2003 Committee Charter : FRE

BOARD OF DIRECTORS
0 F THE
FEDERAL HOME LOAN MORTGAGE CORPORATION
No: FHLMC 2001 -
Date: May 3 , 2001
WHEREAS, the Board of Directors (the "Board") of the Federal Home Loan Mortgage Corporation
Freddie Mac ) has previously determined that it is in the best interest of the Board to have certain
committees to perform particular functions and otherwise assist the Board and has created such
committees from time to time;
WHEREAS, pursuant to Resolution FHLMC 97- , the Board created an Investment Committee (the
Committee ) and has amended and restated its charter pursuant to Resolutions FHLMC 98-
FHLMC 98-44 and FHLMC 99-24; and
WHEREAS, the Board has determined that it is in the best interest of Freddie Mac that the charter of the
Committee be further amended and restated for convenience of use.
NOW, THEREFORE, BE IT RESOLVED that the continued existence of the Committee, consisting of
such members of the Board of Directors as shall be designated by the Board, is hereby reaffirmed and it is
hereby charged with the following authority:
With respect to the funding, investment and hedging operations associated with Freddie Mac
mortgage and non-mortgage investment portfolios (referred to herein as the "Investment Business
(a) to review Freddie Mac s investment and liquidity strategies and activities, and the results of
those strategies and activities on: (i) Freddie Mac s credit and market (including interest rate
and liquidity) risk exposures; and (ii) Freddie Mac s capital;
(b) to review the profitability of, and capital allocations to, the Investment Business;
(c) to review the techniques employed by Freddie Mac to (i) manage the Investment Business;
(ii) fund the acquisition of assets for the Investment Business; and (iii) adjust the composition
and characteristics of these assets and related liabilities from time to time in order to mitigate
Freddie Mac s risk exposures (including, without limitation, review of techniques for
maintaining appropriate levels of liquidity, the use of derivatives and other hedging instruments
and techniques, development and application of appropriate risk measures and implementation
of related management information and control systems);
(d) to review Freddie Mac s strategy and business plan associated with the growth of the
Investment Business; and
(e) to review the development and implementation of new or redesigned business processes and
related technological initiatives associated with Freddie Mac s Investment Business.
Resolution
Investment Committee
Page 2
With respect to Freddie Mac s Asset/Liability lYlanagement Policy as approved by the Board in
Resolution FHLMC 99-25 as s~lCh policy may be amended from tin1e to time:
(a) to approve any changes to the Asset/Liability lYlanagement Policy;
(b) to review periodically the Asset/Liability Management Plan established by managen1ent
including review of the performance targets that management may establish from time to time
under the AssetlLiability Management Plan;
(c) to review periodically summaries of the material terms of the investment, funding, hedging, risk
management and other policies governing asset/liability management activities ("Management
Policies ) that management may adopt from time to til11e; and
(d) to review n1anagen1ent reports regarding Freddie lvlac ' s asset/liability n1anagen1ent
performance, risk exposures and, as necessary, any material changes or exceptions to the
Asset/Liability lYlanagement Plan or the Management Policies.
To perform such other duties as may be assigned from time to time to the Committee by the Board
or requested by the Chairman and Chief Executive Officer (the "CEO"
BE IT FURTHER RESOLVED that Resolution FHLMC 99-24 is hereby superseded.
BE IT FURTHER RESOLVED that the nlinutes of the -Committee s meetings shall be submitted to the
Board.
BE IT FURTHER RESOLVED that the Committee and the CEO, or any designee, each is authorized in
the name of, and on behalf of, Freddie Mac to take or cause to be taken any and all actions and to expend
such funds as may be necessary or appropriate to carry out the intent and purposes of this Resolution.

