By William Gullotti
Buffalo, N.Y., June 28 – JPMorgan Chase Financial Co. LLC priced $32.96 million of autocallable contingent interest notes due March 21, 2024 linked an equally weighted basket of the shares of Spirit Airlines, Inc., American Airlines Group Inc., Skywest, Inc. and United Airlines Holdings, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annual rate of 10% if the basket closes at or above its coupon barrier, 70% of its initial level, on the corresponding observation date.
The notes will be called at par plus coupon if the basket closes above its initial level on any monthly observation date after six months.
The payout at maturity will be par plus the final coupon due if the basket finishes at or above the coupon threshold.
If the basket finishes at or above its 60% trigger level, the payout will be par. Otherwise, investors will be fully exposed to the decline from the basket’s initial level.
The notes are guaranteed by JPMorgan Chase & Co.
J.P. Morgan Securities LLC is the agent.
| Issuer: | JPMorgan Chase Financial Co. LLC
|
| Guarantor: | JPMorgan Chase & Co.
|
| Issue: | Autocallable contingent interest notes
|
| Underlying basket: | Spirit Airlines, Inc., American Airlines Group Inc., Skywest, Inc., United Airlines Holdings, Inc.; equal weights
|
| Amount: | $32,960,000
|
| Maturity: | March 21, 2024
|
| Coupon: | 10% annual rate, payable monthly if the basket closes at or above coupon barrier on observation date for that month
|
| Price: | Par
|
| Payout at maturity: | If basket finishes at or above coupon barrier, par plus final coupon; if the basket declines below the coupon barrier but finishes at or above the trigger level, par; otherwise 1% loss for each 1% decline from initial level
|
| Call: | After six months at par plus any coupon if basket closes above its initial level on any observation date other than final one
|
| Initial level: | $33.15 for Spirit, $22.29 for American, $45.56 for Skywest, $54.92 for United
|
| Coupon barrier: | 70% of initial level
|
| Trigger level: | 60% of initial level
|
| Pricing date: | June 18
|
| Settlement date: | June 23
|
| Agent: | J.P. Morgan Securities LLC
|
| Fees: | 2.65%
|
| Cusip: | 48132UFM0
|
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