Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers L > Headlines for Lehman Brothers Holdings Inc. > News item |
Lehman Brothers plans auto-callable notes linked to Swap Rates
By Laura Lutz
Des Moines, Nov. 6 - Lehman Brothers Holdings Inc. plans to price zero-coupon 100% principal-protection auto-callable notes due Nov. 26, 2010 linked to the spread between the 10-year and the two-year Swap Rates, according to an FWP filing with the Securities and Exchange Commission.
The notes will be called if the spread between the 10-year Swap Rate and the two-year Swap Rate exceeds a barrier rate on any quarterly observation date.
The barrier amount is expected to be between 110 basis points and 130 bps. The exact amount will be set at pricing.
The redemption amount will be 102.5% of par if the notes are redeemed on Feb. 26, 2008, and the redemption amount will increase by 2.5% in each subsequent quarter.
If the notes are held to maturity, the payout will be par.
The notes are expected to price on Nov. 16 and settle on Nov. 26.
UBS Financial Services Inc. and Lehman Brothers Inc. are the underwriters.
© 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.