Bank of America plans 90%-protected Mitts tied to krone, krona basket

By Susanna Moon

Chicago, Oct. 25 - Bank of America Corp. plans to price 0% currency Market Index Target-Term Securities due November 2015 linked to a basket of equally weighted currencies relative to the euro, according to an FWP filing with the Securities and Exchange Commission.

The underlying currencies are the Norwegian krone and the Swedish krona.

The payout at maturity will be par of $10 plus 105% to 125% of any gain in the currency basket.

If the currency basket falls, investors will be exposed to losses of up to 10%, with a payout of at least 90% of par.

Bank of America Merrill Lynch is the underwriter.

The notes are will price in November and settle in December.

The exact deal terms will be set at pricing.

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