Harris to price contingent semiannual payout CDs linked to 10 stocks

By Marisa Wong

Milwaukee, June 7 - Harris NA plans to price principal-protected contingent semiannual payout certificates of deposit due June 30, 2015 linked to an equally weighted basket of common stocks, according to a term sheet.

The basket includes Altria Group, Inc., Apple Inc., Barrick Gold Corp., Coca-Cola Co., ConocoPhillips, Merck & Co., Inc., McDonald's Corp., Verizon Communications Inc., Wal-Mart Stores Inc. and Wells Fargo & Co.

Interest will be payable on June 30 and Dec. 30 of each year beginning Dec. 30, 2010 and will equal the sum of the weighted performances of the basket stocks, subject to a floor of zero.

If a stock's return is positive, its performance will be equal to the coupon cap, which will be at least 4% and will be set at pricing. If a stock's return is negative, its performance will be the greater of the return and negative 25%.

The payout at maturity will be par.

The CDs (Cusip: 41456THB8) will price June 25 and settle June 30.

Incapital LLC is the distributor.

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