Billions)

$1,870

$176.4

$161.0

$153.4

$11.9

$72.8

$143.7

$13.5

2 Share of Total Portfolio

100%

9%

9%

8%

1%

4%

8%

1%

3 Average UPB per loan

$145,879

$173,827

$142,789

$255,655

$228,272

$131,833

$133,264

$121,304

4 Fixed Rate (% of total portfolio)

88%

59%

88%

24%

0%

90%

94%

95%

5 Owner Occupied

91%

83%

94%

86%

74%

95%

96%

99%

6 Second liens

0%

0%

0%

0%

0%

0%

0%

0%

7 % of Loans with Credit Enhancement

18%

16%

31%

14%

18%

35%

93%

95%

7.65%

5.80%

10.74%

11.50%

9.32%

5.80%

12.90%

Attribute

3

8 % Seriously Delinquent (D90+)

4

2.41%

1

Based on the unpaid principal balance of the underlying mortgage loans in the single-family portfolio. Disclosures include all Structured Transactions where loan characteristics data exists. 2 Loans purchased through bulk transactions and identified as Alt-A by the seller and certain other loans identified internally by Freddie Mac as having low or no documentation. 3 Although many borrowers likely have third-party 2nd liens, this represents borrowers’ secondary mortgage loan financing guaranteed by Freddie Mac. 4 Includes Structured Transactions. The total delinquency rate excluding all Structured Transactions was 2.29% at March 31, 2009. Note: Categories other than total portfolio are based on internal management reports as of March 31, 2009 or most current period prior to March 31, 2009. Numbers are not additive across columns.

34

Single-family portfolio characteristics Total Portfolio as of Attribute

March 31, 2009

FICO 1

2

Option

FICO

Original LTV

FICO < 620 & Original LTV > 90%

Alt-A

620 - 659

IO

ARM

< 620

> 90%

1

Balance (UPB $ Billions)

$1,870

$176.4

$161.0

$153.4

$11.9

$72.8

$143.7

$13.5

2

Share of Total Portfolio

100%

9%

9%

8%

1%

4%

8%

1%

3

Original Loan-to-Value (OLTV)

71%

72%

77%

74%

72%

77%

96%

97%

8%

4%

17%

4%

2%

19%

100%

100%

76%

90%

85%

101%

110%

85%

102%

103%

4 5

OLTV > 90% Current Loan-to-Value (CLTV)

6

CLTV > 90%

28%

46%

40%

62%

66%

40%

72%

71%

7

CLTV > 100%

17%

33%

26%

45%

55%

26%

52%

55%

726

723

642

720

711

589

694

588

4%

4%

0%

3%

4%

100%

10%

100%

8 9

Average FICO Score FICO < 620 Book Year

3

10

2009

5%

0%

1%

0%

0%

1%

1%

0%

11

2008

15%

8%

11%

11%

0%

9%

15%

6%

12

2007

18%

31%

23%

41%

2%

29%

32%

40%

13

2006

14%

28%

17%

30%

11%

17%

12%

13%

14

2005

14%

17%

15%

15%

59%

13%

10%

8%

15

2004

10%

6%

11%

3%

27%

9%

9%

8%

16

<= 2003

24%

10%

22%

0%

1%

22%

21%

25%

1

Based on the unpaid principal balance of the underlying mortgage loans in the single-family portfolio. Disclosures include all Structured Transactions where loan characteristics data exists.

2

Loans purchased through bulk transactions and identified as Alt-A by the seller and certain other loans identified internally by Freddie Mac as having low or no documentation. 3 Indicates year of loan origination. Note: Categories other than total portfolio are based on internal management reports as of March 31, 2009 or most current period prior to March 31, 2009. Numbers are not additive across columns.

