Barclays to sell double short leverage notes on 30Y Treasury Futures

By Marisa Wong

Madison, Wis., Dec. 6 - Barclays Bank plc plans to price 0% double short leverage securities due Dec. 30, 2013 linked to the Barclays Capital 30Y Treasury Futures index, according to an FWP filing with the Securities and Exchange Commission.

The notes will price at 103.6.

The notes will be putable at any time, subject to a minimum of 1,000 securities, and they will be called if the index increases by more than 35%.

The payout at maturity or upon redemption will be par minus 200% of the index return plus an additional amount and minus an investor fee. The notes are not principal protected, so investors will experience a loss if the final index level is greater than the initial level.

The additional amount is equal to the interest accrued on the principal amount at a rate per year equal to overnight Libor, compounded daily.

The investor fee will be zero if the final valuation date occurs in the first year, 0.85% if it occurs in the second year and 1.7% if it occurs in the third year.

The notes (Cusip: 06740PU95) will price Dec. 23 and settle Dec. 30.

UBS Financial Services Inc. and Barclays Capital Inc. are the underwriters.

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