Fannie Mae Prices Scheduled April 2001 Benchmark Securities, $5.0 Billion Reopening 5.500 Percent 5-Year Benchmark Notes Due February 15, 2006 and $500 Million Reopening 6.625 Percent 30-Year Benchmark Bonds Due November 15, 2030

Business Wire, April 24, 2001

Business Editors

WASHINGTON--(BUSINESS WIRE)--April 24, 2001

                 5-Year             30-Year
---------------  -----------------  ---------------------------------
Settlement Date  April 26, 2001     April 26, 2001
---------------  -----------------  ---------------------------------
Original Term    5 years            30 years
---------------  -----------------  ---------------------------------
Maturity Date    February 15, 2006  November 15, 2030
---------------  -----------------  ---------------------------------
Payment Dates    Each February 15th Each May 15th and November 15th,
                 and August 15th,   beginning May 15, 2001
                 beginning
                 August 15, 2001
---------------  -----------------  ---------------------------------
Pricing Date     April 24, 2001     April 24, 2001
---------------  -----------------  ---------------------------------
Price            100.971            101.508
---------------  -----------------  ---------------------------------
Interest Rate    5.500%             6.625%
---------------  -----------------  ---------------------------------
Yield            5.267%             6.509%
---------------  -----------------  ---------------------------------
Spread            55 basis           75.5 basis points/5.375%
                 points/5.750%      02/31  U.S. Treasury
                 11/05 U.S.
                 Treasury
---------------  -----------------  ---------------------------------
CUSIP            31359MHB2          31359MGK3
---------------  -----------------  ---------------------------------
Listing          Luxembourg Stock   Luxembourg Stock
                 Exchange           Exchange
---------------  -----------------  ---------------------------------

Bear Stearns & Co., Lehman Brothers Inc., and Merrill Lynch & Co. Inc. are the joint lead managers.

The co-managers include ABN AMRO Incorporated; Blaylock & Partners, L.P.; Credit Suisse First Boston; Deutsche Bank; Goldman, Sachs & Co.; HSBC Securities (USA) Inc.; J.P. Morgan Securities Inc.; and Salomon Smith Barney Inc. There is a designated selling group for the 5-year Benchmark Note comprised of an additional 13 dealers. There is no selling group for the 30-year Benchmark Bond.

Fannie Mae's Universal Debt Facility Offering Circular is used for all of our debt securities settling upon original issuance on or after January 23, 2001. This offering document may be accessed via Fannie Mae's Web site at http:/www.fanniemae.com/markets/debt/offering_circulars.html.

Fannie Mae is a New York Stock Exchange company and the largest non-bank financial services company in the world. It operates pursuant to a federal charter and is the nation's largest source of financing for home mortgages.

Fannie Mae is working to shrink the nation's "homeownership gaps" through a $2 trillion "American Dream Commitment" to increase homeownership rates and serve 18 million targeted American families by the end of the decade.

Since 1968, Fannie Mae has provided $3.0 trillion of mortgage financing for over 37 million families. More information about Fannie Mae can be found on the Internet at http://www.fanniemae.com.

Benchmark Notes is a registered mark and Benchmark Securities(R) and Benchmark Bonds(SM) are service marks of Fannie Mae. Unauthorized use of these marks are prohibited.

Style Usage: Fannie Mae's Board of Directors has authorized the company to operate as "Fannie Mae," and the company's stock is now listed on the NYSE as "Fannie Mae." In order to facilitate clarity and avoid confusion, news organizations are asked to refer to the company exclusively as "Fannie Mae."