35

Single-family credit profile by book year and product feature Attribute

Total Portfolio as of 1 March 31, 2009

2009

2008

2007

2006

2005

2004

2003 & Prior

$1,870

$90

$281

$330

$258

$272

$189

$450

Book Year 2

1

Balance (UPB $ Billions)

2

Original Loan-to-Value (OLTV)

71%

65%

71%

75%

73%

72%

71%

69%

3

OLTV > 90%

8%

2%

8%

14%

7%

5%

7%

7%

4

Current Loan-to-Value (CLTV)

76%

66%

79%

93%

93%

84%

68%

52%

5

CLTV > 100%

17%

0%

11%

34%

32%

22%

9%

3%

6

Average FICO Score

726

759

735

714

718

724

723

728

7

FICO < 620

4%

0%

2%

7%

5%

4%

4%

4%

8

Adjustable-rate

11%

0%

7%

13%

20%

17%

15%

4%

9

Interest-only

8%

0%

6%

20%

18%

9%

2%

0%

10 Investor

4%

1%

6%

6%

5%

4%

4%

3%

11 Condo/Coop

8%

5%

9%

11%

11%

9%

8%

5%

Geography: 12

California

14%

13%

17%

16%

15%

14%

13%

12%

13

Florida

7%

2%

5%

8%

9%

8%

7%

5%

14

Arizona

3%

2%

3%

3%

4%

4%

2%

2%

15

Nevada

1%

0%

1%

2%

2%

2%

1%

1%

16

Michigan

3%

3%

2%

2%

3%

3%

4%

5%

17

Georgia

3%

3%

3%

3%

3%

3%

3%

4%

18

Minnesota

3%

3%

2%

2%

2%

3%

4%

4%

19

Other

66%

74%

67%

64%

62%

63%

66%

67%

18%

7%

21%

26%

17%

17%

15%

14%

0%

1.02%

5.13%

4.95%

2.78%

1.51%

1.25%

20 % of Loans with Credit Enhancement 21 % Seriously Delinquent (D90+)

2.41%

3

1

Based on the unpaid principal balance of the underlying mortgage loans in the single-family portfolio. Disclosures include all Structured Transactions where loan characteristics data exists. 2 Indicates year of loan origination. 3

Includes Structured Transactions. The total delinquency rate excluding all Structured Transactions was 2.29% at March 31, 2009.

36

Single-family portfolio composition by product

(UPB $ Billions)

1Q 2008

4Q 2008

1Q 2009

Portfolio UPB ($)

Seriously Delinquent 1 (%)

Portfolio UPB ($)

Seriously Delinquent 1 (%)

Portfolio UPB ($)

Seriously Delinquent 1 (%)

$1,231

0.78%

$1,316

1.69%

$1,352

2.25%

Conventional: 2

1

30-year amortizing fixed-rate

2

15-year amortizing fixed-rate

273

0.21

250

0.36

247

0.46

3

ARMs / adjustable-rate

90

0.84

83

2.40

78

3.24

3

4

Interest-only

165

3.02

162

7.59

156

10.74

5

Balloon / Resets

16

0.50

12

1.20

10

1.67

6

FHA/VA

2

2.45

2

4.17

2

3.50

7

USDA Rural Development and other federally guaranteed loans

1

2.43

1

4.39

1

3.84

1,778

0.77

1,826

1.72

1,846

2.29

20

10.96

24

7.23

24

8.41

$1,798

0.88%

$1,850

1.83%

$1,870

2.41%

8

Total mortgage loans, PCs & Structured Securities

9

Structured Transactions

10

Total portfolio

1 2 3

Based on the number of mortgages 90 days or more delinquent or in foreclosure. Percentage based on loan counts. Includes 40-year and 20-year fixed-rate mortgages. Interest-only includes adjustable-rate and fixed-rate mortgages.

