Federal National Mortgage Association (FNMA) 10-K 26 Feb 10 2009 FY Annual report Financial data

Consolidated Balance Sheets

Consolidated Balance Sheets (USD $)
In Millions	12 Months Ended Dec. 31, 2009	12 Months Ended Dec. 31, 2008
ASSETS
Cash and cash equivalents	$6,812	$17,933
Restricted cash	3,070	529
Federal funds sold and securities purchased under agreements to resell	53,684	57,418
Investments in securities:
Trading, at fair value	111,939	90,806
Available-for-sale, at fair value	237,728	266,488
Total investments in securities	349,667	357,294
Mortgage loans:
Loans held for sale, at lower of cost or fair value	18,462	13,270
Loans held for investment, at amortized cost	386,024	415,065
Allowance for loan losses	(10,461)	(2,923)
Total loans held for investment, net of allowance	375,563	412,142
Total mortgage loans	394,025	425,412
Advances to lenders	5,449	5,766
Accrued interest receivable	4,293	3,816
Acquired property, net	9,142	6,918
Derivative assets, at fair value	1,474	869
Guaranty assets	8,356	7,043
Deferred tax assets, net	909	3,926
Partnership investments	2,372	9,314
Servicer and MBS trust receivable	18,329	6,482
Other assets	11,559	9,684
Total assets	869,141	912,404
Liabilities:
Accrued interest payable	4,980	5,947
Federal funds purchased and securities sold under agreements to repurchase	0	77
Short-term debt	200,437	330,991
Long-term debt	574,117	539,402
Derivative liabilities, at fair value	1,029	2,715
Reserve for guaranty losses	54,430	21,830
Guaranty obligations	13,996	12,147
Partnership liabilities	2,541	3,243
Servicer and MBS trust payable	25,872	6,350
Other liabilities	7,020	4,859
Total liabilities	884,422	927,561
Commitments and contingencies	-	-
Fannie Mae stockholders' equity (deficit):
Senior preferred stock	60,900	1,000
Preferred stock	20,348	21,222
Common stock, no par value, no maximum authorization	664	650
Additional paid-in capital	2,083	3,621
Accumulated deficit	(90,237)	(26,790)
Accumulated other comprehensive loss	(1,732)	(7,673)
Treasury stock, at cost	(7,398)	(7,344)
Total Fannie Mae stockholders' deficit	(15,372)	(15,314)
Noncontrolling interest	91	157
Total deficit	(15,281)	(15,157)
Total liabilities and equity (deficit)	$869,141	$912,404

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) (USD $)
In Millions, except Share data	Dec. 31, 2009	Dec. 31, 2008
Investments in securities:
Fannie Mae MBS at fair value included in Trading Securities	$74,750	$58,006
Fannie Mae MBS at fair value included in Available-for-sale Securities	154,419	176,244
Securities pledged as collateral that may be sold or repledged included in Available-for-sale Securities	1,148	720
Mortgage loans:
Loans pledged as collateral that may be sold or repledged included in Loans held for investment	1,947
Liabilities:
FV of Short-term debt	0	4,500
FV of Long-term debt	3,274	21,565
Reserve for guaranty losses related to Fannie Mae MBS included in investments in securities	4,772	1,946
Guaranty obligations related to Fannie Mae MBS included in investments in securities	$595	$755
Fannie Mae stockholders' equity (deficit):
Senior preferred stock issued	1,000,000	1,000,000
Senior preferred stock outstanding	1,000,000	1,000,000
Preferred stock authorized	700,000,000	700,000,000
Preferred stock issued	579,735,457	597,071,401
Preferred stock outstanding	579,735,457	597,071,401
Common stock par or stated value per share	0	0
Common stock authorized	no maximum	no maximum
Common stock issued	1,265,674,761	1,238,880,988
Common stock outstanding	1,113,358,051	1,085,424,213
Treasury stock, shares	152,316,710	153,456,775

Consolidated Statements of Oper

Consolidated Statements of Operations (USD $)
In Millions, except Per Share data	12 Months Ended Dec. 31, 2009	12 Months Ended Dec. 31, 2008	12 Months Ended Dec. 31, 2007
Interest income:
Trading securities	$3,859	$5,878	$2,051
Available-for-sale securities	13,618	13,214	19,442
Mortgage loans	21,521	22,692	22,218
Other	357	1,339	1,055
Total interest income	39,355	43,123	44,766
Interest expense:
Interest expense, short-term debt	2,306	7,815	8,999
Interest expense, long-term debt	22,539	26,526	31,186
Total interest expense	24,845	34,341	40,185
Net interest income	14,510	8,782	4,581
Guaranty fee income	7,211	7,621	5,071
Losses on certain guaranty contracts	0	0	(1,424)
Trust management income	40	261	588
Investment gains (losses), net	1,458	(246)	(53)
Other-than-temporary impairments	(9,057)	(6,974)	(814)
Less: Noncredit portion of other-than-temporary impairments recognized in other comprehensive loss	(804)	0	0
Net other-than-temporary impairments	(9,861)	(6,974)	(814)
Fair value losses, net	(2,811)	(20,129)	(4,668)
Debt extinguishment gains (losses), net	(325)	(222)	(47)
Losses from partnership investments	(6,735)	(1,554)	(1,005)
Fee and other income	733	772	965
Non-interest income (loss)	(10,290)	(20,471)	(1,387)
Administrative expenses:
Salaries and employee benefits	1,133	1,032	1,370
Professional services	684	529	851
Occupancy expenses	205	227	263
Other administrative expenses	185	191	185
Total administrative expenses	2,207	1,979	2,669
Provision for credit losses	72,626	27,951	4,564
Foreclosed property expense	910	1,858	448
Other expenses	1,484	1,093	660
Total expenses	77,227	32,881	8,341
Loss before federal income taxes and extraordinary losses	(73,007)	(44,570)	(5,147)
Provision (benefit) for federal income taxes	(985)	13,749	(3,091)
Loss before extraordinary losses	(72,022)	(58,319)	(2,056)
Extraordinary gains (losses), net of tax effect	0	(409)	(15)
Net loss	(72,022)	(58,728)	(2,071)
Less: Net loss attributable to the noncontrolling interest	53	21	21
Net loss attributable to Fannie Mae	(71,969)	(58,707)	(2,050)
Preferred stock dividends and issuance costs at redemption	(2,474)	(1,069)	(513)
Net loss attributable to common stockholders	($74,443)	($59,776)	($2,563)
Loss per share -Basic and Diluted	-13.11	-24.04	-2.63
Cash dividends per common share		0.75	1.9
Weighted-average common shares outstanding - Basic and Diluted	5,680	2,487	973

1_Consolidated Statements of Op

Consolidated Statements of Operations (Parentheticals) (USD $)
In Millions	12 Months Ended Dec. 31, 2009	12 Months Ended Dec. 31, 2008	12 Months Ended Dec. 31, 2007
Income Statement Paranthetical
Imputed Interest included in guaranty fee income	$1,333	$1,423	$1,278

