New Issue: UBS prices $3.02 million buffered return enhanced notes on gold

By Jennifer Chiou

New York, Aug. 14 - UBS AG, Jersey Branch priced $3,023,000 of 0% buffered return enhanced notes due Aug. 22, 2013 linked to gold, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par plus 1.21 times any gain in the price of gold, up to a maximum return of 12.1%.

Investors will receive par if gold falls by up to 10% and will be fully exposed to declines at a rate of 1% per 0.9% drop beyond 10%.

UBS Investment Bank is the underwriter with JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC as placement agents.

Issuer:	UBS AG, Jersey Branch
Issue:	Buffered return enhanced notes
Underlying commodity:	Gold
Amount:	$3,023,000
Maturity:	Aug. 22, 2013
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus 121% of any gain in gold, capped at 12.1%; par if gold falls by 10% or more; exposure to losses at a rate of 1% per 0.9% drop beyond 10%
Initial level:	$1,618.50
Pricing date:	Aug. 10
Settlement date:	Aug. 15
Agents:	UBS Investment Bank with JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC
Fees:	1%
Cusip:	90261JKQ5

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