Freddie Mac 2010 Annual Report Download - page 241

Table 13.2 — Preferred Stock
Issue Date
Shares
Authorized
Shares
Outstanding
Total Par
Value
Redemption
Price per
Share
Total
Outstanding
Balance
(1)
Redeemable
On or After
(2)
OTC
Symbol
(3)
(in millions, except redemption price per share)
Preferred stock:
1996 Variable-rate
(4)
......... April 26, 1996 5.00 5.00 $ 5.00 $50.00 $ 250 June 30, 2001 FMCCI
5.81% .................. October 27, 1997 3.00 3.00 3.00 50.00 150 October 27, 1998 (5)
5% .................... March 23, 1998 8.00 8.00 8.00 50.00 400 March 31, 2003 FMCKK
1998 Variable-rate
(6)
......... September 23 and 29, 1998 4.40 4.40 4.40 50.00 220 September 30, 2003 FMCCG
5.10% .................. September 23, 1998 8.00 8.00 8.00 50.00 400 September 30, 2003 FMCCH
5.30% .................. October 28, 1998 4.00 4.00 4.00 50.00 200 October 30, 2000 (5)
5.10% .................. March 19, 1999 3.00 3.00 3.00 50.00 150 March 31, 2004 (5)
5.79% .................. July 21, 1999 5.00 5.00 5.00 50.00 250 June 30, 2009 FMCCK
1999 Variable-rate
(7)
......... November 5, 1999 5.75 5.75 5.75 50.00 287 December 31, 2004 FMCCL
2001 Variable-rate
(8)
......... January 26, 2001 6.50 6.50 6.50 50.00 325 March 31, 2003 FMCCM
2001 Variable-rate
(9)
......... March 23, 2001 4.60 4.60 4.60 50.00 230 March 31, 2003 FMCCN
5.81% .................. March 23, 2001 3.45 3.45 3.45 50.00 173 March 31, 2011 FMCCO
6% .................... May30,2001 3.45 3.45 3.45 50.00 173 June 30, 2006 FMCCP
2001 Variable-rate
(10)
......... May30,2001 4.02 4.02 4.02 50.00 201 June 30, 2003 FMCCJ
5.70% .................. October 30, 2001 6.00 6.00 6.00 50.00 300 December 31, 2006 FMCKP
5.81% .................. January 29, 2002 6.00 6.00 6.00 50.00 300 March 31, 2007 (5)
2006 Variable-rate
(11)
......... July 17, 2006 15.00 15.00 15.00 50.00 750 June 30, 2011 FMCCS
6.42% .................. July 17, 2006 5.00 5.00 5.00 50.00 250 June 30, 2011 FMCCT
5.90% .................. October 16, 2006 20.00 20.00 20.00 25.00 500 September 30, 2011 FMCKO
5.57% .................. January 16, 2007 44.00 44.00 44.00 25.00 1,100 December 31, 2011 FMCKM
5.66% .................. April 16, 2007 20.00 20.00 20.00 25.00 500 March 31, 2012 FMCKN
6.02% .................. July 24, 2007 20.00 20.00 20.00 25.00 500 June 30, 2012 FMCKL
6.55% .................. September 28, 2007 20.00 20.00 20.00 25.00 500 September 30, 2017 FMCKI
2007 Fixed-to-floating rate
(12)
. . . December 4, 2007 240.00 240.00 240.00 25.00 6,000 December 31, 2012 FMCKJ
Total, preferred stock ....... 464.17 464.17 $464.17 $14,109
(1) Amounts stated at redemption value.
(2) In accordance with the Purchase Agreement, until the senior preferred stock is repaid or redeemed in full, we may not, without the prior written
consent of Treasury, redeem, purchase, retire or otherwise acquire any Freddie Mac equity securities (other than the senior preferred stock or warrant).
(3) Preferred stock trades exclusively through the OTC market unless otherwise noted.
(4) Dividend rate resets quarterly and is equal to the sum of three-month LIBOR plus 1% divided by 1.377, and is capped at 9.00%.
(5) Issued through private placement.
(6) Dividend rate resets quarterly and is equal to the sum of three-month LIBOR plus 1% divided by 1.377, and is capped at 7.50%.
(7) Dividend rate resets on January 1 every five years after January 1, 2005 based on a five-year Constant Maturity Treasury rate, and is capped at
11.00%. Optional redemption on December 31, 2004 and on December 31 every five years thereafter.
(8) Dividend rate resets on April 1 every two years after April 1, 2003 based on the two-year Constant Maturity Treasury rate plus 0.10%, and is capped
at 11.00%. Optional redemption on March 31, 2003 and on March 31 every two years thereafter.
(9) Dividend rate resets on April 1 every year based on 12-month LIBOR minus 0.20%, and is capped at 11.00%. Optional redemption on March 31, 2003
and on March 31 every year thereafter.
(10) Dividend rate resets on July 1 every two years after July 1, 2003 based on the two-year Constant Maturity Treasury rate plus 0.20%, and is capped at
11.00%. Optional redemption on June 30, 2003 and on June 30 every two years thereafter.
(11) Dividend rate resets quarterly and is equal to the sum of three-month LIBOR plus 0.50% but not less than 4.00%.
(12) Dividend rate is set at an annual fixed rate of 8.375% from December 4, 2007 through December 31, 2012. For the period beginning on or after
January 1, 2013, dividend rate resets quarterly and is equal to the higher of: (a) the sum of three-month LIBOR plus 4.16% per annum; or (b) 7.875%
per annum. Optional redemption on December 31, 2012, and on December 31 every five years thereafter.
Stock-Based Compensation
Following the implementation of the conservatorship in September 2008, we suspended the operation of our ESPP, and
are no longer making grants under our 2004 Employee Plan or our Directors’ Plan. We collectively refer to the 2004
Employee Plan and the 1995 Employee Plan as the Employee Plans. Under the Purchase Agreement, we cannot issue any
new options, rights to purchase, participations or other equity interests without Treasury’s prior approval. However, grants
outstanding as of the date of the Purchase Agreement remain in effect in accordance with their terms. Prior to
conservatorship, we made grants under three stock-based compensation plans:
•ESPP: At December 31, 2010, the maximum number of shares of common stock authorized for grant to employees in
accordance with the ESPP totaled 6.8 million shares and approximately 5.8 million shares remained available for
grant.
•2004 Employee Plan: At December 31, 2010, the maximum number of shares of common stock authorized for grant
to employees in accordance with the 2004 Employee Plan totaled 30.9 million shares and approximately 26.0 million
shares remained available for grant.
•Directors’ Plan: At December 31, 2010, the maximum number of shares of common stock authorized for grant to
members of our Board of Directors in accordance with the Directors’ Plan totaled 2.4 million shares and
approximately 1.6 million shares remained available for grant.
We did not repurchase or issue any of our common shares or non-cumulative preferred stock during 2010 and 2009,
except for issuances of treasury stock as reported on our consolidated statements of equity (deficit) relating to stock-based
238 Freddie Mac