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (USD $)
In Millions	12 Months Ended Dec. 31, 2009	12 Months Ended Dec. 31, 2008	12 Months Ended Dec. 31, 2007
Cash flows (used in) provided by operating activities:
Net loss	($72,022)	($58,728)	($2,071)
Reconciliation of net income (loss) to net cash provided by operating activities:
Amortization of investment cost basis adjustments	(687)	(400)	(391)
Amortization of debt cost basis adjustments	3,255	8,589	9,775
Provision for credit losses	72,626	27,951	4,564
Valuation losses	4,530	13,964	612
Debt extinguishment gains (losses), net	325	222	47
Debt foreign currency transaction (gains) losses, net	173	(230)	190
Losses on certain guaranty contracts	0	0	1,424
Losses from partnership investments	6,735	1,554	1,005
Current and deferred federal income taxes	(1,919)	12,904	(3,465)
Extraordinary gains (losses), net of tax effect	0	409	15
Derivatives fair value adjustments	(1,105)	(1,239)	4,289
Purchases of loans held for sale	(109,684)	(56,768)	(34,047)
Proceeds from repayments of loans held for sale	2,413	617	594
Net change in trading securities, excluding non-cash transfers	11,976	72,689	62,699
Net change in:
Net change in Guaranty assets	(1,072)	2,089	(5)
Net change in Guaranty obligation	(903)	(5,312)	(630)
Other, net	(550)	(2,458)	(1,656)
Net cash (used in) provided by operating activities	(85,909)	15,853	42,949
Cash flows provided by (used in) investing activities:
Purchases of tradings securities held for investment	(48,659)	(7,635)	0
Proceeds from maturities of trading securities held for investment	12,918	9,530	0
Proceeds from sales of trading securities held for investment	39,261	2,823	0
Purchases of available-for-sale securities	(165,103)	(147,337)	(126,200)
Proceeds from maturities of available-for-sale securities	48,096	33,369	123,462
Proceeds from sales of available-for-sale securities	306,598	146,630	76,055
Purchases of loans held for investment	(52,148)	(63,097)	(76,549)
Proceeds from repayments of loans held for investment	57,142	49,328	56,617
Advances to lenders (SCF)	(79,163)	(81,483)	(79,186)
Proceeds from disposition of acquired property	22,667	10,905	5,714
Reimbursements to servicers for loan advances	(27,503)	(15,282)	(4,585)
Contributions to partnership investments	(688)	(1,507)	(3,059)
Proceeds from partnership investments	87	1,042	1,043
Net change in federal funds sold and securities purchased under agreements to resell	4,230	(9,793)	(38,926)
Net cash provided by (used in) investing activities	117,735	(72,507)	(65,614)
Cash flows (used in) provided by financing activities:
Proceeds from issuance of short-term debt	1,641,119	1,913,685	1,743,852
Payments to redeem short-term debt	(1,773,977)	(1,824,511)	(1,687,570)
Proceeds from issuance of long-term debt	289,864	243,557	193,238
Payments to redeem long-term debt	(257,329)	(267,225)	(232,978)
Repurchase of common and preferred stock	0	0	(1,105)
Proceeds from issuance of common and preferred stock	0	7,211	8,846
Payment of cash dividends on senior preferred stock to Treasury	(2,470)	(31)	0
Payment of cash dividends on common and preferred stock	0	(1,774)	(2,483)
Proceeds from senior preferred stock agreement with Treasury	59,900	0	0
Net change in federal funds purchased and securities sold under agreements to repurchase	(54)	(266)	1,561
Excess tax benefits from stock-based compensation	0	0	6
Net cash (used in) provided by financing activities	(42,947)	70,646	23,367
Net (decrease) increase in cash and cash equivalents	(11,121)	13,992	702
Cash and cash equivalents at beginning of period	17,933	3,941	3,239
Cash and cash equivalents at end of period	6,812	17,933	3,941
Cash paid during the period for:
Interest	26,344	35,959	40,645
Income taxes	876	845	1,888
Non-cash activities:
Securitization-related transfers from mortgage loans held for sale to investments in securities	119,151	40,079	27,707
Net transfers of loans held for investment to loans held for sale	7,334	(13,523)	(4,271)
Net consolidation transfers from investments in securities to mortgage loans held for sale	9,335	(1,429)	(260)
Net transfers from available-for-sale securities to mortgage loans held for sale	1,918	2,904	514
Transfers from advances to lenders to investments in securities	77,191	83,534	71,801
Net consolidation-related transfers from investments in securities to mortgage loans held for investment	3,929	(7,983)	(7,365)
Net mortgage loans acquired by assuming debt	0	167	2,756
Net transfers from mortgage loans to acquired property	5,707	4,272	3,025
Transfers to trading securities from the effect of adopting the FASB guidance on the fair value option for financial instruments	0	56,217	0
Issuance of senior preferred stock and warrant to purchase common stock to Treasury	$0	$4,518	$0

2_Consolidated Statements of Ca

Consolidated Statements of Cash Flows (Parenthenticals) (USD $)
In Millions	12 Months Ended Dec. 31, 2009	12 Months Ended Dec. 31, 2008	12 Months Ended Dec. 31, 2007
Cash flows parenthetical
(including transfers to trading securities)	$10,012	$40,660	$70,156

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Deficit) (USD $)
In Millions	Senior preferred, stock	Preferred, stock	Common, stock	Senior preferred, value	Preferred, value	Common, value	Additional paid-in capital (Equity)	Retained earnings (accumulated deficit)	Accumulated other comprehensive income (loss)	Treasury stock	Non controlling interest	Total
Stockholders' equity, shares issued, beginning balance at Dec. 31, 2006	0	132	972
Stockholders' equity, beginning balance at Dec. 31, 2006				$0	$9,108	$593	$1,942	$37,955	($445)	($7,647)	$136	$41,642
Cumulative effect from the adoption of FASB guidance on the uncertainty in income taxes, net of tax								4				4
Stockholders' equity, beginning balance adjusted								37,959				41,646
Change in investment in noncontrolling interest											(8)	(8)
Comprehensive loss:
Net loss								(2,050)			(21)	(2,071)
Other comprehensive income (loss), net of tax effect:
Changes in net unrealized gains (losses) on available-for-sale securities, net of tax									(1,073)			(1,073)
Reclassification adjustment for other-than-temporary impairments recognized in net loss, net of tax									529			529
Reclassification adjustment for gains included in net loss, net of tax									(523)			(523)
Unrealized gains (losses) on guaranty assets and guaranty fee buy-ups, net of tax									25			25
Amortization of net cash flow hedging gains (losses), net of tax									(3)			(3)
Prior service cost and actuarial gains (losses), net of amortization for defined benefit plans, net of tax									128			128
Common stock dividends								(1,858)				(1,858)
Preferred stock dividends declared								(503)				(503)
Preferred stock issued, value					8,905		(94)					8,811
Preferred stock issued, shares		356
Preferred stock redeemed, value					(1,100)							(1,100)
Preferred stock redeemed, shares		(22)
Other, value							(17)			135		118
Other, shares			2
Stockholders' equity, ending balance at Dec. 31, 2007				0	16,913	593	1,831	33,548	(1,362)	(7,512)	107	44,118
Stockholders' equity, shares issued, ending balance at Dec. 31, 2007	0	466	974
Cumulative effect from the adoption of the FASB guidance on the fair value option for financial instruments and the FASB guidance on fair value measurement, net of tax								148	(93)			55
Stockholders' equity, beginning balance adjusted								33,696	(1,455)			44,173
Change in investment in noncontrolling interest											71	71
Comprehensive loss:
Net loss								(58,707)			(21)	(58,728)
Other comprehensive income (loss), net of tax effect:
Changes in net unrealized gains (losses) on available-for-sale securities, net of tax									(10,020)			(10,020)
Reclassification adjustment for other-than-temporary impairments recognized in net loss, net of tax									4,533			4,533
Reclassification adjustment for gains included in net loss, net of tax									(67)			(67)
Unrealized gains (losses) on guaranty assets and guaranty fee buy-ups, net of tax									(342)			(342)
Amortization of net cash flow hedging gains (losses), net of tax									1			1
Prior service cost and actuarial gains (losses), net of amortization for defined benefit plans, net of tax									(323)			(323)
Common stock dividends								(741)				(741)
Senior preferred stock dividends							(31)					(31)
Common stock issued, value						49	2,477					2,526
Common stock issued, shares			94
Common stock warrant issued							3,518					3,518
Preferred stock dividends declared								(1,038)				(1,038)
Senior preferred stock issued, value				1,000								1,000
Senior preferred stock issued, shares	1
Preferred stock issued, value					4,812		(127)					4,685
Preferred stock issued, shares		141
Conversion of convertible preferred stock into common stock, value					(503)	8	495					0
Conversion of convertible preferred stock into common stock, shares		(10)	16
Treasury Commitment							(4,518)					(4,518)
Other, value							(24)			168		144
Other, shares			1
Stockholders' equity, ending balance at Dec. 31, 2008				1,000	21,222	650	3,621	(26,790)	(7,673)	(7,344)	157	(15,157)
Stockholders' equity, shares issued, ending balance at Dec. 31, 2008	1	597	1,085
Cumulative effect from the adoption of the FASB guidance on other-than-temporary impairments, net of tax								8,520	(5,556)			2,964
Change in investment in noncontrolling interest											(13)	(13)
Comprehensive loss:
Net loss								(71,969)			(53)	(72,022)
Other comprehensive income (loss), net of tax effect:
Changes in net unrealized gains (losses) on available-for-sale securities, net of tax									4,936			4,936
Reclassification adjustment for other-than-temporary impairments recognized in net loss, net of tax									6,420			6,420
Reclassification adjustment for gains included in net loss, net of tax									(220)			(220)
Unrealized gains (losses) on guaranty assets and guaranty fee buy-ups, net of tax									245			245
Amortization of net cash flow hedging gains (losses), net of tax									9			9
Prior service cost and actuarial gains (losses), net of amortization for defined benefit plans, net of tax									107			107
Senior preferred stock dividends							(2,470)					(2,470)
Increase to Senior Preferred Liquidation Preference				59,900								59,900
Conversion of convertible preferred stock into common stock, value					(874)	14	860					0
Conversion of convertible preferred stock into common stock, shares		(17)	27
Other, value							72	2		(54)		20
Other, shares			1
Stockholders' equity, ending balance at Dec. 31, 2009				$60,900	$20,348	$664	$2,083	($90,237)	($1,732)	($7,398)	$91	($15,281)
Stockholders' equity, shares issued, ending balance at Dec. 31, 2009	1	580	1,113

3_Consolidated Statements of Ch

Consolidated Statements of Changes in Stockholders' Equity (Deficit) (Parentheticals) (USD $)
In Millions, except Per Share data	1/1/2009 - 12/31/2009	1/1/2008 - 12/31/2008	1/1/2007 - 12/31/2007
Condensed Consolidated Statement of Changes in Equity (Deficit) (Parentheticals)
(Tax on unrealized gains on available-for-sale securities)	$2,658	$5,395	$578
(Tax on reclassification adjustment for other-than-temporary impairments recognized in net income)	3,441	2,441	285
(Tax on reclassification adjustment for gains included in net loss)	119	36	282
(Tax on unrealized gains on guaranty assets and guaranty fee buy-ups)			13
(Tax on net cash flow hedging losses)			2
(Tax on prior service cost and actuarial gains, net of amortization for defined benefit plans)			$73
Cash dividends per common share		0.75	1.9

