Fannie Mae Prices $753 Million Multifamily DUS REMIC Under Its Fannie Mae GeMS™ Program

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May 15, 2012, 03:58 ET

WASHINGTON, May 15, 2012 /PRNewswire/ -- Fannie Mae (OTC Bulletin Board: FNMA) priced its fourth Multifamily DUS REMIC in 2012 totaling $753 million under its Fannie Mae Guaranteed Multifamily Structures (Fannie Mae GeMS™) program on May 15, 2012.

"Headlines in Europe and some earnings surprises created a flight to quality bid that drove rates outside the most recent range while M5 was in the market. A handful of regular participants were on the sidelines due to low absolute yield levels. Even issuing into this headwind, we saw strong subscription in the shorter tranches, broader distribution across the board and some new players to the GeMS program," said Kimberly Johnson, Vice President of Multifamily Capital Markets.

All classes of FNA 2012-M5 are guaranteed by Fannie Mae with respect to the full and timely payment of interest and principal. The structure details for the multi-tranche offering are included in the following table.

Class	Original Face	Weighted Average Life	Coupon	Coupon Type	Spread	Offered Price
A1	$93,100,000	5.51	1.787	Fixed Rate	S+37	101
A2	$569,880,000	9.64	2.715	Fixed Rate	S+70	101
AB1	$12,700,000	5.51	1.625	Fixed Rate	S+45	99.75
AB2	$77,709,201	9.64	2.667	Fixed Rate	S+80	99.75
X	$753,389,201	9.06	N/A	Interest Only	Not Offered	Not Offered
Total	$753,389,201

UPB :	$753,389,201

Collateral:	83 Fannie Mae DUS MBS

Geographic Distribution:	IL (15%), NY (11%), FL (10%)

Weighted Average Debt Service Coverage Ratio (DSCR):	1.93x

Weighted Average Loan-to-Value (LTV):	68.08%

Settlement Date:	May 31, 2012


Lead Manager:	J.P. Morgan
Co-Managers:	Citigroup and Wells Fargo

For additional information, please refer to the Fannie Mae GeMS REMIC Term Sheet (FNA 2012-M5) 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