BOARD OF DIRECTORS
OF THE
FEDERAL HOl\lE LOA1~ l\'IORTGAGE CORPORATION
No: FHL:NIC 2001-
Date: wlay 3 , 2001
vVHEREi\S , the Board of Directors (the "Board") of the Federal Home Loan Mortgage Corporation
Freddie Mac ) has previously determined that it is in the best interest of the Board to have certain
committees to perform particular functions and otherwise assist the Board and has created such
con1ll1ittees from time to time;
vVHEREAS, pursuant to Resolution FHLMC 98- , the Board established a Securitization Committee
and has amended and restated its charter pursuant to Resolutions FHLNIC 98-45 and FHLlVIC 99-23;
vVHEREAS , the Board has determined that it is in the best interest of Freddie Mac to amend the charter
of the Securitization Committee, to rename it the "lVlortgage Operations Committee" and to restate its
charter for convenience of use; and
WHEREAS, for the purposes of this Resolution
( 1) the term " Mortgages" means any residential mortgages (including interests therein) that Freddie
:Nlac is, or becomes, authorized to purchase pursuant to the Federal Home Loan Mortgage
Corporation Act;
(2) the term "Multifamily Business" means that portion of Freddie Mac s business operations
devoted to Multifamily :Lvlortgages;
(3) the term ":Nlultifamily Mortgage" means any mortgage secured by a property comprising five or
more family dwelling units;
(4) the term "Single-Family Business" means that portion of Freddie :Lvlac s business operations
devoted to Single-Family Mortgages; and
(5) the term "Single-Family Mortgage" means any mortgage secured by a property comprising one
to four family d-vvelling units.
NOvV, THEREFORE, BE IT RESOLVED that the continued existence of the Securitization Committee
consisting of such members of the Board as shall be designated by the Board is hereby reaffirmed.
BE IT FURTHER RESOLVED that the name of the Securitization Committee is hereby changed to the
lVlortgage Operations Committee (the "CoIThllittee ) and the Conllnittee is hereby charged with the
following authority:
vVith respect to Single-Family Mortgages and lVlultifamily :Nlortgages:
(a) to review the perfonnance of mortgage purchase strategies , policies , programs , products
services and plans against Single-Family Business and rvlultifamily Business plans and
Resol u tion
lYlortgage Operations Committee Charter
Page 2
objectives , and the profitability ot~ and capital al~ocations to , the Si~gle-Family Business and Nlultifamily Business;
(b) to review the performance of such mortgages against benchmarks adopted from time to time for
credit and other risks associated with such lines of business' and
(c) to revievv the -development and implementation of new or redesigned business processes and
related technological initiatives associated with such lines of business.
To review Freddie :Nlac ' s affordable housing strategies and results , and Freddie rv/lac ' s perfonnance
relative to such goals for mortgage purchases as may be periodically established by the United
States Department of Housing and Urban Development, or its successor.
To review the activities of the Investment Fund (previously known as the "New Capabilities
Development Fund") estab lished pursuant to Resolution FHLlVIC 2000- 13 as amended by
Resolution FHLtvlC 2000-21.
\Vith respect to the Trading Policy originally established by the Board pursuant to Resolution
FHLMC 92- , and as most recently amended by the Securitization Committee pursuant to
Resolutio'n SEC 99- 03: (i) to review the Trading Policy, the Trading Guidelines and the
Underwriting Plan annually and, as necessary, any significant changes or exceptions to the Trading
Guidelines; (ii) to review reports regarding Freddie Mac s trading activity perfonnance; and (iii) to
- approve any changes to the Trading Policy. Each capitalized tenn herein shall?ave the meaning
assigned in Resolution SEC 99-03 as it may be amended from time to time.
..
To review a report on changes in limitations pursuant to Section 305(a) of the Freddie Mac Act
governing the maximum original principal amounts on first and subordinate lien Single-Family
:Nlortgages.
To perform such other duties as may be assigned from time to time to the Committee by the Board
or requested by the Chainnan and Chief Executi ve Officer ("CEO"
BE IT FURTHER RESOLVED that Resolution FHL:NIC 99-23 is hereby superseded.
BE IT FURTHER RESOLVED that the minutes of the Committee s meetings shall be submitted to the Board.
BE IT FURTHER RESOL VED that the Committee and the CEO , or any designee , each is authorized in
the name of, and on behalf of Freddie lVlac to take or cause to be taken any and all actions and to
expend such funds as may be necessary or appropriate to carry out the intent and purposes of this
Resolution.
