Fannie Mae Prices $577 Million Multifamily DUS REMIC Under Its GeMS™ Program

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Oct 14, 2011, 03:34 ET

WASHINGTON, Oct. 14, 2011 /PRNewswire/ -- Fannie Mae (OTC Bulletin Board: FNMA) priced its sixth Multifamily DUS REMIC in 2011 totaling $577 million under its Fannie Mae Guaranteed Multifamily Structured (Fannie Mae GeMS^™) program on October 13, 2011.

"The Agency CMBS market has been resilient through a tough period of global economic uncertainty and heightened market volatility. Fannie Mae has issued four GeMS deals since July, and they have all been very well received. This 7-year transaction took advantage of demand in the belly of the curve, and the execution was even better than expected," said Kimberly Johnson, Vice President Multifamily Capital Markets.

All classes of FNA 2011-M7, are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. Yield maintenance prepayment premiums apply to all underlying loans. The structure details for the multi-tranche offering are included in the table below.


Class	CUSIP	Original Face	Weighted Average Life	Coupon	Coupon Type	Pricing Spread	Offered Price
A1	3136A1F67	$90,000,000	4.95	2.049%	Fixed Rate	+55	100.5
A2	3136A1F75	$418,140,000	6.60	2.578%	Fixed Rate	+70	100.5
AB	3136A1F83	$69,281,000	6.31	2.508%	Fixed Rate	+82	99.75
X	3136A1F91	$577,421,000	6.31	1.331%	Interest Only	Not offered	Not offered
Total		$577,421,000

Collateral:	104 Fannie Mae DUS MBS
Geographic Distribution:	CA (25.60%), VA (8.94%), CO (7.65%)
Weighted Average
Debt Service Coverage Ratio (DSCR):	1.50x
Weighted Average
Loan-to-Value (LTV):	65.65%
Settlement Date:	10/28/2011

Lead Manager:	Credit Suisse
Co-Manager:	Citigroup

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2011-M7) available on Fannie Mae's Basics of Multifamily MBS site at www.fanniemae.com.

Certain statements in this release may be considered forward-looking statements within the meaning of federal securities laws. In addition, not all securities will have the characteristics discussed in this release. Before investing in any Fannie Mae issued security, you should read the prospectus and prospectus supplement pursuant to which such security is offered. You should also read our most current Annual Report on Form 10-K and our reports on Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange Commission ("SEC") available on the Investors page of our Web site at www.fanniemae.com and on the SEC's Web site at www.sec.gov.

Fannie Mae exists to expand affordable housing and bring global capital to local communities in order to serve the U.S. housing market. Fannie Mae has a federal charter and operates in America's secondary mortgage market to enhance the liquidity of the mortgage market by providing funds to mortgage bankers and other lenders so that they may lend to home buyers. Our job is to help those who house America.

SOURCE Fannie Mae