Published on 11/20/2006 in the Prospect News Structured Products Daily.
New Issue: Bank of America prices $33 million Index Eagles linked to five indexes
By Angela McDaniels
Seattle, Nov. 20 - Bank of America priced a $33 million issue of zero-coupon Minimum Return Equity Appreciation Growth LinkEd Securities (Index Eagles) due Nov. 23, 2011 linked to a basket of indexes, according to a 424B5 filing with the Securities and Exchange Commission.
The basket includes the Dow Jones Industrial Average with a 63% weight, the S&P SmallCap 600 index with a 7% weight and the Dow Jones Euro Stoxx, Nikkei 225 and S&P MidCap 400 indexes, each with a 10% weight.
The payout at maturity will be par plus the performance of the basket in each of the 20 three-month periods making up the life of the notes. The return in each period is capped at 7.5%, and the minimum payout at maturity will be par plus 5%.
| Issuer: | Bank of America
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| Issue: | Minimum Return Equity Appreciation Growth LinkEd Securities (Index Eagles)
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| Underlying basket: | Dow Jones Industrial Average (63% weight), Dow Jones Euro Stoxx index (10% weight), Nikkei 225 index (10% weight), S&P MidCap 400 index (10% weight) and S&P SmallCap 600 index (7% weight)
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| Amount: | $33 million
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| Maturity: | Nov. 23, 2011
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| Coupon: | 0%
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| Price: | Par
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| Initial index level: | 12,342.56 for the Dow Jones Industrial Average, 4,080.03 for the Dow Jones Euro Stoxx, 16,091.73 for the Nikkei 225, 805.73 for the S&P MidCap 400 and 399.86 for the S&P SmallCap 600
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| Payout at maturity: | Par plus the basket performance in each of 20 three-month periods; maximum gain in each period is 7.5%; minimum payout at maturity is par plus 5%
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| Pricing date: | Nov. 17
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| Settlement date: | Nov. 22
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| Agents: | Banc of America Securities LLC, Banc of America Investment Services, Inc.
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| Agent fees: | 3%
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| Listing: | "BOR.S" on the American Stock Exchange
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