By Angela McDaniels
Tacoma, Wash., Dec. 29 - Barclays Bank plc priced $1 million of callable reverse convertible notes due June 26, 2009 linked to the Diamonds Trust, Series 1, according to a 424B2 filing with the Securities and Exchange Commission.
The six-month notes pay 5.25% for an annualized coupon of 10.5%. Interest is payable monthly.
The notes will be called at par if the exchange-traded fund's shares close at or above the initial share price on March 26, 2009.
If the notes are not called, the payout at maturity will be par unless the ETF's shares close below the protection level - 70% of the initial share price - during the life of the notes and finish below the initial price, in which case the payout will be a number of shares equal to $1,000 divided by the initial price or, at Barclays' option, par minus the share price decline.
Barclays Capital Inc. is the agent.
| Issuer: | Barclays Bank plc
|
| Issue: | Callable reverse convertible notes
|
| Underlying ETF: | Diamonds Trust, Series 1 (Symbol: DIA)
|
| Amount: | $1 million
|
| Maturity: | June 26, 2009
|
| Coupon: | 10.5%, payable monthly
|
| Price: | Par
|
| Payout at maturity: | If shares of the ETF close below the protection level during the life of the notes and the final share price is less than the initial price, 11.892020 ETF shares or par minus the share price decline; otherwise, par
|
| Call: | Automatically at par if the ETF's shares close at or above the initial price on March 26, 2009
|
| Initial share price: | $84.09
|
| Protection level: | $58.863, 70% of initial price
|
| Pricing date: | Dec. 23
|
| Settlement date: | Dec. 31
|
| Agent: | Barclays Capital Inc.
|
| Fees: | 1.625%
|
© 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.
