New Issue: UBS sells $399,980 16.86% trigger yield optimization notes on Gerdau

By Marisa Wong

Madison, Wis., Dec. 8 - UBS AG, London Branch priced $399,980 of trigger yield optimization notes due March 13, 2012 linked to the American Depositary Shares of Gerdau SA, according to a 424B2 filing with the Securities and Exchange Commission.

The three-month notes carry a coupon of 16.86% per year. Interest will be payable monthly.

The face amount of each note is equal to the initial ADS price of Gerdau.

The payout at maturity will be par in cash unless the final ADS price of Gerdau is less than 75% of the initial price, in which case investors will receive one Gerdau ADS per note.

UBS Financial Services Inc. and UBS Investment Bank are the agents.

Issuer:	UBS AG, London Branch
Issue:	Trigger yield optimization notes
Underlying ADSs:	Gerdau SA (NYSE: GGB)
Amount:	$399,979.86
Maturity:	March 13, 2012
Coupon:	16.86%, payable monthly
Price:	Par of $7.63
Payout at maturity:	If final price is less than trigger price, one Gerdau ADS; otherwise, par
Initial ADS price:	$7.63
Trigger price:	$5.72, 75% of initial price
Pricing date:	Dec. 8
Settlement date:	Dec. 13
Agents:	UBS Financial Services Inc. and UBS Investment Bank
Fees:	0.7%
Cusip:	90267U177

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.