New Issue: HSBC prices $57.16 million one-year Stars linked to S&P 500 index

By Toni Weeks

San Diego, Aug. 31 - HSBC USA Inc. priced $57.16 million of 0% Strategic Accelerated Redemption Securities due Sept. 13, 2013 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the index closes at or above its initial level on one of three observation dates, the notes will be called at par of $10 plus an annualized call premium of 9.52%. The observation dates are Feb. 15, 2013, May 17, 2013 and Sept. 6, 2013.

If the notes are not called and the final index value is at least 95% of the initial value, the payout at maturity will be par. Investors will be exposed to losses beyond the 5% buffer.

Bank of America Merrill Lynch is the agent.

Issuer:	HSBC USA Inc.
Issue:	Strategic Accelerated Redemption Securities
Underlying index:	S&P 500
Amount:	$57,160,514.25
Maturity:	Sept. 13, 2013
Coupon:	0%
Price:	Par of $10
Payout at maturity:	Par if final level is at least 95% of initial level; otherwise, exposure to losses beyond 5% buffer
Call:	At par plus 9.52% per year if index closes at or above its initial level on any of three observation dates (Feb. 15, 2013, May 17, 2013 and Sept. 6, 2013)
Initial level:	1,399.48
Threshold level:	1,329.51, 95% of the starting value
Pricing date:	Aug. 30
Settlement date:	Sept. 7
Underwriter:	Bank of America Merrill Lynch
Fees:	1.25%
Cusip:	40433M252

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