Summary of Significant Accounti

Summary of Significant Accounting Policies
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Summary of Significant Accounting Policies	1.Summary of Significant Accounting PoliciesOrganizationWe are a stockholder-owned corporation organized and existing under the Federal National Mortgage Association Charter Act (The Charter Act or our charter). We are a government-sponsored enterprise (GSE), and we are subject to government oversight and regulation. Our regulators include the Federal Housing Finance Agency (FHFA), the U.S.Department of Housing and Urban Development (HUD), the U.S.Securities and Exchange Commission (SEC), and the U.S.Department of the Treasury (Treasury). Through July29, 2008, we were regulated by the Office of Federal Housing Enterprise Oversight (OFHEO), which was replaced on July30, 2008 with FHFA upon the enactment of the Federal Housing Finance Regulatory Reform Act of 2008 (Regulatory Reform Act). The U.S.government does not guarantee, directly or indirectly, our securities or other obligations.We operate in the secondary mortgage market by purchasing mortgage loans and mortgage-related securities, including mortgage-related securities guaranteed by us, from primary mortgage market institutions, such as commercial banks, savings and loan associations, mortgage banking companies, securities dealers and other investors. We do not lend money directly to consumers in the primary mortgage market. We provide additional liquidity in the secondary mortgage market by issuing guaranteed mortgage-related securities.We operate under three business segments: Single-Family Credit Guaranty (Single-Family), Housing and Community Development (HCD) and Capital Markets. Our Single-Family segment generates revenue primarily from the guaranty fees on the mortgage loans underlying guaranteed single-family Fannie Mae mortgage-backed securities (Fannie Mae MBS). Our HCD segment generates revenue from a variety of sources, including guaranty fees on the mortgage loans underlying multifamily Fannie Mae MBS and on the multifamily mortgage loans held in our portfolio, transaction fees associated with the multifamily business and bond credit enhancement fees. Our Capital Markets segment invests in mortgage loans, mortgage-related securities and other investments, and generates income primarily from the difference, or spread, between the yield on the mortgage assets we own and the interest we pay on the debt we issue in the global capital markets to fund the purchases of these mortgage assets. On September7, 2008, the Secretary of the Treasury and the Director of FHFA announced several actions taken by Treasury and FHFA regarding Fannie Mae, which included: (1)placing us in conservatorship; (2)the execution of a senior preferred stock purchase agreement by our conservator, on our behalf, and Treasury, pursuant to which we issued to Treasury both senior preferred stock and a warrant to purchase common stock; and (3)Treasurys agreement to establish a temporary secured lending credit facility that was available to us and the other GSEs regulated by FHFA under identical terms until December 31, 2009. We entered into a lending agreement with Treasury pursuant to which Treasury established this secured lending credit facility on September19, 2008. The secured lending facility terminate

Consolidations

Consolidations
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Consolidations	2. ConsolidationsWe have interests in various entities that are considered to be VIEs. These interests include investments in securities issued by VIEs, such as Fannie Mae MBS created pursuant to our securitization transactions, mortgage and asset-backed trusts that we did not create and housing partnerships that are established to finance the acquisition, construction, development or rehabilitation of affordable multifamily and single-family housing. These interests may also include our guaranty to the entity.Types of VIEsSecuritization TrustsUnder our lender swap and portfolio securitization transactions, mortgage loans are transferred to a trust specifically for the purpose of issuing a single class of guaranteed securities that are collateralized by the underlying mortgage loans. The trusts permitted activities include receiving the transferred assets, issuing beneficial interests, establishing the guaranty and servicing the underlying mortgage loans. In our capacity as issuer, master servicer, trustee and guarantor, we earn fees for our obligations to each trust. Additionally, we may retain or purchase a portion of the securities issued by each trust. However, third parties hold the substantial majority of outstanding Fannie Mae MBS and therefore, we generally do not reflect those securities in our consolidated balance sheets. We have securitized mortgage loans since 1981. In our structured securitization transactions, we earn fees for assisting lenders and dealers with the design and issuance of structured mortgage-related securities. The trusts created in these transactions have permitted activities that are similar to those for our lender swap and portfolio securitization transactions. The assets of these trusts may include mortgage-related securities and/or mortgage loans. The trusts created for Fannie Mae Mega securities issue single-class securities while the trusts created for REMIC, grantor trust and SMBS securities issue single-class and multi-class securities, the latter of which separate the cash flows from underlying assets into separately tradable interests. Our obligations and continued involvement in these trusts are similar to those described for lender swap and portfolio securitization transactions. We have securitized mortgage assets in structured transactions since 1986.We also invest in mortgage-backed and asset-backed securities that have been issued via private-label trusts. These trusts are structured to provide investors with a beneficial interest in a pool of receivables or other financial assets, typically mortgage loans, credit card receivables, auto loans or student loans. The trusts act as vehicles to allow loan originators to securitize assets. Securities are structured from the underlying pool of assets to provide for varying degrees of risk. The originators of the financial assets or the underwriters of the transaction create the trusts and typically own the residual interest in the trusts assets. Our involvement in these entities is typically limited to our recorded investment in the beneficial interests that we have purchased. We have invested in these vehicles since 1987.Limited PartnershipsWe have h

Mortgage Loans

Mortgage Loans
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Mortgage Loans	3.Mortgage LoansWe own both single-family mortgage loans, which are secured by four or fewer residential dwelling units, and multifamily mortgage loans, which are secured by five or more residential dwelling units. We classify these loans as either HFI or HFS. We report HFI loans at the unpaid principal amount outstanding, net of unamortized premiums and discounts, other cost basis adjustments, and an allowance for loan losses. We report HFS loans at the lower of cost or fair value determined on a pooled basis, and record valuation changes in our consolidated statements of operations.The following table displays loans in our mortgage portfolio as of December 31, 2009 and 2008. The table excludes loans underlying securities that are not consolidated, as those mortgage loans are not included in our consolidated balance sheets. As of December 31, 2009 2008 (Dollars in millions) Single-family:(1) Government insured or guaranteed $ 52,399 $ 43,799 Conventional: Long-term fixed rate 179,654 186,550 Intermediate-term fixed-rate(2) 29,474 37,546 Adjustable-rate 34,602 44,157 Total conventional single-family 243,730 268,253 Total single-family 296,129 312,052 Multifamily:(1) Government insured or guaranteed 585 699 Conventional: Long-term fixed-rate 5,727 5,636 Intermediate-term fixed-rate(2) 91,760 90,837 Adjustable-rate 22,342 20,269 Total conventional multifamily 119,829 116,742 Total multifamily 120,414 117,441 Unamortized premiums (discounts) and other cost basis adjustments, net (3) (11,168) (894) Lower of cost or market adjustments on loans held for sale (889) (264) Allowance for loan losses for loans held for investment (10,461) (2,923) Total mortgage loans $ 394,025 $ 425,412 __________ (1) Includes unpaid principal balance totaling $147.0 billion and $65.8 billion as of December 31, 2009 and 2008, respectively, of mortgage-related securities that were held in consolidated variable interest entities and mortgage-related securities created from securitization transactions that did not meet the sales accounting criteria, which effectively resulted in those mortgage-related securities being accounted for as loans. (2) Intermediate-term fixed-rate consists of mortgage loans with contractual maturities at purchase equal to or less than 15 years. (3) Includes a net premium of $806 million and $921 million as of December 31, 2009 and 2008, respectively, for hedged mortgage loans that will be amortized through interest income over the life of the loans. For the years ended December 31, 2009 and 2008, we redesignated loans with a carrying value of $1.2 billion and $13.5 billion, respectively, from HFS to HFI. We redesignated $8.5 billion and $1.3 billion, respectively, of HFI loans to HFS for the years ended December 31, 2009 and 2008. Loans Acquired in a TransferLoans can be acquired either through purchase or upon consolidating MBS trusts that hold loans as underlying collateral. When a loan underlying a Fannie Mae MBS trust is delinquent, in whole or in part, for four or more consecutive monthly payment da

Allowance for Loan Losses and R

Allowance for Loan Losses and Reserve for Guaranty Losses
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Allowance for Loan Losses and Reserve for Guaranty Losses	4. Allowance for Loan Losses and Reserve for Guaranty LossesWe maintain an allowance for loan losses for loans held for investment in our mortgage portfolio and a reserve for guaranty losses related to loans backing Fannie Mae MBS and loans that we have guaranteed under long-term standby commitments. We calculate the allowance and reserve based on our estimate of incurred losses as of the balance sheet date. Determining the adequacy of our allowance for loan losses and reserve for guaranty losses is complex and requires judgment about the effect of matters that are inherently uncertain. Although our loss models include extensive historical loan performance data, our loss reserve process is subject to risks and uncertainties particularly in the current uncertain credit environment. We have experienced higher default and loan loss severity rates during 2009 as compared to 2008, which has increased our estimates of incurred losses. This has resulted in a significant increase to our allowance for loan losses and reserve for guaranty losses as of December 31, 2009.The following table displays changes in the allowance for loan losses and reserve for guaranty losses for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars in millions) Allowance for loan losses: Beginning balance, January 1 $ 2,923 $ 698 $ 340 Provision 9,569 4,022 658 Charge-offs(1) (2,245) (1,987) (407) Recoveries 214 190 107 Ending balance, December 31(2) $ 10,461 $ 2,923 $ 698 Reserve for guaranty losses: Beginning balance, January 1 $ 21,830 $ 2,693 $ 519 Provision 63,057 23,929 3,906 Charge-offs(3)(4) (31,142) (4,986) (1,782) Recoveries 685 194 50 Ending balance, December 31 $ 54,430 $ 21,830 $ 2,693 ___________ (1) Includes accrued interest of $1.5 billion, $642million and $128 million for the years ended December 31, 2009, 2008 and 2007, respectively. (2) Includes $726million, $150 million and $39million as of December 31, 2009, 2008 and 2007, respectively, associated with acquired credit-impaired loans. (3) Includes charges of $228million and $333million for the years ended December 31, 2009 and 2008, respectively, related to unsecured HomeSaver Advance loans. (4) Includes charges recorded at the date of acquisition of $20.3billion, $2.1 billion and $1.4 billion for the years ended December 31, 2009, 2008 and 2007, respectively, for acquired credit-impaired loans where the acquisition cost exceeded the fair value of the acquired loan.