37

Total Single-family portfolio serious delinquencies by book year As of month 18 per Book Year Serious Delinquency Rate (bps)

2000 34

2001 21

2002 20

Book Year 2003 2004 7 13

2005 15

2006 38

2007 138

140

Serious Delinquency Rate (bps)

120

100

80

60

40

20

0 6

7

8

9

10

11

12

13

14

15

16

17

18

Months since origination 2000

2001

2002

2003

2004

2005

2006

2007

2008

38 Note: Excludes Structured Transactions. Book year indicates year of loan origination.

Total Single-family portfolio cumulative default rates by book year 1.50%

Cumulative Default Rate

1.25%

1.00%

0.75%

0.50%

0.25%

0.00% Yr1-Q1

Yr1-Q4

Yr2-Q3

Yr3-Q2

Yr4-Q1

Yr4-Q4

Yr5-Q3

Yr6-Q2

Yr7-Q1

Yr7-Q4

Yr8-Q3

2006

2007

2008

Yr9-Q2

Quarter Post Origination 2000

2001

2002

2003

2004

2005

39 Note: Excludes certain Structured Transactions. Book year indicates year of loan origination.

Single-family foreclosure alternatives ƒ Working with FHFA, the company has significantly increased its loan modification and foreclosure prevention efforts since entering into Conservatorship. ƒ Beginning March 7, 2009, the company suspended foreclosure transfers of occupied homes where the borrower is eligible for a modification under the Making Home Affordable Program. ƒ During the first quarter of 2009, Freddie Mac’s foreclosure prevention efforts helped approximately 40,000 borrowers stay in their homes or sell their properties. (# of loans)

1

1Q 2008

4Q 2008

1Q 2009

1Q 2009 vs 4Q 2008

Loan modifications:

2

with no change in terms1

2,728

2,002

1,816

(186)

3

with change in terms and no reductions of principal

1,518

15,693

22,807

7,114

4

Total loan modifications

4,246

17,695

24,623

6,928

5

Repayment plans

12,387

8,714

10,459

1,745

6

Forbearance agreements

817

1,762

1,853

91

7

Pre-foreclosure sales

831

2,375

3,093

718

18,281

30,546

40,028

9,482

8 Total foreclosure alternatives

1

Reinstated loans where certain delinquent interest and other payments have been capitalized and added to the loan’s current UPB.

40

Investment Management Business

Mortgage-related investments portfolio growth depends on market conditions and is subject to growth cap1 Mortgage-related investments portfolio growth

UPB $ Billions 90

$84 $78

80 $70 70

$57

60 50 40 30

$26

$17

20 $7

10

-$6 0 -10 2002

2003

2004

2005

2006

2007

2008

2009 YTD

1

Under FHFA regulation and the Senior Preferred Stock Purchase Agreement with Treasury, our mortgage-related investments portfolio may not exceed $900 billion as of December 31, 2009 and then must decline by 10% per year thereafter until it reaches $250 billion. The Purchase Agreement also limits the amount of indebtedness we may incur. Note: Data represents net growth of the mortgage-related investments portfolio based on unpaid principal balances. Source: Freddie Mac. Data as of April 30, 2009. Figures for 2009 are subject to change.

42

Freddie Mac’s mortgage-related investments portfolio is diversified among a number of product types

Mortgage-related investments portfolio1

Non-FRE MBS1

Mortgage Loans 15% Freddie Mac Multi-class Structured Securities 15%

Freddie Mac Single-class PCs 38%

CMBS 22%

Non-Freddie Mac MBS 33% Fannie Mae 33%

Subprime 28%

Ginnie Mae <1% Manufactured Housing 1 Based on unpaid principal balances. Excludes mortgage-related securities traded, but not yet settled. 1% Source: Freddie Mac. Data as of March 31, 2009.

Alt-A & Other 8%

MTA 7% Obligations of State and Political Subdivisions 4% 43

Mortgage-related investments portfolio composition Mortgage-related investments portfolio $867 billion Mortgage Loans 15% ($127 B) Agency 11% ($93 B) PCs and Structured Securities 53% ($455 B)

Non-Agency Backed by Subprime Loans 8% ($71 B) Other Non-Agency 9% ($78 B)

Non-Agency Backed by Alt-A and Other Loans 3% ($24 B) Non-Agency Backed by MTA Loans 2% ($19 B)

Note: Credit ratings for most non-agency mortgage-related securities are designated by no fewer than two nationally recognized statistical rating organizations. Approximately 43% of total non-agency mortgage-related securities held at March 31, 2009 were AAA-rated as of that date, based on the unpaid principal balance and the lowest rating available. Source: Freddie Mac. Data based on unpaid principal balances as of March 31, 2009 and excludes mortgage-related securities traded, but not yet settled.

