Bank of Montreal plans two-year buffered notes tied to four currencies

By Susanna Moon

Chicago, June 15 - Bank of Montreal plans to price 0% buffered currency-linked notes due June 2013 tied to a basket of equally weighted currencies relative to the U.S. dollar, according to a 424B2 filing with the Securities and Exchange Commission.

The underlying currencies are the Brazilian real, the Australian dollar, the Canadian dollar and the Norwegian krone.

The payout at maturity will be par plus double any basket gain, up to a maximum return of $1,200 to $1,240 per $1,000 principal amount. The exact cap will be set at pricing.

Investors will receive par if the basket falls by up to 8.25% and will be exposed to any decline in the basket beyond 8.25%.

BMO Capital Markets Corp. is the underwriter.

The notes will price on June 24.

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