By Jennifer Chiou
New York, Feb. 20 - Wachovia Corp. priced a $40.827 million offering of 11.5% enhanced yield securities due Nov. 30, 2007 linked to the common stock of NYSE Group, Inc., according to a 424B5 filing with the Securities and Exchange Commission.
Interest is payable quarterly.
The payment at maturity will be determined according to the performance of NYSE Group stock. If the stock trades at or below $61.61, the knock-in price, and closes below $88.01, the initial stock price, investors will receive a number of NYSE Group shares equal to $1,000 divided by the initial stock price. The knock-in price is 70% of the share initial price.
Otherwise, investors will receive par in cash.
| Issuer: | Wachovia Corp.
|
| Issue: | Enhanced yield securities
|
| Underlying stock: | NYSE Group, Inc.
|
| Amount: | $40.827 million
|
| Maturity: | Nov. 30, 2007
|
| Coupon: | 11.5%, payable quarterly
|
| Price: | Par
|
| Payout at maturity: | If NYSE Group stock closes below the knock-in price during the life of the notes and finishes below the initial stock price, 11.3623 shares of NYSE Group stock; otherwise par in cash
|
| Initial stock price: | $88.01
|
| Knock-in price: | $61.61, 70% of $88.01
|
| Exchange ratio: | 11.3623
|
| Pricing date: | Feb. 16
|
| Settlement date: | Feb. 22
|
| Agent: | Wachovia Securities
|
| Agent fees: | 2%
|
| Distribution: | Off shelf
|
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