UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

August 24, 2005

Federal National Mortgage Association

Fannie Mae

Federally chartered corporation		000-50231		52-0883107
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification Number)

3900 Wisconsin Avenue, NW Washington, DC (Address of principal executive offices)		20016 (Zip Code)

202-752-7000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 7.01. Regulation FD Disclosure.

     On August 24, 2005, Fannie Mae (formally, the Federal National Mortgage Association) announced senior management changes. The announcement, a copy of which is furnished as Exhibit 99.1 to this report, is incorporated herein by reference.

     On August 25, 2005, Fannie Mae published summary information regarding its outstanding debt for certain prior periods on its website, www.fanniemae.com. The summary, a copy of which is furnished as Exhibit 99.2 to this report, is incorporated herein by reference.

     On August 25, 2005, Fannie Mae issued its monthly financial summary release for the month of July 2005. The summary, a copy of which is furnished as Exhibit 99.3 to this report, is incorporated herein by reference.

     The information in this item, including the exhibits submitted herewith, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any disclosure document of Fannie Mae, except as shall be expressly set forth by specific reference in such document.

Item 9.01. Financial Statements and Exhibits.

     (c) Exhibits. The exhibit index filed herewith is incorporated herein by reference.

SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

		FEDERAL NATIONAL MORTGAGE ASSOCIATION
		By		/s/ David C. Hisey
				David C. Hisey
				Senior Vice President and Controller

Date:     August 25, 2005

EXHIBIT INDEX

The following exhibits are submitted herewith:

Exhibit Number		Description of Exhibit
99.1		August 24, 2005 news release regarding senior management changes
99.2		Summary information on outstanding debt published by Fannie Mae on August 25, 2005
99.3		Monthly summary release for July 2005 issued by Fannie Mae on August 25, 2005

EXHIBIT 99.1

Contact:	Chuck Greener			Janice Walker
	(202) 752-2616			(202) 752-2131
Number:	3589
Date:	August 24, 2005

Fannie Mae Announces New Senior Vice Presidents for Accounting Policy, Single-Family Business and Strategy Development, and Legal; Company’s General Counsel Kappler to Join Collier Shannon Scott, PLLC

WASHINGTON, DC — Fannie Mae (FNM/NYSE) today announced that Credit Suisse First Boston executive, Eric Schuppenhauer, is joining the company as senior vice president (SVP) of Accounting Policy, and Bank of America executive, Sal Mirran, is joining the company as SVP of Single-Family Business and Strategy Development. In addition, the company announced the promotion of Scott Lesmes to SVP and deputy general counsel. Fannie Mae further said that Ann Kappler, executive vice president and general counsel, will join the law firm of Collier Shannon Scott, PLLC. The company will begin a search for her replacement immediately, and Kappler will remain with the company until the end of the year.

Daniel Mudd, Fannie Mae’s President and CEO said, “We continue to make steady progress in building out Fannie Mae’s senior management team to provide our company with leadership bench strength to serve the market, our customers, and our stakeholders. As we make progress on our financial restatement and seek to meet new business challenges ahead, we welcome Sal and Eric to our team and congratulate Scott on his well-deserved promotion.” Mudd added, “we also thank Ann for her tremendous contributions and for building a strong legal team that has helped break new ground in the areas of promoting fair lending, fighting predatory lending and protecting intellectual property. I will miss her, but at the same time, understand Ann’s desire to turn to new challenges.”

Eric Schuppenhauer is joining Fannie Mae as SVP of Accounting Policy and will be reporting to the company’s recently named head of Accounting Policy, Scott Blackley. Schuppenhauer will have responsibility for evaluating Fannie Mae’s prior accounting policies and practices related to the financial restatement as well as implementing new or changed accounting standards.

