By Angela McDaniels
Tacoma, Wash., Oct. 1 - Bank of America Corp. priced $34.52 million of 0% autocallable market-linked step-up notes due Sept. 25, 2015 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be automatically called at par of $10 plus a premium if the index's closing level is greater than or equal to the initial level on either observation date. The premium will be $1 if the notes are called on Oct. 4, 2013 or $2 if the notes are called on Sept. 19, 2014.
If the notes are not called and the final index level is greater than the step-up value, the payout at maturity will be par plus the index return. The step-up value is 137.1% of the initial index level.
If the final index level is greater than or equal to the initial level but less than or equal to the step-up value, the payout will be par plus 37.1%.
Investors will receive par if the index falls by up to 5% and will lose 1% for every 1% that it declines beyond 5%.
Bank of America Merrill Lynch is the underwriter.
| Issuer: | Bank of America Corp.
|
| Issue: | Autocallable market-linked step-up notes
|
| Underlying index: | S&P 500
|
| Amount: | $34,522,960
|
| Maturity: | Sept. 25, 2015
|
| Coupon: | 0%
|
| Price: | Par of $10
|
| Payout at maturity: | If final index level is greater than step-up value, par plus index return; if final index level is greater than or equal to initial level but less than or equal to step-up value, par plus 37.1%; par if index falls by up to 5%; 1% loss for every 1% that index declines beyond 5%
|
| Call: | At par plus 10% per year if index's closing level is greater than or equal to initial level on Oct. 4, 2013 or Sept. 19, 2014
|
| Initial index level: | 1,447.15
|
| Step-up value: | 1,984.04, 137.1% of initial level
|
| Threshold value: | 1,374.79, 95% of initial level
|
| Pricing date: | Sept. 27
|
| Settlement date: | Oct. 4
|
| Underwriter: | Bank of America Merrill Lynch
|
| Fees: | 2%
|
| Cusip: | 06053D450
|
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