44

PMVS is Freddie Mac’s primary interest-rate risk measure

PMVS-Level Parallel LIBOR Curve Shifts

Term

+ 12.5 bps(10-year)

- 50 bps

<

<<

<

<<

+ 50 bps

Yield

Yield

Source: Freddie Mac.

PMVS-Yield Curve Non-Parallel LIBOR Curve Shifts

- 12.5 bps(2-year)

Term

45

Interest-rate risk measures

Average monthly PMVS-Level

Average monthly duration gap

$ Millions 600

$571 $576 $493

500 400 300

$447 $395

$390

$429

$394 $354

$348 $271

$260

200 $102

100 0 Apr May June July Aug Sep Oct Nov Dec Jan Feb Mar Apr 08 08 08 08 08 08 08 08 08 09 09 09 09

Source: Freddie Mac. Figures for 2009 are subject to change.

Months 6 5 4 3 2 1 0 -1 -2 -3 -4 -5 -6 Apr May June July Aug Sep Oct Nov Dec Jan Feb Mar Apr 08 08 08 08 08 08 08 08 08 09 09 09 09

46

Global Debt Funding Program

Freddie Mac’s suite of debt products Debt securities outstanding

$ Billions 1,000

9

900 800

259

700 5 600 173 500 400

195

300 200

259

100 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Short-term Debt

Callable Debt

MTN Bullet Debt US$ Reference Notes®

Subordinated Debt €Reference Notes®

Note: All figures represent face amounts in USD billions based on trade date. These figures could differ significantly from proceeds, amortized principal amount and book value figures, particularly for zero-coupon securities. Source: Freddie Mac. 2009 data as of May 31, 2009.

48

Debt maturity profile $ Billions

350 300 250 200

$236 $23

150 100 50 $76

$143

0 2009

2010

2011

2012

2013

2014

Long-term Note: Outstanding balance using par amounts. Source: Freddie Mac. Data as of May 31, 2009.

2015

2016

2017

2018

2019

2020+

Short-term 49

Short-term debt balances have grown Total short-term debt as a % of total debt outstanding

Total short-term debt outstanding $ Billions 40%

400 350

35%

300 250

30%

200 150

25%

100 50 0 Jan-02 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

20% Jan-02 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09

Rapid Portfolio Growth Periods

50 Source: Freddie Mac. Data as of May 31, 2009.

Callable debt provides value to Freddie Mac and investors

Freddie Mac

ƒ

Callables provide a critical source of convexity » Counterparty exposure management

ƒ

Natural hedge to Freddie Mac’s investment portfolio duration profile

ƒ

Callables can be used to customize yield curve exposure / express a view on volatility » Freddie Mac focuses on accommodating investor requests for specific callable structures, i.e., issuing into demand or reverse inquiry

ƒ

Callables offer enhanced yield over comparable bullet securities without compromising portfolio credit quality

Investors

51

Callable debt provides potential yield enhancement over bullet securities Lockout (Years) Bullet 0.25 0.50 1 2 3 4 5

2 1.71% 1.89 (18) 1.81 (10) 1.72 (2)

3 2.42% bps

2.64 2.54 2.42 2.31

(22) (12) (0) 12

Maturity (years) 5 3.45% bps

4.08 3.94 3.77 3.61 3.49

(63) (49) (32) (16) (4)

Source: Indicative offering levels from the Freddie Mac debt issuance desk as of June 5, 2009.