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Officer Announcements
Page Two

Schuppenhauer is joining Fannie Mae from Credit Suisse First Boston where he served as managing director for Global Accounting Policy and Assurance. In this role, he was responsible for leadership of the accounting policy organization around global operations. Schuppenhauer also was in charge of interaction with standard setters, industry groups and industry peers; deployment of accounting policy advice throughout the firm; and developing and maintaining US GAAP accounting policies. Prior to joining Credit Suisse First Boston, he was a senior advisor to the Chief Accountant of the United States Securities and Exchange Commission, a Professional Accounting Fellow at the United States Securities and Exchange Commission, and, a senior manager at KPMG LLP in the Department of Professional Practice. Schuppenhauer received his bachelor of science in commerce from the University of Virginia and is a CPA.

Sal Mirran joins Fannie Mae as the SVP of Single-Family Business and Strategy Development, where he will be responsible for focusing on the company’s business challenges as well as looking for business development opportunities in support of the company’s mission. Prior to joining Fannie Mae, Mirran was senior vice president and head of Capital Markets for Bank of America’s Consumer Real Estate (CRE) division. As a member of CRE Executive Management, he introduced and actively participated in strategic efforts aimed at greater market presence and profitability. In his Capital Markets role, he oversaw investor and dealer relations, market risk, securitization, loan pricing and sale and delivery of Bank of America mortgages to the capital markets, as well as supporting corporate Treasury transactions.

Prior to joining Bank of America in 2001, Mirran was employed by First Union Securities, Inc. (FUSI) and First Chicago. At FUSI, Mirran was managing director, head of Residential Mortgage Finance, after having developed various capital markets efforts related to structured finance. He built multi-disciplinary businesses to provide execution for issuers, effectively deployed FUSI capital, leveraged asset-finance platforms and/or expanded securities distribution capabilities. Prior to FUSI, Mirran marketed, executed and managed various corporate finance, project finance and securitization transactions within First Chicago. He specialized in complex oil and gas financings and natural gas project deals and subsequently, in asset securitization advisory, execution, and strategy. Mirran has a master’s in business administration and a bachelor’s in business administration from the University of Texas at Austin.

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Officer Announcements
Page Three

Fannie Mae also announced the promotion of Scott Lesmes, the company’s top securities attorney, to SVP and deputy general counsel. Since 2000, he has been vice president and deputy general counsel. Lesmes is responsible for providing legal advice to senior management regarding Fannie Mae’s debt and equity offerings, investor relations activities and public disclosure. Prior to assuming his vice president position, Lesmes served as associate general counsel responsible for providing legal advice to the Treasurer’s Office and Investor Relations. Before joining Fannie Mae in 1996, Lesmes was an associate at Silver, Freedman and Taff, LLP. Lesmes received a juris doctorate from the College of William & Mary, Marshall-Wythe School of Law and a bachelor of science degree from Elon University and Lesmes is a member of the District of Columbia Bar, the Virginia State Bar, American Bar Association and the Hispanic National Bar Association.

“The board welcomes the three new members of the senior management team. We also deeply appreciate the valuable counsel Ann Kappler has provided over the years, and most importantly, over the past challenging year,” said Steve Ashley, the company’s Chairman of the Board. “She’s a first-rate attorney, a wonderful colleague, and a friend. We wish her the very best.”

Prior to joining Fannie Mae in 1999, Kappler was a partner in the law firm of Jenner & Block where her responsibilities included representation of national and local insurance agent associations and litigation on behalf of numerous clients at all levels of state and federal court.

Previous to her joining Jenner & Block, Kappler served as a law clerk to U.S. Supreme Court Associate Justice Honorable Harry A. Blackmun and the Honorable Abner J. Mikva, U.S. Court of Appeals for the D.C. Circuit. Kappler received a juris doctorate from the New York University School of Law and a bachelor’s in business administration from Dartmouth College.

# # #

Fannie Mae is a New York Stock Exchange Company. It operates pursuant to a federal charter. Fannie Mae has pledged through its American Dream Commitment to expand access to homeownership for millions of first-time home buyers; help raise the minority homeownership rate to 55 percent; make homeownership and rental housing a success for millions of families at risk of losing their homes; and expand the supply of affordable housing where it is needed most. More information about Fannie Mae can be found on the Internet at http://www.fanniemae.com.