Investments in Securities

Investments in Securities
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Investments in Securities	5. Investments in SecuritiesTrading SecuritiesTrading securities are recorded at fair value with subsequent changes in fair value recorded as Fair value losses, net in our consolidated statements of operations. The following table displays our investments in trading securities and the cumulative amount of net losses recognized from holding these securities as of December 31, 2009 and 2008. As of December 31, 2009 2008(1) (Dollars in millions) Mortgage-related securities: Fannie Mae $ 74,750 $ 58,006 Freddie Mac 15,082 2,299 Ginnie Mae 1 1 Alt-A 1,355 1,476 Subprime 1,780 2,318 CMBS 9,335 8,205 Mortgage revenue bonds 600 695 Other mortgage-related securities 154 166 Total 103,057 73,166 Non-mortgage-related securities: Asset-backed securities 8,515 10,598 Corporate debt securities 364 6,037 Other 3 1,005 Total 8,882 17,640 Total trading securities $ 111,939 $ 90,806 Losses in trading securities held in our portfolio, net $ 2,685 $ 7,195 __________ (1) Certain prior year amounts have been reclassified to conform to the current period presentation. The following table displays information about our net trading gains and losses for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars in millions) Net trading gains (losses): Mortgage-related securities $ 2,457 $ (4,297) $ (365) Non-mortgage-related securities 1,287 (2,743) - Total $ 3,744 $ (7,040) $ (365) Net trading gains (losses) recorded in the year related to securities still held at year end: Mortgage-related securities $ 1,974 $ (4,464) $ (536) Non-mortgage-related securities 1,146 (2,418) - Total $ 3,120 $ (6,882) $ (536) Available-for-Sale SecuritiesWe measure AFS securities at fair value with unrealized gains and losses recorded as a component of AOCI, net of tax, in our consolidated balance sheets. We record realized gains and losses from the sale of AFS securities in Investment gains (losses), net in our consolidated statements of operations.The following table displays the gross realized gains, losses and proceeds on sales of AFS securities for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars in millions) Gross realized gains $ 4,521 $ 4,022 $ 1,929 Gross realized losses 3,080 3,635 1,226 Total proceeds(1) 226,664 130,991 71,960 The following tables display the amortized cost, gross unrealized gains and losses and fair value by major security type for AFS securities we held as of December 31, 2009 and 2008. As of December 31, 2009 Gross Gross Total Gross Unrealized Unrealized Total Amortized Unrealized Losses - Losses - Fair Cost(1) Gains OTTI(2) Other(3) Value (Dollars in millions) Fannie Mae $ 148,074 $ 6,413 $ (23) $ (45) $ 154,419 Freddie Mac 26,281 1,192 - (4) 27,469 Ginnie Mae 1,253 102 - (2) 1,353 Alt-A 17,836 41 (2,738) (989) 14,150 Subprime 13,232 33 (1,774) (745) 10

Portfolio Securitizations

Portfolio Securitizations
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Portfolio Securitizations	6.Portfolio SecuritizationsWe issue Fannie Mae MBS through securitization transactions by transferring pools of mortgage loans or mortgage-related securities to one or more trusts or special purpose entities. We are considered to be the transferor when we transfer assets from our own portfolio in a portfolio securitization. For the years ended December 31, 2009 and 2008, the unpaid principal balance of portfolio securitizations was $216.1 billion and $41.1 billion, respectively.For the transfers we recorded as sales, we have continuing involvement in the assets transferred to a trust as a result of our investments in securities issued by the trusts and our guaranty and master servicing relationships. The following table displays our continuing involvement in the form of Fannie Mae MBS, guaranty asset, guaranty obligation, MSA and MSL as of December 31, 2009 and 2008. As of December 31, 2009 2008 (Dollars in millions) Fannie Mae MBS $ 55,679 $ 45,705 Guaranty asset 1,412 438 MSA 15 10 Guaranty obligation (excluding deferred profit) (1,222) (769) MSL (37) (27) We have recorded our exposure to credit losses on the loans underlying our Fannie Mae MBS resulting from our guaranty in our consolidated balance sheets in Guaranty obligations, as it relates to our obligation to stand ready to perform on our guaranty, and Reserve for guaranty losses, as it relates to incurred losses.Since our guaranty asset and MSA or MSL do not trade in active financial markets, we estimate their fair value by using internally developed models and market inputs for securities with similar characteristics. For additional information surrounding the key assumptions utilized, refer to Master Servicing in Note 1, Summary of Significant Accounting Policies. The fair value of all guaranty obligations measured subsequent to their initial recognition is our estimate of a hypothetical transaction price we would receive if we were to issue our guaranty to an unrelated party in a stand-alone arms length transaction at the measurement date. The key assumptions associated with the fair value of the guaranty obligations are future home prices and current loan-to-value ratios.Our investments in Fannie Mae single-classMBS, Fannie Mae Megas, REMICs and SMBS are interests in securities with markets. We primarily rely on third-party prices to estimate the fair value of these interests. For the purpose of this disclosure, we aggregate similar securities in order to measure the key assumptions associated with the fair values of our interests. We approximate the fair value of our interests by solving for the estimated discount rate, or yield, using a projected interest rate path consistent with the observed yield curve at the valuation date (forward rates), and the prepayment speed based on either our proprietary models that are consistent with the projected interest rate path, the pricing speed for newly issued REMICs, or lagging 12-month actual prepayment speed. We express all prepayment speeds as a 12-month CPR.To determine the fair value of our securities created via portfolio securitizations, we utilize several independent pricing services. The pr

Financial Guarantees and Master

Financial Guarantees and Master Servicing
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Financial Guarantees and Master Servicing	7.Financial Guarantees and Master ServicingWe generate revenue by absorbing the credit risk of mortgage loans and mortgage-related securities backing our Fannie Mae MBS in exchange for a guaranty fee. We primarily issue single-class and multi-classFannie Mae MBS and guarantee to the respective MBS trusts that we will supplement amounts received by the MBS trusts as required to permit timely payment of principal and interest on the related Fannie Mae MBS, irrespective of the cash flows received from borrowers. We also provide credit enhancements on taxable or tax-exempt mortgage revenue bonds issued by state and local governmental entities to finance multifamily housing for low- and moderate-income families. Additionally, we issue long-term standby commitments that require us to purchase loans from lenders if the loans meet certain delinquency criteria.We record a guaranty obligation for (1)guarantees on lender swap transactions issued or modified on or after January1, 2003, (2)guarantees on portfolio securitization transactions, (3)credit enhancements on mortgage revenue bonds, and (4)our obligation to absorb losses under long-term standby commitments. Our guaranty obligation represents our obligation to stand ready to perform on these guarantees. Our guaranty obligation is recorded at fair value at inception. The carrying amount of the guaranty obligation, excluding deferred profit, was $12.4billion and $9.7billion as of December 31, 2009 and 2008, respectively. We also record an estimate of incurred credit losses on these guarantees in the Reserve for guaranty losses in our consolidated balance sheets, as discussed further in Note 4, Allowance for Loan Losses and Reserve for Guaranty Losses.We have a portion of our guarantees reflected in our consolidated balance sheets. For those guarantees recorded in our consolidated balance sheets, our maximum potential exposure under these guarantees is primarily comprised of the unpaid principal balance of the underlying mortgage loans, which totaled $2.5 trillion and $2.4 trillion as of December 31, 2009 and 2008, respectively. In addition, we had exposure of $135.7billion and $172.2billion for other guarantees not recorded in our consolidated balance sheets as of December 31, 2009 and 2008, respectively, which primarily represents the unpaid principal balance of loans underlying guarantees issued prior to the effective date of the current FASB guidance on guaranty accounting.The maximum exposure from our guarantees is not representative of the actual loss we are likely to incur, based on our historical loss experience. In the event we were required to make payments under our guarantees, we would pursue recovery of these payments by exercising our rights to the collateral backing the underlying loans and through available credit enhancements, which includes all recourse with third parties and mortgage insurance. The maximum amount we could recover through available credit enhancements and recourse with third parties on guarantees recorded in our consolidated balance sheets was $113.4billion and $124.4billion as of December 31, 2009 and 2008, respectively. The maximum amount we could recover throug