By the Board of Directors
Alan HausTDan
Assistant Secretary

CHARTER OF THE RISK COMMITTEE
OF THE
BOARD OF DIRECTORS
OF THE
FEDERAL HOME LOAN MORTGAGE CORPORATION
[Amended and Restated by the Board of Directors on June 6, 2003]
Organization, Membership Requirements and Committee Processes
The Risk Committee (the "Committee") of the Board of Directors (the "Board") of the Federal
Home Loan Mortgage Corporation ("Freddie Mac") shall consist of such members of the Board
as shall be designated by the Board. One member of the Committee shall be designated by the
Board as the Committee's Chairman.
The minutes of the Committee's meetings shall be submitted to the Board.
Powers and Duties of the Committee
Pursuant to the authority granted to it by the Board, the Committee is hereby charged with the
following authority and responsibility:
1. With respect to the Single-Family Business and the Multifamily Business:
(a) to review Freddie Mac's strategies, policies, processes and results with respect to
the credit risk associated with its mortgage purchase operations for all types of
Mortgages, including (i) the credit risk associated with the Mortgages themselves;
(ii) counterparty risk; and (iii) the quality of predictive credit results associated
with Loan Prospector‚ or such other of Freddie Mac's credit analysis systems that
may be developed from time to time;
(b) to review the relevant aspects of any major changes to Freddie Mac's policies
regarding the purchase, underwriting, and sale or other disposition of Mortgages
as such policies may relate to Freddie Mac's mortgage credit risk; and
(c) to review Freddie Mac's strategies, policies and results with respect to performing
loan servicing, loss mitigation functions, servicers and REO activities.
2. With respect to the Investment Business:
(a) to review Freddie Mac's strategies, policies, processes and results associated with
credit and market (including interest rate and liquidity) risk management; and
(b) to review reports with respect to the appropriateness, reliability,
comprehensiveness and completeness of the risk management systems and
Risk Committee Charter
June 6, 2003
Page 2
processes employed by management to identify, measure, manage and control
credit and market (including interest rate and liquidity) risk associated with the
Investment Business.
3. To approve any single transaction for the purchase of Single-Family Mortgages in
exchange for cash or securities in an amount greater than $11 billion or any business
arrangement for the purchase of Single-Family Mortgages in exchange for cash or
securities which, in the judgment of the CEO, is reasonably anticipated to exceed $11
billion,
(i) provided, however, that the Committee's approval shall not be required for
the amendment of any contracts for the purchase of Single-Family
Mortgages in existence as of June 6, 2003, which increase the amount of
such contracts by up to $11 billion (the "Amendments");
(ii) and provided further that the Committee reviews, at its next regularly
scheduled meeting, a report of any such Amendments, approved by the
CEO.
4. To approve any single transaction for the purchase of Multifamily Mortgages in exchange
for cash or securities in an amount greater than $400 million; and to approve the purchase
of any individual Multifamily Mortgage greater than $100 million.
5. To review a report from management in the event management initiates a new program
involving the purchase of Mortgages of a type not previously purchased by Freddie Mac
and which, in the judgment of the CEO, involves a significant increase in credit risk as
compared to the purchase of similar types of Mortga ges previously purchased by Freddie
Mac. Such a report shall be made prior to entering into any transactions under such a
program. The determination of whether a type of mortgage involves a significant
increase in credit risk shall be based on the following factors: (a) payment characteristics
and (b) type of collateral or lien priority.
6. To review a report from management in the event any transaction not conducted pursuant
to a program involves the purchase of Mortgages of a type not previously purchased by
Freddie Mac and which, in the judgment of the CEO, involves a significant increase in
credit risk as compared to the purchase of similar types of Mortgages previously
purchased by Freddie Mac. Such a report shall be made prior to making any commitment
to enter into any transaction or series of transactions aggregating more than $1 billion of
such Mortgages. The determination of whether a type of mortgage involves a significant
increase in credit risk shall be based on the following factors: (a) payment characteristics
and (b) type of collateral or lien priority.