EXHIBIT 99.2

Fannie Mae Debt Outstanding 1/
2002 through July 31, 2005

Debt Outstanding ($ in millions)		12/31/2002				12/31/2003				12/31/2004				7/31/2005
Discount Notes		$	134,312			$	137,528			$	143,455			$	70,155
Benchmark Bills			156,750				191,315				157,501				117,000
FX Disount Notes			—				1,540				7,630				2,858
Other Short Term 2/			12,735				15,622				11,737				5,120
Total Short Term		$	303,797			$	346,005			$	320,323			$	195,133
Short term debt average maturity (in days)			76				100				61				68
Benchmark Notes & Bonds		$	287,418			$	282,602			$	267,091			$	264,316
Callable Benchmark Notes			33,750				44,250				31,250				24,500
Subordinated Benchmark Notes			8,500				12,500				12,500				12,500
Final Maturity Amortizing Notes			—				—				750				1,918
Other Callable & Noncallable Notes & Bonds 3/			211,063				270,800				312,724				318,880
Total Long Term		$	540,731			$	610,152			$	624,315			$	622,114
Long term debt average maturity (in months)			58				54				47				47
Total Debt Outstanding		$	844,528			$	956,157			$	944,638			$	817,247
Total debt average maturity (in months)			40				36				32				36

1/		Amounts reflect redemption value, which excludes the effect of currency adjustments, debt basis adjustments, and amortization of discounts, premiums, issuance costs, and hedging results.
2/		Other Short Term includes coupon bearing short term notes, dollar rolls, overnight Fed funds, Benchmark repos, investment agreements, and LIP security lending.
3/		Other Callable & Noncallable Notes & Bonds includes all long-term non-Benchmark Securities such as globals, zero-coupon securities, medium-term notes, and other long-term debt securities.

EXHIBIT 99.3

FANNIE MAE
MONTHLY SUMMARY

JULY 2005

HIGHLIGHTS FOR JULY INCLUDE:

•

Total business volume grew to $52.5 billion in July from $48.8 billion the previous month.

•

Fannie Mae’s book of business declined at an annual rate of 3.0 percent in July compared with growth of 0.2 percent in June.

•

Total lender-originated MBS issues rose to $43.3 billion from $40.0 billion in June, reflecting an increase in fixed-rate originations.

•

Portfolio purchases of $9.4 billion and sales of $9.3 billion, combined with a $1.1 billion increase in portfolio liquidations to $19.6 billion, resulted in a negative 25.3 percent annualized growth rate of the mortgage portfolio.

•

Both the conventional single-family and multifamily delinquency rates remained stable in June at 0.57 percent and 0.10 percent, respectively.

•

The duration gap on Fannie Mae’s mortgage portfolio averaged one month in July.

MORTGAGE MARKET HIGHLIGHTS:

•

ARM share of conventional mortgage applications fell by nearly 2 percent to 29.9 percent in July, the lowest monthly average ARM share recorded since March 2004.

BUSINESS BALANCES AND GROWTH ($ in Millions) 1/

		Mortgage Portfolio, Gross 2/								Outstanding MBS 3/								Book of Business
		End Balance				Growth Rate 4/				End Balance				Growth Rate 4/				End Balance				Growth Rate 4/
August 2004		$	895,428				3.7	%		$	1,368,918				5.0	%		$	2,264,345				4.5	%
September 2004			904,543				12.9	%			1,377,680				8.0	%			2,282,223				9.9	%
October 2004			913,246				12.2	%			1,386,272				7.7	%			2,299,518				9.5	%
November 2004			912,608				(0.8	%)			1,393,205				6.2	%			2,305,813				3.3	%
December 2004			904,555				(10.1	%)			1,402,761				8.5	%			2,307,316				0.8	%
Full year 2004		$	904,555				0.7	%		$	1,402,761				7.9	%		$	2,307,316				4.9	%
January 2005		$	890,834				(16.8	%)		$	1,416,038				12.0	%		$	2,306,871				(0.2	%)
February 2005			875,245				(19.1	%)			1,430,825				13.3	%			2,306,070				(0.4	%)
March 2005			864,648				(13.6	%)			1,441,003				8.9	%			2,305,652				(0.2	%)
April 2005			851,936				(16.3	%)			1,445,353				3.7	%			2,297,288				(4.3	%)
May 2005			828,079				(28.9	%)			1,464,884				17.5	%			2,292,963				(2.2	%)
June 2005			808,225				(25.3	%)			1,485,149				17.9	%			2,293,374				0.2	%
July 2005			788,786				(25.3	%)			1,498,717				11.5	%			2,287,503				(3.0	%)
YTD 2005		$	788,786				(20.9	%)		$	1,498,717				12.0	%		$	2,287,503				(1.5	%)

