GS Finance to price contingent income callable notes linked to indexes

By Angela McDaniels

Tacoma, Wash., June 27 – GS Finance Corp. plans to price contingent income callable securities due July 3, 2019 linked to the least performing of the MSCI EAFE index, the Russell 2000 index and the S&P 500 index, according to an FWP filing with the Securities and Exchange Commission.

The notes are guaranteed by Goldman Sachs Group, Inc.

Each quarter, the notes will pay a contingent coupon at an annual rate of 10% if each index closes at or above its downside threshold level, 60% of its initial index level, on the determination date for that quarter.

Beginning Oct. 5, 2016, the notes are callable at par on any quarterly determination date other than the final one.

If each index finishes at or above its downside threshold level, the payout at maturity will be par plus the final contingent coupon. If the final level of any index is less than its downside threshold level, investors will be fully exposed to the decline of the least-performing index.

Goldman Sachs & Co. is the underwriter. Morgan Stanley Wealth Management is acting as dealer.

The notes will price June 30.

The Cusip number is 40054KEJ1.

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