Acquired Propery Net

Acquired Propery Net
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Acquired Propery Net	8.Acquired Property, NetAcquired property, net consists of held for sale foreclosed property received in full satisfaction of a loan net of a valuation allowance for declines in the fair value of foreclosed properties after initial acquisition. We classify as held for sale those properties that we intend to sell and are actively marketed for sale. The following table displays the activity in acquired property and the related valuation allowance for the years ended December 31, 2009, 2008 and 2007. Acquired Valuation Acquired Property Allowance(1) Property, Net (Dollars in millions) Balance, January 1,2007 $ 2,257 $ (116) $ 2,141 Additions 5,131 (18) 5,113 Disposals (3,535) 291 (3,244) Write-downs, net of recoveries - (408) (408) Balance, December 31,2007 3,853 (251) 3,602 Additions 10,853 (75) 10,778 Disposals (6,666) 664 (6,002) Write-downs, net of recoveries - (1,460) (1,460) Balance, December 31,2008 8,040 (1,122) 6,918 Additions 14,165 (79) 14,086 Disposals (12,489) 1,379 (11,110) Write-downs, net of recoveries - (752) (752) Balance, December 31,2009 $ 9,716 $ (574) $ 9,142 __________ (1) Reflects activities in the valuation allowance for acquired properties held primarily by our single-family segment. We classify as held for use those properties that we do not intend to sell or that are not ready for immediate sale in their current condition and are reflected in Other assets in our consolidated balance sheets. The following table displays the carrying amount of acquired properties held for use for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars in millions) Beginning balance, January 1 $ 11 $ 107 $ 224 Transfers in from held for sale, net 45 1 4 Transfers to held for sale, net (11) (93) (113) Depreciation and asset write-downs (1) (4) (8) Ending balance, December 31 $ 44 $ 11 $ 107

Short-term Borrowings and Long-

Short-term Borrowings and Long-term Debt
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Short-term Borrowings and Long-term Debt	9.Short-term Borrowings and Long-term DebtWe obtain the funds to finance our mortgage purchases and other business activities primarily by selling debt securities in the domestic and international capital markets. We issue a variety of debt securities to fulfill our ongoing funding needs.Short-term BorrowingsOur short-term borrowings (borrowings with an original contractual maturity of one year or less) consist of both Federal funds purchased and securities sold under agreements to repurchase and Short-term debt in our consolidated balance sheets. The following table displays our outstanding short-term borrowings and weighted-average interest rates as of December 31, 2009 and 2008. As of December 31, 2009 2008 Weighted- Weighted- Average Average Interest Interest Outstanding Rate(1) Outstanding Rate(1) (Dollars in millions) Federal funds purchased and securities sold under agreements to repurchase $ - - % $ 77 0.01 % Fixed-rate short-term debt: Discount notes $ 199,987 0.27 % $ 322,932 1.75 % Foreign exchange discount notes 300 1.50 141 2.50 Other short-term debt 100 0.53 333 2.80 Total fixed-rate short-term debt 200,387 0.27 323,406 1.75 Floating-rate short-term debt(2) 50 0.02 7,585 1.66 Total short-term debt $ 200,437 0.27 % $ 330,991 1.75 % __________ (1) Includes the effects of discounts, premiums and other cost basis adjustments. (2) Includes a portion of structured debt instruments that is reported at fair value as of December 31, 2008. Our federal funds purchased and securities sold under agreements to repurchase represent agreements to repurchase securities from banks with excess reserves on a particular day for a specified price, with repayment generally occurring on the following day. Our short-term debt includes discount notes and foreign exchange discount notes, as well as other short-term debt. Our discount notes are unsecured general obligations and have maturities ranging from overnight to 360days from the date of issuance. Additionally, we issue foreign exchange discount notes in the Euro money market enabling investors to hold short-term investments in different currencies. We have the ability to issue foreign exchange discount notes in all tradable currencies in maturities ranging from 5to 360days.Long-term DebtLong-term debt represents borrowings with an original contractual maturity of greater than one year. The following table displays our outstanding long-term debt as of December 31, 2009 and 2008. As of December 31, 2009 2008(1) Weighted- Weighted- Average Average Interest Interest Maturities Outstanding Rate(2) Maturities Outstanding Rate(2) (Dollars in millions) Senior fixed: Benchmark notes and bonds 2010 - 2030 $ 279,945 4.10 % 2009-2030 $ 251,063 4.92 % Medium-term notes 2010 - 2019 171,207 2.97 2009-2018 151,277 4.20 Foreign exchange notes and bonds 2010 - 2028 1,239 5.64 2009-2028 1,513 4.70 Other long-term debt(3) 2010 - 2039 62,783 5.80 2009-2038 73,061 5.95 Total senior fixed 515,174 3.94 476,914 4.85 Senior fl

Derivative Instruments

Derivative Instruments
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Derivative Instruments and Hedging Activities	10.Derivative Instruments and Hedging ActivitiesDerivative instruments are an integral part of our strategy in managing interest rate risk. Derivative instruments may be privately negotiated contracts, which are often referred to as over-the-counter (OTC) derivatives, or they may be listed and traded on an exchange. When deciding whether to use derivatives, we consider a number of factors, such as cost, efficiency, the effect on our liquidity, results of operations, and our overall interest rate risk management strategy. We choose to use derivatives when we believe they will provide greater relative value or more efficient execution of our strategy than debt securities. We typically do not settle the notional amount of our risk management derivatives; rather notional amounts provide the basis for calculating actual payments or settlement amounts. The derivatives we use for interest rate risk management purposes consist primarily of OTC contracts that fall into three broad categories:Interest rate swap contracts.An interest rate swap is a transaction between two parties in which each party agrees to exchange payments tied to different interest rates or indices for a specified period of time, generally based on a notional amount of principal. The types of interest rate swaps we use include pay-fixed swaps, receive-fixed swaps and basis swaps.Interest rate option contracts.These contracts primarily include pay-fixed swaptions, receive-fixed swaptions, cancelable swaps and interest rate caps. A swaption is an option contract that allows us to enter into a pay-fixed or receive-fixed swap at some point in the future. Foreign currency swaps.These swaps convert debt that we issue in foreign-denominated currencies into U.S.dollars. We enter into foreign currency swaps only to the extent that we issue foreign currency debt.We enter into forward purchase and sale commitments that lock in the future delivery of mortgage loans and mortgage-related securities at a fixed price or yield. Certain commitments to purchase mortgage loans and purchase or sell mortgage-related securities meet the criteria of a derivative. We typically settle the notional amount of our mortgage commitments that are accounted for as derivatives. We account for our derivatives pursuant to the FASB standard on derivative instruments and hedging activities, and recognize all derivatives as either assets or liabilities in our consolidated balance sheets at their fair value on a trade date basis. Fair value amounts, which are netted at the counterparty level and are inclusive of cash collateral posted or received, are recorded in Derivative assets, at fair value or Derivative liabilities, at fair value in our consolidated balance sheets. We record all derivative gains and losses, includingaccrued interest, in Fair value losses, netin our consolidated statements of operations.Hedging Activities In 2008, webegan to employ fair value hedge accounting for some of our interest rate risk management activities by designating hedging relationships between certain of our interest rate derivatives and mortgage assets. We achievedhedge accounting by designating all or a fixed percentage of a pay

Income Taxes

Income Taxes
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Income Taxes	11.Income TaxesProvision (Benefit) for Income TaxesWe operate as a government-sponsored enterprise. We are subject to federal income tax, but we are exempt from state and local income taxes. The following table displays the components of our provision (benefit) for federal income taxes for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars in millions) Current income tax expense (benefit)(1) $ (999) $ 403 $ 757 Deferred income tax expense (benefit)(2) 14 13,346 (3,809) Other, non-current tax benefit - - (39) Provision (benefit) for federal income taxes $ (985) $ 13,749 $ (3,091) __________ (1) Does not reflect the tax impact of extraordinary losses as this amount is recorded in our consolidated statements of operations, net of tax effect. We recorded a tax benefit of $8 million related to extraordinary losses recognized in 2007. We recorded no tax benefit for extraordinary losses recognized in 2008. (2) Amount excludes the income tax effect of items recognized directly in quot;Fannie Mae stockholders' equity (deficit)quot; where we did not establish a valuation allowance. The following table displays the difference between our effective tax rates and the statutory federal tax rates for the years ended December 31, 2009, 2008 and 2007, respectively. For the Year Ended December 31, 2009 2008 2007 Statutory corporate tax rate 35.0 % 35.0 % 35.0 % Tax-exempt interest and dividends-received deductions 0.3 0.5 4.6 Equity investments in affordable housing projects 1.3 2.1 20.1 Other 0.0 - 0.6 Valuation allowance (35.2) (68.2) - Effective tax rate 1.4 % (30.6) % 60.3 % Our effective tax rate is the provision (benefit) for federal income taxes, excluding the tax effect of extraordinary items, expressed as a percentage of income or loss before federal income taxes. Our effective tax rates were different from the federal statutory rate of 35% for the years ended December 31, 2009, 2008, and 2007 due partially to the benefits of our holdings of tax-exempt investments, investments in housing projects eligible for the low-income housing tax credit and other equity investments that provide tax credits. In addition, our effective tax rates for the years ended December 31, 2009 and 2008 were impacted by the increase to and establishment of a valuation allowance for our net deferred tax assets of $25.7 billion and $30.8 billion, respectively. A valuation allowance was not recorded for 2007. Deferred Tax Assets and LiabilitiesThe following table displays our deferred tax assets, deferred tax liabilities, and valuation allowance as of December 31, 2009 and 2008. As of December 31, 2009 2008 (Dollars in millions) Deferred tax assets:(1) Allowance for loan losses and basis in acquired property, net $ 23,615 $ 10,762 Mortgage and mortgage-related assets, including acquired credit-impaired loans 10,547 6,365 Debt and derivative instruments 8,255 8,604 Partnership credits 3,587 2,157 Partnership and other equity investments 2,411 257 Cash fees and other upfront payments 1,53

