Freddie Mac 2006 Annual Report Download - page 33

FORWARD-LOOKING STATEMENTS
We regularly communicate information concerning our business activities to investors, securities analysts, the news
media and others as part of our normal operations. Some of these communications, including this Information Statement,
contain ""forward-looking statements'' pertaining to our current expectations and objectives for Ñnancial reporting,
remediation eÅorts, future business plans, results of operations, Ñnancial condition and market trends and developments.
Forward-looking statements are often accompanied by, and identiÑed with, terms such as ""predict,'' ""ability,'' ""intent,''
""indicator,'' ""trend,'' ""eÅorts,'' ""assumptions,'' ""judgments,'' ""models,'' ""developments,'' ""estimates,'' ""continue,'' ""pro-
mote,'' ""aÅect,'' ""consider,'' ""enable,'' ""currently,'' ""priorities,'' ""remain,'' ""anticipate,'' ""initiative,'' ""ongoing,'' ""believe,''
""expect,'' ""plan,'' ""targeted,'' ""depend,'' ""proposed,'' ""projections,'' ""until,'' ""attempt,'' ""forecasts,'' ""outlook,'' ""over
time,'' ""future,'' ""seek,'' ""potential,'' ""objective,'' ""long-term,'' ""ultimately,'' ""goal,'' ""will,'' ""may,'' ""might,'' ""should,''
""can,'' ""could,'' ""would,'' ""likely,'' ""if,'' ""typically,'' ""generally,'' ""new,'' ""uncertain'' and similar phrases. These statements
are not historical facts, but rather represent our expectations based on current information, plans, estimates and projections.
Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond
our control. You should be careful about relying on any forward-looking statements and should also consider all risks,
uncertainties and other factors described in this Information Statement in considering any forward-looking statements.
Actual results may diÅer materially from those discussed as a result of various factors, including those factors described in
the ""RISK FACTORS'' section of this Information Statement. Factors that could cause actual results to diÅer materially
from the expectations expressed in these and other forward-looking statements by management include, among others:
‚ our ability to eÅectively and timely implement the remediation plan undertaken as a result of the restatement of our
consolidated Ñnancial statements and the consent order entered into with OFHEO, including particular initiatives
relating to technical infrastructure and controls over Ñnancial reporting;
‚ changes in applicable legislative or regulatory requirements, including enactment of GSE oversight legislation,
changes to our charter, aÅordable housing goals, regulatory capital requirements, the exercise or assertion of
regulatory or administrative authority beyond historical practice, or regulation of the subprime market;
‚ our ability to eÅectively implement our business strategies and manage the risks in our business, including our eÅorts
to improve the supply and liquidity of, and demand for, our products;
‚ changes in our assumptions or estimates regarding rates of growth in our business, spreads we expect to earn, required
capital levels, the timing and impact of capital transactions;
‚ our ability to eÅectively manage and implement changes, developments or impacts of accounting or tax standards and
interpretations;
‚ the availability of debt Ñnancing and equity capital in suÇcient quantity and at attractive rates to support growth in
our Retained portfolio, to reÑnance maturing debt and to meet regulatory capital requirements;
‚ changes in pricing or valuation methodologies, models, assumptions, estimates and/or other measurement techniques;
‚ volatility of reported results due to changes in fair value of certain instruments or assets;
‚ changes in general economic conditions;
‚ the rate of growth in total outstanding U.S. residential mortgage debt and the size of the U.S. residential mortgage
market;
‚ preferences of originators in selling into the secondary market;
‚ borrower preferences for Ñxed-rate mortgages or ARMs;
‚ investor preferences for mortgage loans and mortgage-related and debt securities versus other investments;
‚ the occurrence of a major natural or other disaster in geographic areas in which portions of our Total mortgage
portfolio are concentrated;
‚ other factors and assumptions described in this Information Statement, including in the sections titled
""BUSINESS,'' ""RISK FACTORS'' and ""MD&A;''
‚ our assumptions and estimates regarding the foregoing and our ability to anticipate the foregoing factors and their
impacts; and
‚ market reactions to the foregoing.
We undertake no obligation to update forward-looking statements we make to reÖect events or circumstances after the date
of this Information Statement or to reÖect the occurrence of unanticipated events.
21 Freddie Mac