New Issue: Barclays sells $1 million 10% callable reverse convertibles tied to Bank of America

By Marisa Wong

Madison, Wis., Dec. 6 - Barclays Bank plc priced $1 million of 10% single observation callable reverse convertible notes due Dec. 7, 2011 linked to Bank of America Corp. shares, according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable monthly.

The notes will be called at par if Bank of America stock closes at or above the initial share price on March 2, 2011, June 2, 2011 or Sept. 2, 2011.

The payout at maturity will be par in cash unless the final share price of Bank of America stock is below the protection price of $8.76, 75% of the initial price of $11.68, in which case the payout will be 85.616438 shares of Bank of America stock.

Barclays Capital Inc. is the agent.

Issuer:	Barclays Bank plc
Issue:	Single observation callable reverse convertible notes
Underlying stock:	Bank of America & Corp. (Symbol: BAC)
Amount:	$1 million
Maturity:	Dec. 7, 2011
Coupon:	10%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless Bank of America shares finish below the protection price of $8.76, 75% of the initial price of $11.68, in which case 85.616438 shares of Bank of America stock
Call:	Automatically at par if Bank of America stock closes at or above initial share price on March 2, 2011, June 2, 2011 or Sept. 2, 2011
Initial price:	$11.68
Protection price:	$8.76, 75% of $11.68
Exchange ratio:	85.616438
Pricing date:	Dec. 2
Settlement date:	Dec. 7
Agent:	Barclays Capital Inc.
Fees:	2.875%
Cusip:	06740PW44

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.