By Susanna Moon
Chicago, March 4 - Lehman Brothers Holdings Inc. priced an additional $5 million of steepener notes due March 13, 2023, according to an FWP filing with the Securities and Exchange Commission.
The company priced $10 million of the notes on Feb. 26, $2 million on Feb. 28 and $3 million more on Feb. 29. The total amount of notes priced is now $20 million.
The notes accrue interest at 10% per year for the first year. Beginning March 13, 2009, the interest rate will be reset quarterly and will equal 50 times the spread of the 30-year Constant Maturity Swap (CMS) rate over the 10-year CMS rate, subject to a minimum interest rate of 0% and a maximum rate of 25% per year.
Interest is payable quarterly.
Beginning March 13, 2009, the notes are callable at par on any interest payment date.
Lehman Brothers Inc. is the underwriter.
Issuer: | Lehman Brothers Holdings Inc.
|
Issue: | Steepener notes
|
Amount: | $20 million, upsized from $10 million
|
Maturity: | March 13, 2023
|
Coupon: | 10% for first year; beginning March 13, 2009, 50 times the spread of the 30-year CMS rate over the 10-year CMS rate; minimum of 0% and maximum rate of 25% per year; payable quarterly
|
Price: | Par
|
Payout at maturity: | Par
|
Call: | At par on any interest payment date from March 13, 2009 onward
|
Pricing date: | Feb. 26 for $10 million; Feb. 28 for $2 million; Feb. 29 for $3 million; March 4 for $5 million
|
Settlement date: | March 13
|
Underwriter: | Lehman Brothers Inc.
|
Fees: | 1.65%
|
© 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.