7 3.93% bps

5.07 4.91 4.72 4.52 4.38 4.30

(114) bps (98) (79) (59) (45) (37)

10 4.32% 5.73 5.57 5.36 5.13 4.98 4.89 4.82

(141) bps (125) (104) (81) (66) (57) (50)

52

Callable debt often offers higher yields than investment-grade corporate bonds

Freddie Mac Callable Structure Freddie Mac Equivalent Bullet Duration Yield Market Yields AAA AA A+ A ABBB+ BBB BBB-

3 NC 1 2 2.54%

7 NC 1 3 4.91%

10 NC 2 5 5.13%

15 NC 4 7 5.75%

1.97 2.57 2.66 2.89 3.09 3.98 4.34 5.16

2.49 3.23 3.39 3.59 3.84 4.79 5.17 5.90

3.62 4.32 4.41 4.58 4.80 5.76 6.11 6.99

4.52 5.16 5.19 5.31 5.56 6.43 6.77 7.53

Source: Freddie Mac data and market yields from Bloomberg as of June 5, 2009.

53

Our debt funding program accesses diverse pools of global capital Geographical region

Investor type

Other 3% Europe 10%

Other 7% Bank 10%

Insurance & Pension 5%

Investment Manager 52%

Asia 20%

Central Bank 26% N. America 67% Note: Data reflects orders placed in our US$ Reference Notes® securities syndicated bond deals. Source: Freddie Mac. Data for the 12 months ended May 31, 2009.

54

Domestic institutional investor demand has offset decreased foreign demand for our Reference Notes® securities Geographic region

Investor type

100%

100% Other

Insurance & Pension

Other 80%

North America

60%

80%

Bank Investment Manager

60% Europe

40%

40%

20%

20% Central Bank

Asia 0% 2003

2004

2005

2006

2007

2008

2009

0% 2003

2004

2005

2006

Note: Data reflects 6-month moving average of orders placed in our US$ Reference Notes® securities syndicated bond deals. Source: Freddie Mac. Data as of May 31, 2009.

2007

2008

2009

55

Agencies vs FDIC guaranteed bank paper Freddie Mac

ƒ Funding

ƒ ƒ

FDIC Guaranteed Bank Paper

Unlimited secured short-term borrowing facility through Treasury Up to $200 billion of preferred capital available from Treasury if liabilities exceed assets1

ƒ ƒ

FDIC has unlimited borrowing authority at Treasury FDIC guarantee on participating institutions’ debt

Short-term borrowing facility reverts to $2.25 billion on December 31, 2009 $200 billion under the preferred stock purchase agreement (PSPA) is indefinite in duration1

ƒ

FDIC borrowing reverts to $30 billion on December 31, 2009 Valid on debt issued from now until October 31, 2009, with guarantee ending on December 31, 2012

Expiration

ƒ

Risk Weight

ƒ

20%

ƒ

20%

ƒ

Agency securities are authorized investments for local entities and banks in addition to Treasuries

ƒ

New instrument with no precedence hence some investors still appear to be in the process of getting approvals

ƒ

Traditional investors already hold a large pool of Agencies

ƒ

Attractive for investors looking to diversify from Agencies

Transparency / Liquidity

ƒ ƒ ƒ

Calendar based Typical bid/offer is 2-3 bps Typical Syndicate involves 3 leads, 6+ Cos, 4+ selling group members

ƒ ƒ ƒ

Ad hoc Typical bid/offer is 5-10 bps Typical Syndicate limited in size and scope

Repo

ƒ

Easy to repo and levels are uniform

ƒ

Easy but levels are not uniform across customer base

ƒ

Offer tailored, flexible investment and maturity dates and size

ƒ

Less flexible maturity structure

ƒ

Over $1 trillion of short-term debt maturing for Freddie Mac, Fannie Mae & Home Loan Banks combined

ƒ

Maximum of approximately $1.4 trillion of debt could be guaranteed by the FDIC

Structural Considerations Diversification

Flexibility New Supply through Dec ‘09

ƒ

1

Reflects announcement by Treasury that it is increasing its funding commitment under the PSPA from $100 billion to $200 billion. Freddie Mac received a total of $44.6 billion (including $30.8 billion received on March 31, 2009). Sources: Freddie Mac, Barclays Capital, Morgan Stanley and FDIC.