Earnings

Earnings (Loss) Per Share
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Earnings (Loss) Per Share	12.Loss Per ShareThe following table displays the computation of basic and diluted loss per share of common stock for the years ended December 31, 2009, 2008 and 2007. For the Year Ended December 31, 2009 2008 2007 (Dollars and shares in millions, except per share amounts) Loss before extraordinary losses $ (72,022) $ (58,319) $ (2,056) Extraordinary losses, net of tax effect - (409) (15) Net loss (72,022) (58,728) (2,071) Less: Net loss attributable to the noncontrolling interest 53 21 21 Net loss attributable to Fannie Mae (71,969) (58,707) (2,050) Preferred stock dividends and issuance costs at redemption(1) (2,474) (1,069) (513) Net loss attributable to common stockholders-basic and diluted $ (74,443) $ (59,776) $ (2,563) Weighted-average common shares outstanding-basic and diluted(2) 5,680 2,487 973 Basic and diluted loss per share: Loss before extraordinary losses $ (13.11) $ (23.88) $ (2.62) Extraordinary losses, net of tax effect - (0.16) (0.01) Basic and diluted loss per share $ (13.11) $ (24.04) $ (2.63) __________ (1) Amounts include $2.5 billion and $31 million of dividends declared and paid on our outstanding cumulative senior preferred stock as of December 31, 2009 and 2008, respectively. Amount for 2009 also includes $4 million of dividends accumulated, but undeclared, on our outstanding cumulative senior preferred stock as of December 31, 2009. (2) Amounts include 4.6 billion and 1.4 billion weighted-average shares of common stock for the year ended December 31, 2009 and 2008, respectively, that would be issued upon the full exercise of the warrant issued to Treasury from the date the warrant was issued through December 31, 2009 and 2008, respectively. Weighted-average options and performance awards to purchase approximately 14 million, 22 million and 23 million shares of common stock were outstandingfor the years ended December 31, 2009, 2008 and 2007, respectively, and were excluded from the computation of diluted EPS in thetable aboveas they would have been anti-dilutive.

Stock-Based Compensation Plans

Stock-Based Compensation Plans
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Stock-Based Compensation	13. Stock-Based Compensation We have two stock-based compensation plans, the 1985 Employee Stock Purchase Plan and the Stock Compensation Plan of 2003. Under these plans, we previously offered various stock-based compensation programs where we provided employees an opportunity to purchase Fannie Mae common stock or periodically made stock awards to certain employees in the form of nonqualified stock options, performance share awards, restricted stock awards, restricted stock units or stock bonus awards. Under the senior preferred stock purchase agreement with Treasury, we may not issue Fannie Mae equity securities without the consent of Treasury, other than the senior preferred stock, the Treasury warrant, common stock issuable upon exercise of the warrant, or as required by the terms of any binding agreement in effect on the date of the senior preferred stock purchase agreement. As such, we currently do not intend to grant equity compensation to employees under these plans. In connection with our stock-based compensation plans for shares or awards issued prior to conservatorship, we recorded compensation expense of $52million, $97million and $118million for 2009, 2008 and 2007, respectively. Stock-Based Compensation PlansThe 1985 Employee Stock Purchase Plan (the 1985 Purchase Plan) provided employees an opportunity to purchase shares of Fannie Mae common stock at a discount to the fair market value of the stock during specified purchase periods. Our Board of Directors sets the terms and conditions of offerings under the 1985 Purchase Plan, including the number of available shares and the size of the discount. There were no offerings under the 1985 Purchase Plan in any year presented. The aggregate maximum number of shares of common stock available for employee purchase is 50million. Since inception, we have made available 38,039,742shares for purchase by employees under this plan. The Stock Compensation Plan of 2003 (the 2003 Plan) is the successor to the Stock Compensation Plan of 1993 (the 1993 Plan). The 2003 Plan enabled us to make stock awards in various forms and combinations, including stock options, stock appreciation rights, restricted stock, restricted stock units, performance share awards and stock bonus awards. The aggregate maximum number of shares of common stock available for award to employees and non-management directors under the 2003 Plan is 40million. Including the effects of share cancellations, we have awarded 11,252,405shares under this plan since its inception. The shares awarded under the 2003 Plan were authorized and unissued shares, treasury shares or shares purchased on the open market. Restricted Stock ProgramUnder the 1993 and 2003 Plans, prior to conservatorship, employees could have received restricted stock awards (RSAs) and, under the 2003 Plan, employees may have received restricted stock units (RSUs). The type of award employees received under the 2003 Plan generally depended upon years of service and age at the time of grant. Each RSU represented the right to receive a share of common stock at the time of vesting. As a result, RSUs are generally similar to restricted stock, except that RSUs do not con

Employee Retirement Benefits

Employee Retirement Benefits
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Employee Retirement Benefits	14.Employee Retirement BenefitsWe sponsor both defined benefit plans and defined contribution plans for our employees, as well as a healthcare plan that provides certain health benefits for retired employees and their dependents. Net periodic benefit costs for defined benefit and healthcare plans, which are determined on an actuarial basis, and expenses for our defined contribution plans, are included in Salaries and employee benefits expense in our consolidated statements of operations. For the years ended December 31, 2009, 2008 and 2007, we recognized net periodic benefit costs for our defined benefit and healthcare plans and expenses for our defined contributions plans of $131million, $95million, and $143million, respectively. Defined Benefit Pension Plans and Postretirement Health Care Plan Our defined benefit pension plans include qualified and nonqualified noncontributory plans. Pension plan benefits are based on years of credited service and a percentage of eligible compensation. In 2007, the defined benefit pension plans were amended to cease benefits accruals for employees that did not meet certain criteria to be grandfathered under the plan and to vest those employees in their frozen accruals. We fund our qualified pension plan through employer contributions to a qualified irrevocable trust that is maintained for the sole benefit of plan participants and their beneficiaries. Contributions to our qualified pension plan are subject to a minimum funding requirement and a maximum funding limit under the Employee Retirement Income Security Act of 1974 (ERISA) and IRS regulations. Our nonqualified defined benefit pension plans consist of an Executive Pension Plan, Supplemental Pension Plan and the Supplemental Pension Plan 2003, which is a bonus-based plan. These plans cover certain employees and supplement the benefits payable under the qualified pension plan. The Compensation Committee of the Board of Directors selects those who can participate in the Executive Pension Plan. In 2007, the Board of Directors approved an amendment to close the Executive Pension Plan to new participants and in 2009, the plan was frozen. Participants typically vested in their benefits under the Executive Pension Plan after ten years of service as a participant, with partial vesting usually beginning after five years. Benefits under the Executive Pension Plan are paid through a rabbi trust. The Supplemental Pension Plan provides retirement benefits to employees who participate in our qualified pension plan and do not receive a benefit from the Executive Pension Plan, and whose salary exceeds the statutory compensation cap applicable to the qualified plan or whose benefit is limited by the statutory benefit cap. Similarly, the Supplemental Pension Plan 2003 provides additional benefits to our officers based on eligible bonuses, if any, received by an officer, but the amount of bonus considered is limited to 50% of the officers salary. We pay benefits for our unfunded defined benefit Supplemental Pension Plans from our cash and cash equivalents. We also sponsor a contributory postretirement Health Care Plan that covers substantially all regular full-time em

Segment Reporting

Segment Reporting
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Segment Reporting	15.Segment ReportingOur three reportable segments are: Single-Family, HCD, and Capital Markets. We use these three segments to generate revenue and manage business risk, and each segment is based on the type of business activities it performs. These activities are discussed below. Our Chief Executive Officer has been delegated the authority by FHFA to conduct day-to-day management activities, and as such, our Chief Executive Officer continues to be the chief operating decision maker who makes decisions about resources to be allocated to each segment and assesses segment performance. Description of Business Segments Single-Family Our Single-Family segment works with our lender customers to securitize single-family mortgage loans into Fannie Mae MBS and to facilitate the purchase of single-family mortgage loans for our mortgage portfolio. Single-family mortgage loans relate to properties with four or fewer residential units. Our Single-Family segment has responsibility for managing our credit risk exposure relating to the single-family Fannie Mae MBS held by third parties (such as lenders, depositories and global investors), as well as the single-family mortgage loans and single-family Fannie Mae MBS held in our mortgage portfolio. Our Single-Family segment also has responsibility for pricing the credit risk of the single-family mortgage loans we purchase for our mortgage portfolio. We derive revenues in this segment primarily from the guaranty fees the segment receives as compensation for assuming the credit risk on the mortgage loans underlying single-family Fannie Mae MBS and on the single-family mortgage loans held in our portfolio. The primary source of profit for the Single-Family segment is the difference between the guaranty fees earned and the costs of providing this service, including credit-related losses. Housing and Community Development Our HCD segment makes debt and equity investments to expand the supply of affordable and market-rate rental housing in the United States primarily by: (i)working with our lender customers to securitize multifamily mortgage loans into Fannie Mae MBS and to facilitate the purchase of multifamily mortgage loans for our mortgage portfolio; and (ii)making investments in rental and for-sale housing projects, including investments in rental housing that is eligible for federal low-income housing tax credits. Our HCD segment has responsibility for managing our credit risk exposure relating to the multifamily Fannie Mae MBS held by third parties, as well as the multifamily mortgage loans and multifamily Fannie Mae MBS held in our mortgage portfolio. HCD also manages the credit risk of its LIHTC and other debt and equity investments. We derive revenues in this segment from a variety of sources, including the guaranty fees the segment receives as compensation for assuming the credit risk on the mortgage loans underlying multifamily Fannie Mae MBS and on the multifamily mortgage loans held in our portfolio, transaction fees associated with the multifamily business and bond credit enhancement fees. In addition, HCDs investments in rental housing projects eligible for the federal low-income housing tax credit

