Bank of Montreal to price autocallable barrier notes linked to iShares Russell 2000

By Angela McDaniels

Tacoma, Wash., April 30 - Bank of Montreal plans to price autocallable barrier notes with contingent coupon due May 31, 2016 linked to the iShares Russell 2000 index fund, according to a 424B2 filing with the Securities and Exchange Commission.

Every six months, the notes will pay a 3.25% coupon, which is equal to 6.5% per year, if the exchange-traded fund's share price is at least 85% of the initial share price on the observation date for that semiannual period.

The notes will be automatically redeemed at par plus the contingent coupon if the ETF's shares close above the initial share price on Nov. 21, 2013, May 22, 2014, Nov. 20, 2014, May 21, 2015, Nov. 20, 2015 or May 23, 2016.

If the notes are not called, the payout at maturity will be par plus the contingent coupon unless the final share price is less than 85% of the initial share price, in which case investors will be fully exposed to the decline from the initial share price.

BMO Capital Markets Corp. is the agent.

The notes are expected to price May 23 and settle May 31.

The Cusip number is 06366RNR2.

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