56

Primary dealer balance sheets are constrained

Dealer inventory by product type

Dealer inventory of Agency debt

$ Billions

$ Billions

400

$368

100 8/1/2007

9/17/2008

5/27/2009

<3-Year Agency Discount Notes

300 80

3-to 6-Year Agency 6- to 11-Year Agency

200

11+ Year Agency $121

$121

100

60 $72

$54

40 0 20

(100)

(200) Corporates

Agency

MBS

Treasuries

Total

0 3/21/07 7/13/07 11/4/07 2/26/08 6/19/08 10/11/08 2/2/09 5/27/09

57 Source: Federal Reserve Bank of New York. Data as of May 27, 2009.

Fed purchases of Agency debt

Purchases by maturity date $ Millions

$ Millions

25,000

Discount Notes

$12,843 $9,823

$11,422

$5,561

$4,707 $1,106

$463 $305 $505

0 2008

2009

103,319

$9,441

$8,867

5,000

14,500 88,819

$

$17,842

15,000 10,000

$

Term Debt

$20,428

20,000

Total

2010

2011

2012

2013

2014

Discount Notes

2015

2016

2017

2018

2029

2030

$6 2032

Term Debt

58 Source: Federal Reserve Bank of New York. Data as of June 12, 2009.

Fed purchases of Agency term debt by GSE

Purchases by maturity date $ Millions FRE $ FNM FHLB $

$ Millions 25,000 20,000

Total 33,085 34,446 21,288 88,819

15,000 10,000 5,000 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2029 2030 2031 2032 FRE

FNM

FHLB

59 Source: Federal Reserve Bank of New York. Data as of June 12, 2009.

Mortgage Funding

U.S. mortgage securities are the largest fixed-income sector Outstanding public and private bond market debt – $33.5 Trillion Treasury 1 ($5.9) Municipal 18% ($2.7) 8% Corporate Debt ($6.3) 18%

Agency Debt 2 ($3.2) 10%

4

3

MBS ($8.9) 27% 4

Money Market ($3.8) 11%

5

Asset-Backed ($2.7) 8%

1

Interest-bearing marketable public debt.

2

Includes Freddie Mac, Fannie Mae, Federal Home Loan Banks, Tennessee Valley Authority and Farm Credit System.

3

MBS include Ginnie Mae, Fannie Mae and Freddie Mac mortgage-backed securities, CMOs and private-label MBS/CMOs.

4

Securities Industry and Financial Markets Association estimates. Includes Auto, Credit Card, Home Equity Loans, Manufacturing, Student Loan and Other. CDOs are included.

5

Includes commercial paper, bankers acceptances and large time deposits.

Note: Percentages may not add up to 100% due to rounding. Source: Securities Industry and Financial Markets Association as of December 31, 2008.

61

MBS – a major investment vehicle Amount Outstanding $ Billions 7,000

6,000

5,000

4,000

3,000

2,000

1,000

0 1970

1975

1980

1985

1990

GSE, Ginnie Mae & Private-Label MBS

1995

2000

Treasury Securities

2005

2006

2007

2008

Non-GSE Corporate Bonds

Sources: Federal Reserve Board and Securities Industry and Financial Markets Association. 2008 data as of December 31, 2008.