BUSINESS VOLUMES ($ in Millions) 1/

		MBS
						Fannie Mae				MBS Issues
		Lender-originated				MBS				Acquired				Portfolio				Business
		Issues 5/				Purchases 6/				by Others				Purchases				Volume
August 2004		$	34,961			$	4,676			$	30,285			$	21,787			$	52,072
September 2004			40,870				5,074				35,796				27,661				63,457
October 2004			38,289				3,665				34,623				27,142				61,766
November 2004			36,259				2,717				33,542				19,121				52,662
December 2004			39,375				1,642				37,732				13,016				50,748
Full year 2004		$	527,146			$	64,604			$	462,542			$	262,647			$	725,189
January 2005		$	37,457			$	451			$	37,006			$	11,095			$	48,101
February 2005			31,259				538				30,721				9,446				40,167
March 2005			31,493				326				31,166				11,206				42,372
April 2005			36,838				429				36,409				8,865				45,274
May 2005			34,343				219				34,124				11,198				45,322
June 2005			40,039				210				39,829				8,964				48,793
July 2005			43,344				207				43,138				9,365				52,502
YTD 2005		$	254,773			$	2,380			$	252,393			$	70,138			$	322,531

The single-family and multifamily MBS issues will no longer be shown separately on a monthy basis.

MORTGAGE PORTFOLIO COMMITMENTS, PURCHASES, AND SALES ($ in Millions) 1/

														Mortgage
		Retained												Portfolio
		Commitments 7/				Purchases 8/				Purchase Yield 9/				Sales
August 2004		$	24,683			$	21,787				4.14	%		$	1,932
September 2004			30,783				27,661				3.61	%			1,195
October 2004			19,356				27,142				3.59	%			941
November 2004			11,887				19,121				4.16	%			1,511
December 2004			9,330				13,016				4.71	%			1,653
Full year 2004		$	256,144			$	262,647				4.22	%		$	16,449
January 2005		$	797			$	11,095				4.40	%		$	6,360
February 2005			3,099				9,446				4.73	%			9,539
March 2005			10,587				11,206				4.79	%			4,806
April 2005			5,654				8,865				5.04	%			1,680
May 2005			(8,131	)			11,198				4.99	%			17,812
June 2005			(2,339	)			8,964				5.33	%			10,350
July 2005			4,636				9,365				5.43	%			9,288
YTD 2005		$	14,303			$	70,138				4.94	%		$	59,834

1/		Represents unpaid principal balance.
2/		Excludes mark-to-market adjustments, deferred balances and allowance for losses. Includes $404 billion of Fannie Mae MBS as of July 31, 2005.
3/		MBS held by investors other than Fannie Mae’s portfolio.
4/		Growth rates are compounded.
5/		Excludes MBS issued from Fannie Mae’s portfolio, which was $2,276 million in July 2005.
6/		Included in total portfolio purchases.
7/		Represents commitments to purchase, net of commitments to sell, entered into during the month, including any modifications to original amounts.
8/		Fannie Mae is not providing a breakdown of mortgage portfolio purchases between single-family and multifamily because the company is currently examining its processes for classifying mortgage purchases. Upon completion of this review, we will re-release the breakdown between single-family and multifamily and expect that certain previously reported purchases will be reclassified.
9/		Represents the weighted-average yield on monthly purchases. Yields are presented on a taxable-equivalent basis to consistently reflect income from taxable and tax-exempt investments.
		Numbers may not add due to rounding.