Stockholders' Equity

Stockholders' Equity (Deficit)
	1/1/2009 - 12/31/2009 USD / shares
Note to Consolidated Financial Statements
Equity (Deficit)	16. Equity (Deficit)Common StockShares of common stock outstanding, net of shares held as treasury stock, totaled 1.1billion as of both December 31, 2009 and 2008. In May2008, we received gross proceeds of $2.6billion from the issuance of 94million new shares of no par value common stock with a stated value of $0.5250 per share.During the conservatorship, the rights and powers of shareholders are suspended. Accordingly, our common shareholders have no ability to elect directors or to vote on other matters during the conservatorship unless FHFA elects to delegate this authority to them. The senior preferred stock purchase agreement with Treasury prohibits the payment of dividends on common stock without the prior written consent of Treasury. The conservator also has eliminated common stock dividends. In addition, we issued a warrant to Treasury that provides Treasury with the right to purchase for a nominal price shares of our common stock equal to 79.9% of the total number of shares of common stock outstanding on a fully diluted basis on the date of exercise, which would substantially dilute the ownership in Fannie Mae of our common stockholders at the time of exercise. Refer to Senior Preferred Stock and Common Stock Warrant section below.Preferred Stock Annual Dividend Issued and Outstanding as of December 31, Stated Rate as of Issue 2009 2008 Value December 31, Redeemable on Title Date Shares Amount Shares Amount per share 2009 or After (Dollars and shares in millions except per share amounts) Senior Preferred Stock Series 2008-2 September 8, 2008 1 $ 60,900 1 $ 1,000 $ 60,900(3) 10.000 %(2) (1) Total 1 $ 60,900 1 $ 1,000 Preferred Stock Series D September 30, 1998 3 $ 150 3 $ 150 $ 50 5.250 % September 30, 1999 Series E April 15, 1999 3 150 3 150 50 5.100 April 15, 2004 Series F March 20, 2000 14 690 14 690 50 1.360 (4) March 31, 2002 (9) Series G August 8, 2000 6 288 6 288 50 1.670 (5) September 30, 2002 (9) Series H April 6, 2001 8 400 8 400 50 5.810 April 6, 2006 Series I October 28, 2002 6 300 6 300 50 5.375 October 28, 2007 Series L April 29, 2003 7 345 7 345 50 5.125 April 29, 2008 Series M June 10, 2003 9 460 9 460 50 4.750 June 10, 2008 Series N September 25, 2003 5 225 5 225 50 5.500 September 25, 2008 Series O December 30, 2004 50 2,500 50 2,500 50 7.000 (6) December 31, 2007 Convertible Series 2004-1(11) December 30, 2004 0 2,492 0 2,500 100,000 5.375 January 5, 2008 Series P September 28, 2007 40 1,000 40 1,000 25 4.500 (7) September 30, 2012 Series Q October 4, 2007 15 375 15 375 25 6.750 September 30, 2010 Series R (12) November 21, 2007 21 530 21 530 25 7.625 November 21, 2012 Series S December 11, 2007 280 7,000 280 7,000 25 8.250 (8) December 31, 2010 (10) Mandatory Convertible Series 2008-1 May 14, 2008 24 1,218 41 2,084 50 8.750 N/A Series T(13) May 19, 2008 89 2,225 89 2,225

Regulatory Capital Requirements

Regulatory Capital Requirements
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Regulatory Capital Requirements	17.Regulatory Capital RequirementsIn October 2008, FHFA announced that our existing statutory and FHFA-directed regulatory capital requirements will not be binding during the conservatorship, and that FHFA will not issue quarterly capital classifications during the conservatorship. We will continue to submit capital reports to FHFA during the conservatorship and FHFA will continue to closely monitor our capital levels. FHFA has stated that it does not intend to report our critical capital, risk-based capital or subordinated debt levels during the conservatorship. As of December 31, 2009 and 2008, we had a minimum capital deficiency of $107.6billion and $42.2billion, respectively. These amounts exclude the funds provided to us by Treasury pursuant to the senior preferred stock purchase agreement, as the senior preferred stock does not qualify as core capital due to its cumulative dividend provisions.Pursuant to the GSE Act, if our total assets are less than our total obligations (a net worth deficit) for a period of 60days, FHFA is mandated by law to appoint a receiver for Fannie Mae. Treasurys funding commitment under the senior preferred stock purchase agreement is intended to ensure that we avoid a net worth deficit, in order to avoid this mandatory trigger of receivership. In order to avoid a net worth deficit, we may draw funds from Treasury under the senior preferred stock purchase agreement. FHFA has directed us, during the time we are under conservatorship, to focus on managing to a positive net worth. As of December 31, 2009 and 2008, we had a net worth deficit of $15.3billion and $15.2billion, respectively.The following table displays our regulatory capital classification measures as of December 31, 2009 and 2008. As of December 31 2009(1) 2008(1) (Dollars in millions) Core capital(2) $ (74,540) $ (8,641) Statutory minimum capital requirement(3) 33,057 33,552 Deficit of core capital over statutory minimum capital requirement $ (107,597) $ (42,193) Deficit of core capital percentage over statutory minimum capital requirement (325.5) % (125.8) % ___________ (1) Amounts as of December 31, 2009 and 2008 represent estimates that have been submitted to FHFA. As noted above, FHFA is not issuing capital classifications during conservatorship. (2) The sum of (a)the stated value of our outstanding common stock (common stock less treasury stock); (b)the stated value of our outstanding non-cumulative perpetual preferred stock; (c)our paid-in capital; and (d)our retained earnings (accumulated deficit). Core capital does not include: (a) accumulated other comprehensive income (loss) or (b) senior preferred stock. (3) Generally, the sum of (a)2.50% of on-balance sheet assets; (b)0.45% of the unpaid principal balance of outstanding Fannie Mae MBS held by third parties; and (c)up to 0.45% of other off-balance sheet obligations, which may be adjusted by the Director of FHFA under certain circumstances (See 12 CFR 1750.4 for existing adjustments made by the Director). Capital ClassificationThe GSE Act establishes minimum capital, critical capital and risk-based capital requirements for Fannie Mae.

Concentrations of Credit Risk

Concentrations of Credit Risk
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Concentrations of Credit Risk	18.Concentrations of Credit RiskConcentrations of credit risk arise when a number of customers and counterparties engage in similar activities or have similar economic characteristics that make them susceptible to similar changes in industry conditions, which could affect their ability to meet their contractual obligations. Based on our assessment of business conditions that could impact our financial results, including those conditions arising through February26, 2010, we have determined that concentrations of credit risk exist among single-family and multifamily borrowers (including geographic concentrations and loans with certain non-traditional features), mortgage insurers, mortgage servicers, derivative counterparties and parties associated with our off-balance sheet transactions. Concentrations for each of these groups are discussed below.Single-Family Loan BorrowersRegional economic conditions may affect a borrowers ability to repay his or her mortgage loan and the property value underlying the loan. Geographic concentrations increase the exposure of our portfolio to changes in credit risk. Single-family borrowers are primarily affected by home prices and interest rates. The geographic dispersion of our Single-Family business has been consistently diversified over the three years ended December 31, 2009, with our largest exposures in the Western region of the United States, which represented 26% of our single-family conventional mortgage credit book of business as of December 31, 2009. Except for California, where 17% and 16% of the gross unpaid principal balance of our conventional single-family mortgage loans held or securitized in Fannie Mae MBS as of December 31, 2009 and 2008, respectively, were located, no other significant concentrations existed in any state.To manage credit risk and comply with legal requirements, we typically require primary mortgage insurance or other credit enhancements if the current LTV ratio (i.e., the ratio of the unpaid principal balance of a loan to the current value of the property that serves as collateral) of a single-family conventional mortgage loan is greater than 80% when the loan is delivered to us. We may also require credit enhancements if the original LTV ratio of a single-family conventional mortgage loan is less than 80%.Multifamily Loan BorrowersNumerous factors affect a multifamily borrowers ability to repay his or her loan and the value of the property underlying the loan. The most significant factors affecting credit risk are rental vacancy rates and capitalization rates for the mortgaged property. Vacancy rates vary among geographic regions of the United States. The average mortgage amounts for multifamily loans are significantly larger than those for single-family borrowers and, therefore, individual defaults for multifamily borrowers can be more significant to us. However, these loans, while individually large, represent a small percentage of our total loan portfolio. Our multifamily geographic concentrations have been consistently diversified over the three years ended December 31, 2009, with our largest exposure in the Western region of the United States, which represented 34%

