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Published on 12/28/2011 in the Prospect News Structured Products Daily.

New Issue: UBS prices $99,996 of 10.05% trigger yield optimization notes on Weatherford

By Jennifer Chiou

New York, Dec. 27 - UBS AG, London Branch priced $99,996 of 10.05% trigger yield optimization notes due Jan. 4, 2013 linked to Weatherford International Ltd. shares, according to a 424B2 filing with the Securities and Exchange Commission.

Interest will be payable monthly.

The face amount of each note is equal to the initial price of Weatherford stock.

The payout at maturity will be par in cash unless the final price of Weatherford stock is less than 55% of the initial share price, in which case investors will receive one Weatherford share per note.

UBS Financial Services Inc. and UBS Investment Bank are the agents.

Issuer:UBS AG, London Branch
Issue:Trigger yield optimization notes
Underlying stock:Weatherford International Ltd. (Symbol: WFT)
Amount:$99,996.11
Maturity:Jan. 4, 2013
Coupon:10.05% per year, payable monthly
Price:Par of $14.39
Payout at maturity:If final share price is less than trigger price, one Weatherford share; otherwise, par
Initial share price:$14.39
Trigger price:$7.91, 55% of initial price
Pricing date:Dec. 27
Settlement date:Dec. 30
Agents:UBS Financial Services Inc. and UBS Investment Bank
Fees:2%
Cusip:90267V514

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