LIQUIDATIONS ($ in Millions) 1/																						DELINQUENCY RATES
		Mortgage Portfolio								Outstanding MBS												Single-family Conventional 2/
		Liquidations								Liquidations												Non-Credit				Credit								Multifamily
		Amount				Annual Rate				Amount				Annual Rate								Enhancement 3/				Enhancement 4/				Total 5/				Total 6/
August 2004		$	17,179				23.06	%		$	26,442				23.23	%							0.30	%			1.67	%			0.58	%			0.13	%
September 2004			17,361				23.15	%			27,168				23.74	%							0.30	%			1.72	%			0.59	%			0.12	%
October 2004			17,529				23.14	%			26,970				23.42	%							0.32	%			1.77	%			0.62	%			0.12	%
November 2004			18,295				24.05	%			28,104				24.27	%							0.33	%			1.84	%			0.64	%			0.10	%
December 2004			19,449				25.69	%			29,779				25.56	%							0.33	%			1.84	%			0.63	%			0.10	%
Full year 2004		$	240,201				26.87	%		$	374,688				27.58	%
January 2005		$	18,480				24.70	%		$	30,063				25.60	%							0.35	%			1.88	%			0.65	%			0.10	%
February 2005			15,545				21.13	%			24,107				20.32	%							0.34	%			1.84	%			0.64	%			0.10	%
March 2005			17,049				23.52	%			24,956				20.86	%							0.31	%			1.72	%			0.59	%			0.09	%
April 2005			19,899				27.82	%			33,740				28.05	%							0.30	%			1.68	%			0.57	%			0.10	%
May 2005			17,301				24.72	%			27,844				22.96	%							0.30	%			1.68	%			0.57	%			0.10	%
June 2005			18,502				27.14	%			29,243				23.79	%							0.30	%			1.69	%			0.57	%			0.10	%
July 2005			19,575				29.42	%			34,429				27.69	%
YTD 2005		$	126,351				25.44	%		$	204,383				24.20	%

AVERAGE INVESTMENT BALANCES ($ in Millions)

		Net				Liquid				Total Net
		Mortgages				Investments				Investments
August 2004		$	887,471			$	64,853			$	952,324
September 2004			895,590				69,256				964,846
October 2004			903,065				61,445				964,510
November 2004			907,233				62,836				970,069
December 2004			904,200				58,877				963,077
Full year 2004		$	886,699			$	67,510			$	954,208
January 2005		$	891,533			$	66,667			$	958,200
February 2005			878,378				54,626				933,003
March 2005			863,662				65,330				928,992
April 2005			851,828				58,269				910,097
May 2005			836,441				55,479				891,920
June 2005			813,466				59,072				872,538
July 2005			792,532				55,114				847,645
YTD 2005		$	846,834			$	59,222			$	906,057

INTEREST RATE RISK DISCLOSURE

		Effective
		Duration Gap 7/
		(in months)
August 2004		-2
September 2004		-2
October 2004		0
November 2004		-1
December 2004		-1
January 2005		-1
February 2005		0
March 2005		1
April 2005		-1
May 2005		-1
June 2005		0
July 2005		1

1/		Represents unpaid principal balance.
2/		Includes conventional loans three or more months delinquent or in foreclosure process as a percent of the number of loans.
3/		Loans without primary mortgage insurance or any credit enhancements.
4/		Loans with primary mortgage insurance and/or other credit enhancements.
5/		Total of single-family non-credit enhanced and credit enhanced loans.
6/		Includes loans and securities 60 days or more past due and is calculated based on mortgage credit book of business.
7/		The duration gap is a weighted average for the month.
		Numbers may not add due to rounding.

This information is subject to change as a result of the pending re-audit and restatement of Fannie Mae’s previously published financial statements. More information regarding the re-audit and restatement may be found in Form 8-Ks Fannie Mae filed with the Securities and Exchange Commission on December 22, 2004, March 18, 2005, May 11, 2005, and August 9, 2005.

For more information about Fannie Mae, please visit www.fanniemae.com or contact us at (202) 752-7115.