By Toni Weeks
San Diego, July 23 - UBS AG, London Branch priced $157,000 of trigger phoenix autocallable optimization securities due July 25, 2017 linked to the common stock of General Motors Co., according to a 424B2 filing with the Securities and Exchange Commission.
If the price of General Motors stock closes at or above the trigger price - 60% of the initial share price - on any monthly observation date, the issuer will pay a contingent coupon of 9% per year. Otherwise, no coupon will be paid for that interest period.
If the share price is greater than or equal to the initial price on any observation date after one year, the notes will be called at par of $10 plus the contingent coupon.
If the notes are not called and the General Motors share price finishes at or above the trigger price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the share price decline.
UBS Financial Services Inc. and UBS Investment Bank are the underwriters.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger phoenix autocallable optimization securities
|
| Underlying stock: | General Motors Co. (Symbol: GM)
|
| Amount: | $157,000
|
| Maturity: | July 25, 2017
|
| Coupon: | 9%, payable monthly, if stock closes at or above trigger price on observation date for that month
|
| Price: | Par of $10.00
|
| Payout at maturity: | Par plus contingent coupon if General Motors shares finish at or above trigger price; otherwise, par plus stock return
|
| Call: | At par plus contingent coupon if General Motors shares close at or above initial price on a monthly observation date beginning July 19, 2013
|
| Initial share price: | $20.14
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| Trigger price: | $12.08, 60% of initial share price
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| Pricing date: | July 19
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| Settlement date: | July 24
|
| Underwriters: | UBS Financial Services Inc. and UBS Investment Bank
|
| Fees: | 2.5%
|
| Cusip: | 90268U739
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