New Issue: Bank of Montreal prices $500,000 12% reverse exchangeables on Financial Select fund

By Jennifer Chiou

New York, Sept. 28 - Bank of Montreal priced $500,000 of 12% annualized reverse exchangeable notes due July 31, 2012 linked to the Financial Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable monthly.

The payout at maturity will be par unless the fund closes below the trigger price - 68% of the initial price - during the life of the notes and the final price is less than the initial price, in which case the payout will be a number of shares of the fund equal to $1,000 divided by the initial price or, at the issuer's option, a cash amount equal to the value of those shares.

BMO Capital Markets Corp. is the agent.

Issuer:	Bank of Montreal
Issue:	Reverse exchangeable notes
Underlying fund: Financial Select Sector SPDR
Amount:	$500,000
Maturity:	July 31, 2012
Coupon:	12%, payable monthly
Price:	Par
Payout at maturity:	If the fund closes below trigger price during life of notes and final share price is less than initial price, number of Intel shares equal to $1,000 divided by initial price or equivalent amount in cash; otherwise, par
Initial price:	$12.21
Trigger price:	$8.30, 68% of initial price
Pricing date:	Sept. 26
Settlement date:	Sept. 29
Agent:	BMO Capital Markets Corp.
Fees:	None
Cusip:	06366QXT9

© 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.