A Shareholder Of Fannie Mae Preferred Stock (Series T; NYSE: FNM-PT) Filed A Class Action Lawsuit

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) September 25, 2008 --

A Shareholder of Federal National Mortgage Association (Fannie Mae) Preferred Stock (Series T) has filed a proposed class action lawsuit on behalf of all investors who purchased or otherwise acquired Fannie Mae’s 8.25% Non-Cumulative Preferred Stock, Series T (NYSE: FNM-PT), pursuant or traceable to the Fannie Mae’s May 13th, 2008, Offering Circular, in the United States District Court for the Southern District of New York against five Underwriters, including Merrill Lynch, Citigroup, Morgan Stanley, UBS Securities and Wachovia Capital Markets, and four senior executives of Fannie Mae over allegedly materially false and misleading statements.

If you purchased or otherwise acquired Fannie Mae’s 8.25% Non-Cumulative Preferred Stock, Series T (NYSE: FNM-PT), pursuant or traceable to the Fannie Mae’s May 13th, 2008, Offering Circular by Merrill Lynch, Citigroup, Morgan Stanley, UBS Securities and Wachovia Capital Markets, you have certain rights and there are strict and short deadlines running (November 7th, 2008). You should immediately contact the Shareholders Foundation, Inc.!

Email: Mail@ShareholdersFoundation.com

or Call us TODAY!

Phone: +1-(858)-779-1554

or send us your information by mail /facsimile

Shareholders Foundation, Inc.
3111 Camino del Rio North
– Suite 423 –
San Diego, CA 92108
Fax: +1-(858)-605-5739(Facsimile)

According to the complaint the plaintiff alleges that the Underwriter Defendants’ statements made in connection with the Offering were materially false and misleading. The Offering involved the sale of approximately 80 million shares of non-cumulative, non-convertible, perpetual fixed-rate preferred stock, at an offering price of $25 per share and was part of Fannie Mae’s effort to raise at least $6 billion in new capital through public offerings of new securities during May, 2008, so the lawsuit.

The plaintiff alleges that Fannie Mae’s senior officers (defendants here) repeatedly assured the marketplace that this round of capital-raising would put the company on a sound financial footing and that they believed that additional infusions of cash would not be necessary for the foreseeable future. The stockholder accuses the five Underwriter Defendants that hey participated in the review and drafting of the Offering Circular, which was the official sales document for the Offering, solicited sales of the shares, and identified themselves, on the cover of the Offering Circular, as the underwriters for the Offering, so the lawsuit. The Underwriter Defendants purchased 14 million shares each of the Offering, delivered the Offering Circular to prospective investors, and resold those shares to investors in the Offering. The complaint alleges that the Underwriter Defendants’ statements made in connection with the Offering were materially false and misleading.

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