SunTrust Bank plans to price CDs linked to BRIC currencies basket

By Angela McDaniels

Tacoma, Wash., June 8 - SunTrust Bank plans to price 0% certificates of deposit due June 22, 2012 linked to performance of a basket of currencies relative to the dollar, according to a term sheet.

The basket includes equal weights of the Brazilian real, Russian ruble, Indian rupee and Chinese yuan.

If the basket appreciates relative to the dollar, the payout at maturity will be par plus double the gain. If the basket depreciates, the payout will be par.

Beginning June 15, 2010, the CDs will be putable on quarterly early redemption dates. The redemption amount will be calculated differently than the payout at maturity, will include an early withdrawal penalty and may be less than par.

The CDs will price June 24 and settle June 29.

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