Risk Committee Charter
June 6, 2003
Page 3
7. To review the development and implementation of major new or redesigned business
processes and related technological initiatives related to risk management in the Single-
Family Business, Multifamily Business or Investment Business.
8. To perform such other duties as may be assigned from time to time to the Committee by
the Board or requested by the CEO.
9. For purposes of this Charter, the following terms have the meanings ascribed to them:
(a) the term "Investment Business" refers to the funding, investment and hedging
operations associated with Freddie Mac's mortgage and non-mortgage investment
portfolios;
(b) the term "Mortgages" means any residential mortgages (including interests
therein) that Freddie Mac is, or becomes, authorized to purchase pursuant to the
Federal Home Loan Mortgage Corporation Act;
(c) the term "Multifamily Business" means that portion of Freddie Mac's business
operations devoted to Multifamily Mortgages;
(d) the term "Multifamily Mortgage" means any mortgage secured by a property
comprising five or more family dwelling units;
(e) the term "Single-Family Business" means that portion of Freddie Mac's business
operations devoted to Single-Family Mortgages; and
(f) the term "Single-Family Mortgage" means any mortgage secured by a property
comprising one to four family dwelling units.

CHARTER OF THE AD HOC COMMITTEE
ON FINANCIAL MANAGEMENT
OF THE
BOARD OF DIRECTORS
OF THE
FEDERAL HOME LOAN MORTGAGE CORPORATION
As Adopted by the Board of Directors on March 7, 2003 and
Amended and Restated on June 6, 2003
Organization, Membership Requirements and Committee Processes
The Ad Hoc Committee on Financial Management (the "Committee") of the Board of Directors (the
"Board") of the Federal Home Loan Mortgage Corporation ("Freddie Mac") shall consist of at least
three members. At least one member of the Committee shall be a member of the Audit Committee of
the Board.
One member of the Committee shall be designated by the Board as the Committee's Chairman.
The Committee shall meet as often as it deems necessary or advisable. The minutes of the Committee's
meetings shall be submitted to the Audit Committee and to the Board.
The members of the Committee shall have access to any employees of Freddie Mac, and shall have the
authority to engage such outside consultants or advisors, including, but not limited to, attorneys,
accountants, auditors and management consultants, as the Committee may deem appropriate to fulfill its
responsibilities. Freddie Mac shall provide appropriate funding for the retention of any such consultants
or advisors, as determined by the Committee.
The creation of the Committee shall not affect the duties or responsibilities of the Audit Committee,
which shall retain responsibility for oversight of the work of the internal and external auditors and other
matters assigned to it by its charter and applicable law.
Functions of the Committee
Pursuant to the authority granted to it by the Board, the Committee is hereby charged with the following
authority and tasks:
1. To provide oversight of:
(a) Freddie Mac's restatement of its financial statements and related financial reports for 2002,
2001, and 2000, and related disclosures as appropriate;
(b) Freddie Mac's participation in and support of the audit and re-audit processes;
Ad Hoc Financial Management Committee Charter
June 6, 2003
Page 2
(c) external communications relating to the audit and reaudit;
(d) those aspects of the maintenance and improvement of the quality of Freddie Mac
communications with investors where the Committee believes it can add value; and
(e) such other related matters as the Committee, in consultation with the Audit Committee or the
Governance Committee, shall deem proper.
2. To regularly review reports from the President and Chief Operating Officer and to serve as a liaison
between the President and Chief Operating Officer and the Board of Directors with regard to the
matters listed above.
3. To consult and coordinate as the Committee deems appropriate, with the internal and external
auditors with regard to the matters listed above. The internal and external auditors shall continue to
report to the Audit Committee, which shall continue to be responsible for their retention and
supervision as provided in the Audit Committee charter.
4. To bring any significant issues affecting matters within the responsibility of the Audit Committee to
the attention of the Audit Committee, and to bring any significant issues affecting matters within the
responsibility of the Governance Committee to the attention of the Governance Committee.
5. To perform such other duties as may from time to time be assigned by the Board.