RBS to price three-year annual reset coupon notes linked to S&P 500

By Jennifer Chiou

New York, June 27 - Royal Bank of Scotland NV plans to price annual reset coupon notes with fixed buffer due July 15, 2014 linked to the S&P 500 index, according to a 424B5 filing with the Securities and Exchange Commission.

Interest is payable annually. If the index return on the relevant observation date is zero or positive, the coupon will be 5.35% for that year. Otherwise, the coupon will be 2%. For each interest period, the initial index level used to calculate the return will be the index's level on the previous observation date. The observation dates fall in July of each year.

The payout at maturity will be par unless the final index level is less than 80% of the initial index level, in which case investors will lose 1% for every 1% decline below the buffer.

The notes (Cusip: 78009PAW1) are expected to price on July 12 and settle on July 15.

RBS Securities Inc. is the agent.

© 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.