New Issue: Citigroup sells $49.8 million 10.5% ELKS linked to EMC

By Susanna Moon

Chicago, Jan. 28 - Citigroup Funding Inc. priced a $49.8 million issue of 10.5% Equity LinKed Securities (ELKS) due Feb. 5, 2009 linked to the common stock of EMC Corp., according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable semiannually.

The payout a maturity will be par of $10.00 unless the stock falls by 35% or more during the life of the securities, in which case the payout will be a number of EMC shares equal to $10.00 divided by the initial share price or, at the holder's option, the equivalent cash value.

Citigroup Global Markets Inc. is the underwriter.

Issuer:	Citigroup Funding Inc.
Issue:	Equity LinKed Securities (ELKS)
Underlying stock:	EMC Corp. (NYSE: EMC)
Amount:	$49.8 million
Maturity:	Feb. 5, 2009
Coupon:	10.5%, payable semiannually
Price:	Par of $10.00
Payout at maturity:	Par unless the stock falls to or below the barrier price during the life of the securities, in which case 0.60423 EMC shares or, at the holder's option, the equivalent cash value
Initial share price:	$16.55
Barrier price:	$10.76, or 65% of the initial share price
Pricing date:	Jan. 24
Settlement date:	Jan. 29
Underwriter:	Citigroup Global Markets Inc.
Fees:	2.25%

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