By Marisa Wong
Madison, Wis., Nov. 17 - Bank of America Corp. priced $19.84 million of 11% STEP Income Securities due Nov. 28, 2012 linked to Ford Motor Co. shares, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable quarterly.
If the price of Ford shares finishes at or above the step level - 111% of the initial price - the payout at maturity will be par of $10 plus a step payment of 11.43%.
If the stock finishes at or above 95% of the initial price but below the step level, the payout will be par.
Investors will be exposed to losses beyond the 5% buffer.
Bank of America Merrill Lynch is the agent.
Issuer: | Bank of America Corp.
|
Issue: | STEP Income Securities
|
Underlying stock: | Ford Motor Co.
|
Amount: | $19,843,610
|
Maturity: | Nov. 28, 2012
|
Coupon: | 11%, payable quarterly
|
Price: | Par of $10
|
Payout at maturity: | If final share price is at or above step level, par plus 11.43%; if stock finishes at or above threshold level, par; exposure to losses beyond 5%
|
Initial price: | $10.92
|
Step level: | $12.12, 111% of initial price
|
Threshold level: | $10.37, 95% of initial price
|
Pricing date: | Nov. 15
|
Settlement date: | Nov. 22
|
Agent: | Bank of America Merrill Lynch
|
Fees: | 1.75%
|
Cusip: | 06051N781
|
© 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.