62

To-be-announced (TBA) market

ƒ

Buyer and seller decide on general trade parameters » Term » Agency » Coupon » Settlement date » Par amount » Price

ƒ

Buyer does not know which pools will actually be delivered until two days before settlement

ƒ

Seller is obligated to provide pool information by 3 p.m. two days prior to settlement (“48-Hour Rule”)

ƒ

Pools must satisfy Securities Industry and Financial Markets Association (SIFMA) good delivery guidelines

63

Secondary market securities

ƒ

Pass-throughs or participation certificates (PCs) » Securitization structure where a GSE or other entity ‘passes’ the amount collected from the borrowers every month to the investor, after deducting fees and expenses

ƒ

CMOs or REMICs » Collateralized Mortgage Obligations or Real Estate Mortgage Investment Conduits » Multiclass securities backed by mortgage loans, pools of mortgages, or even existing CMOs or REMICs

ƒ

Strips » Separation of coupons from a bond, where the coupons become a security and the remaining face-value bond becomes another security • Interest-only (IO) • Principal-only (PO)

64

Pass-through formation TBA Market P Loan A

i

Loan B Loan C

P i P i

Loan X

P i

. . .

Loan C

P i P i P i

Loan X

P i

Loan A Loan B . . .

Pass-through Freddie PC

P i

Pass-through Freddie Giant PC Pass-through

P i

Freddie PC

65

REMIC formation

Tranche A

Pass-Through Freddie PC

Tranche B

P i

Tranche C REMIC Trust

. . .

. . .

Tranche D

Freddie REMIC Pass-Through

P i

Tranche TrancheED Tranche E F

Freddie Giant PC

Tranche G

66

Sequential REMIC tranches

Note: Chart shows how principal (darker shading) and interest (lighter shading) would be allocated to each of three hypothetical sequential tranches if no repayments were made on the underlying mortgages.

67

Strip formation

Pass-through Freddie PC

Principal-only P

P

PO

i

Interest-only

i

Strip Trust

. . .

Freddie Giant PC Pass-through Freddie PC

P i

IO

68

Reference REMIC securities offer liquidity, transparency and predictability

ƒ

Liquidity » Broad dealer sponsorship and secondary market support

ƒ

Transparency » Primary issuance through syndicated offerings » Secondary market support through Freddie Mac REMIC Dealer Group » PCs underlying the offered GMC are disclosed prior to pricing

ƒ

Predictability » Calendar-based monthly optional issuance windows » Maximum of three Reference REMICs issued per quarter » Average life extension limited by shortened stated final maturity date

69

Freddie Mac’s mortgage securities products Mortgage securities products outstanding $ Billions 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 2000

2001

2002

REMICs

2003

2004

Reference REMIC

2005 T-deals/WLR

2006

2007 Strips

2008

1Q 2009

PCs

70 Source: Freddie Mac. Data as of March 31, 2009.

Freddie Mac mortgage securities products

ƒ

Gold PCs » Pass-through securities representing an undivided interest in a pool of residential mortgages

ƒ

Giant PCs » Pass-through securities that are created by consolidating smaller PCs into larger Giant PCs

ƒ

ARM PCs » Mortgage-backed securities representing an undivided interest in a pool of residential adjustable-rate mortgages

ƒ

Multifamily PCs » PCs backed by loans covering residences with five or more units designed principally for residential use

71

Freddie Mac mortgage securities products

ƒ

REMICs » Customized mortgage structures created from mortgage pass-through securities by redistributing cash flows to cater to a variety of market demands

ƒ

Reference REMICs® » A structured alternative to a traditional 30- or 15-year mortgage-backed security and built on the success of Freddie Mac’s guaranteed maturity class (GMC) product

ƒ

Strips » Formed from Giant PCs of either Freddie Mac Gold PCs or GNMA certificates and generally represent the Interest-only (IO) and Principal-only (PO) cash flow components of a pool

72

Composition of Freddie Mac’s single-family pass-through securities1 Option ARMs <1% Balloons/Resets 1% ARMs/ Adjustable-Rate 4% Interest-Only 9%

Conformingjumbo <1% FHA/VA <1% USDA Rural Development and other federally guaranteed loans <1%

15-year fixed-rate 13%

30-year fixed-rate 2 73% 1

Based on unpaid principal balances of the securities and excludes mortgage-related securities traded, but not yet settled. Also includes long-term standby commitments for mortgage assets held by third parties that require that we purchase loans from lenders when these loans meet certain delinquency criteria. 2

Portfolio balances include $1.8 billion of 40-year fixed-rate mortgages as well as $65.5 billion of 20-year fixed-rate mortgages at March 31, 2009.

