Wells Fargo plans growth securities due 2014 linked to ETF basket

By Jennifer Chiou

New York, March 2 - Wells Fargo & Co. plans to price 0% growth securities due September 2014 linked to a basket of exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.

The basket consists of the SPDR S&P 500 ETF trust with a 50% weight, the iShares Russell 2000 index fund with a 25% weight and the SPDR S&P MidCap 400 ETF Trust with a 25% weight.

The payout at maturity will be par plus 150% of any increase in the basket, subject to a maximum return of 26% to 31% that will be set at pricing. Investors will receive par if the basket declines by 10% or less and will lose 1% for every 1% that the basket declines beyond 10%.

The notes (Cusip: 94986RHV6) will price and settle in March.

Wells Fargo Securities, LLC is the agent.

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