Fair Value of Financial Instrum

Fair Value of Financial Instruments
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Fair Value	19.Fair Value We use fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities on a recurring or non-recurring basis, and the recording of assets and liabilities for which we have elected the fair value option. Fair Value MeasurementFair value measurement guidance defines fair value, establishes a framework for measuring fair value and expands disclosures around fair value measurements. We adopted the fair value measurement guidance on January 1, 2008. This guidance applies whenever other accounting pronouncements require or permit assets or liabilities to be measured at fair value. The guidance establishes a three-level fair value hierarchy that prioritizes the inputs into the valuation techniques used to measure fair value. The fair value hierarchy gives the highest priority, Level 1, to measurements based on unadjusted quoted prices in active markets for identical assets or liabilities and lowest priority, Level 3, to measurements based on unobservable inputs and classifies assets and liabilities with limited observable inputs or observable inputs for similar assets or liabilities as Level 2 measurements. Recurring Changes in Fair ValueThe following tables display our assets and liabilities measured on our consolidated balance sheets at fair value on a recurring basis subsequent to initial recognition, including instruments for which we have elected the fair value option as of December 31, 2009 and 2008. Specifically, total assets measured at fair value on a recurring basis and classified as Level3 were $47.7 billion, or 5% of Total assets, and $62.0billion, or 7% of Total assets, in our consolidated balance sheets as of December 31, 2009 and 2008, respectively. Fair Value Measurements as of December 31, 2009 Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Netting Estimated (Level 1) (Level 2) (Level 3) Adjustment(1) Fair Value (Dollars in millions) Assets: Trading securities: Mortgage-related securities: Fannie Mae $ - $ 69,094 $ 5,656 $ - $ 74,750 Freddie Mac - 15,082 - - 15,082 Ginnie Mae - 1 - - 1 Alt-A - 791 564 - 1,355 Subprime - - 1,780 - 1,780 Commercial mortgage-backed securities - 9,335 - - 9,335 Mortgage revenue bonds - - 600 - 600 Other - - 154 - 154 Non-mortgage-related securities: Asset-backed securities - 8,408 107 - 8,515 Corporate debt securities - 364 - - 364 Other 3 - - - 3 Total trading securities 3 103,075 8,861 - 111,939 Available-for-sale securities: Mortgage-related securities: Fannie Mae - 153,823 596 - 154,419 Freddie Mac - 27,442 27 - 27,469 Ginnie Mae - 1,230 123 - 1,353 Alt-A - 5,838 8,312 - 14,150 Subprime - - 10,746 - 10,746 Commercial mortgage-backed securities - 13,193 - - 13,193 Mortgage revenue bonds - 26 12,820 - 12,846 Other

Commitments and Contingencies

Commitments and Contingencies
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Commitments and Contingencies	20.Commitments and ContingenciesLitigation and Regulatory MattersWe are party to various types of legal actions and proceedings, including actions brought on behalf of various classes of claimants. We also are subject to regulatory examinations, inquiries and investigations and other information gathering requests. Litigation claims and proceedings of all types are subject to many uncertain factors that generally cannot be predicted with assurance. The following describes our material legal proceedings, investigations and other matters. In view of the inherent difficulty of predicting the outcome of these proceedings, we cannot determine the ultimate resolution of the matters described below. We establish reserves for litigation and regulatory matters when losses associated with the claims become probable and the amounts can reasonably be estimated. The actual costs of resolving legal matters may be substantially higher or lower than the amounts reserved for those matters. For matters where the likelihood or extent of a loss is not probable or cannot be reasonably estimated as of February 26, 2010, we have not recorded a loss reserve. If certain of these matters are determined against us, it could have a material adverse effect on our earnings, liquidity and financial condition, including our net worth. Based on our current knowledge with respect to the lawsuits described below, we believe we have valid defenses to the claims in these lawsuits and intend to defend these lawsuits vigorously regardless of whether or not we have recorded a loss reserve. In addition to the matters specifically described below, we are involved in a number of legal and regulatory proceedings that arise in the ordinary course of business that we do not expect will have a material impact on our business. We have advanced fees and expenses of certain current and former officers and directors in connection with various legal proceedings pursuant to indemnification agreements.2004 ClassAction LawsuitsFannie Mae is a defendant in two consolidated class action suits filed in 2004 and currently pending in the U.S.District Court for the District of Columbia In re Fannie Mae Securities Litigation and In re Fannie Mae ERISA Litigation. Both cases rely on factual allegations that Fannie Maes accounting statements were inconsistent with the GAAP requirements relating to hedge accounting and the amortization of premiums and discounts. Based largely on the overlapping factual allegations, the Judicial Panel on Multidistrict Litigation ordered that the cases be coordinated for pretrial proceedings on May 17, 2005. On October17, 2008, FHFA, as conservator for Fannie Mae, intervened in both of these cases.In re Fannie Mae Securities LitigationIn a consolidated complaint filed on March 4, 2005, lead plaintiffs Ohio Public Employees Retirement System (OPERS) and the State Teachers Retirement System of Ohio (STRS) allege that we and certain former officers, as well as our former outside auditor, made materially false and misleading statements in violation of Sections10(b) and 20(a) of the Securities Exchange Act of 1934, and SEC Rule10b-5 promulgated thereunder, and contend that th

Selected Quarterly Financial In

Selected Quarterly Financial Information (Unaudited)
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Selected Quarterly Financial Information (Unaudited)	21. Selected Quarterly Financial Information (Unaudited)The condensed consolidated statements of operations for the quarterly periods in 2009 and 2008 are unaudited and in the opinion of management include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of our condensed consolidated statements of operations. The operating results for the interim periods are not necessarily indicative of the operating results to be expected for a full year or for other interim periods. For the 2009 Quarter Ended March 31 June 30 September 30 December 31 (Dollars and shares in millions, except per share amounts) Interest income: Trading securities $ 990 $ 923 $ 862 $ 1,084 Available-for-sale securities 3,721 3,307 3,475 3,115 Mortgage loans 5,598 5,611 5,290 5,022 Other 127 139 48 43 Total interest income 10,436 9,980 9,675 9,264 Interest expense: Short-term debt 1,107 600 390 209 Long-term debt 6,081 5,645 5,455 5,358 Total interest expense 7,188 6,245 5,845 5,567 Net interest income 3,248 3,735 3,830 3,697 Guaranty fee income 1,752 1,659 1,923 1,877 Trust management income 11 13 12 4 Investment gains (losses), net 223 (45) 785 495 Other-than-temporary impairments (5,653) (1,097) (1,018) (1,289) Less: Noncredit portion of other-than-temporary impairments recognized in other comprehensive loss - 344 79 (1,227) Net other-than-temporary impairments (5,653) (753) (939) (2,516) Fair value gains (losses), net (1,460) 823 (1,536) (638) Debt extinguishment losses, net (79) (190) (11) (45) Losses from partnership investments (357) (571) (520) (5,287) Fee and other income 181 184 182 186 Non-interest income (loss) (5,382) 1,120 (104) (5,924) Administrative expenses: Salaries and employee benefits 293 245 293 302 Professional services 143 180 178 183 Occupancy expenses 48 46 47 64 Other administrative expenses 39 39 44 63 Total administrative expenses 523 510 562 612 Provision for credit losses 20,334 18,225 21,896 12,171 Foreclosed property expense (income) 538 559 64 (251) Other expenses 279 318 231 656 Total expenses 21,674 19,612 22,753 13,188 Loss before federal income taxes (23,808) (14,757) (19,027) (15,415) Provision (benefit) for federal income taxes (623) 23 (143) (242) Net loss (23,185) (14,780) (18,884) (15,173) Less: Net (income) loss attributable to the noncontrolling interest 17 26 12 (2) Net loss attributable to Fannie Mae (23,168) (14,754) (18,872) (15,175) Preferred stock dividends (29) (411) (883) (1,151) Net loss attributable to common stockholders $ (23,197) $ (15,165) $ (19,755) $ (16,326) Loss per share - Basic and Diluted $ (4.09) $ (2.67) $ (3.47) $ (2.87) Weighted-average common shares outstanding - Basic and Diluted 5,666 5,681 5,685 5,687 For the 2008 Quarter Ended March 31 June

Subsequent Events

Subsequent Events
	12 Months Ended Dec. 31, 2009 USD / shares
Note to Consolidated Financial Statements
Subsequent Events	22. Subsequent Event

Entity information

Entity information (USD $)
In Millions, except Share data	12 Months Ended Dec. 31, 2009
Entity Information
Entity registrant name	FEDERAL NATIONAL MORTGAGE ASSOCIATION FANNIE MAE
Entity central index key	0000310522
Entity current reporting status	Yes
Entity voluntary filers	No
Current fiscal year end date	--12-31
Entity filer category	Large Accelerated Filer
Entity well known seasoned issuer	Yes
Entity common stock shares outstanding	1,116,805,764
Entity public float	$645

Document information

Document information
	12 Months Ended Dec. 31, 2009 USD / shares
Document Information
Document type	10-K
Document period end date	2009-12-31
Amendment flag	false