New Issue: RBC prices $1.06 million 15.5% reverse convertibles on Michael Kors

By Marisa Wong

Madison, Wis., May 2 - Royal Bank of Canada priced $1.06 million of 15.5% reverse convertible notes due July 31, 2013 linked to Michael Kors Holdings Ltd. shares, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par in cash unless Michael Kors shares fall below the barrier price, 80% of the initial price, during the life of the notes and finish below the initial price, in which case the payout will be a number of Michael Kors shares equal to $1,000 principal amount divided by the initial price.

RBC Capital Markets, LLC is the agent.

Issuer:	Royal Bank of Canada
Issue:	Reverse convertible notes
Underlying stock:	Michael Kors Holdings Ltd. (Symbol: KORS)
Amount:	$1,055,000
Maturity:	July 31, 2013
Coupon:	15.5%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless Michael Kors shares fall below the barrier price during life of notes and finish below initial price, in which case number of Michael Kors shares equal to $1,000 principal amount divided by the initial price
Initial price:	$56.34
Barrier price:	$45.07, 80% of initial price
Pricing date:	April 29
Settlement date:	April 30
Agent:	RBC Capital Markets, LLC
Fees:	1.25%
Cusip:	78008ST97

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