Fannie Mae-No Politics (FNMA)

[Hvp123]

(“The term preferred stock generally refers to stock which, in relation to other classes of stock outstanding, enjoys certain limited rights and privileges (generally associated with specified dividend and liquidation priorities) but does not participate in corporate growth to any significant extent. The distinguishing feature of preferred stock . . . is not its privileged position as such, but that such privileged position is limited, and that such stock does not participate in corporate growth to any significant extent.”)