Source: Freddie Mac. Data as of March 31, 2009.

73

Agency CMO issuance

Agency CMO Issuance

Agency CMO Outstanding $ Billions 1,400 1,200 1,000 800 600 400 200 0

$ Billions 400 300 200 100 0 2004

2005

Freddie Mac

2006

2007

Fannie Mae

Source: Bloomberg. Data as of May 31, 2009.

2008

2009 YTD

Ginnie Mae

2004

2005

Freddie Mac

2006

2007

Fannie Mae

2008

2009 YTD

Ginnie Mae

74

Composition of collateral underlying Freddie Mac REMICs

Other <1% Balloon <1%

ARM 1%

20-year 5% 15-year 12%

30-year 82%

Source: Freddie Mac. Data as of April 30, 2009.

75

Fed agency MBS purchases Gross purchases by coupon $ Millions $ Millions 30-year 15-year Other Total

350,000 300,000

FRE $ 248,627 6,427 350 $ 255,404

FNM $ 567,993 9,375 703 $ 578,071

GNMA $ 47,536 $ 47,536

Total $ 864,156 15,802 1,053 $ 881,011

250,000 200,000 150,000 100,000 50,000 0 3.5

4.0

4.5

5.0

5.5

6.0

6.5

4.0

30-year

4.5

5.0

15-year FRE

FNM

5.5

4.0

4.5

5.0

Other

GNMA

76 Source: Federal Reserve Bank of New York. Data as of June 10, 2009.

Safe Harbor Statements Freddie Mac obligations Freddie Mac’s securities are obligations of Freddie Mac only. The securities, including any interest or return of discount on the securities, are not guaranteed by and are not debts or obligations of the United States or any federal agency or instrumentality other than Freddie Mac. No offer or solicitation of securities This presentation includes information related to, or referenced in the offering documentation for, certain Freddie Mac securities, including offering circulars and related supplements and agreements. Freddie Mac securities may not be eligible for offer or sale in certain jurisdictions or to certain persons. This information is provided for your general information only, is current only as of its specified date and does not constitute an offer to sell or a solicitation of an offer to buy securities. The information does not constitute a sufficient basis for making a decision with respect to the purchase or sale of any security. All information regarding or relating to Freddie Mac securities is qualified in its entirety by the relevant offering circular and any related supplements. Investors should review the relevant offering circular and any related supplements before making a decision with respect to the purchase or sale of any security. In addition, before purchasing any security, please consult your legal and financial advisors for information about and analysis of the security, its risks and its suitability as an investment in your particular circumstances. Forward-looking statements Freddie Mac's presentations contain forward-looking statements pertaining to Freddie Mac’s business and future business plans, capital management, credit losses and credit-related expenses, returns on investments, results of operations and/or financial condition. Management's expectations for the company’s future necessarily involve a number of assumptions, judgments and estimates, and various factors, including changes in market conditions, liquidity, mortgage-to-debt OAS, credit outlook, actions taken by FHFA, the Federal Reserve and Treasury, and the impacts of newly enacted legislation or regulations and new or amended accounting standards, could cause actual results to differ materially from these expectations. These assumptions, judgments, estimates and factors are discussed in the company’s filings with the SEC, including its Annual Report on Form 10-K for the year ended December 31, 2008, which are available on the Investor Relations page of the company’s Web site at www.FreddieMac.com/investors and the SEC’s Web site at www.sec.gov. The company undertakes no obligation to update forward-looking statements it makes to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events. © 2009 by Freddie Mac. No part of this document may be duplicated, reproduced, distributed or displayed in public in any manner or by any means without the written permission of Freddie Mac.