New Issue: Barclays sells $1 million of 9.5% reverse convertibles linked to Applied Materials

By Laura Lutz

Des Moines, Oct. 30 - Barclays Bank plc priced $1 million of 9.5% reverse convertible notes due Oct. 31, 2007 linked to Applied Materials Inc. stock, according to an FWP filing with the Securities and Exchange Commission.

Payout at maturity will be par in cash if Applied Materials stock stays at or above the protection price, 80% of the initial price of $17.26, between Oct. 27, 2006 and Oct. 26, 2007, and finishes at or above the initial price. Otherwise, the payout will be in Applied Materials stock, with the number of shares equal to $1,000 divided by the initial share price.

Issuer:	Barclays Bank plc
Issue:	Reverse convertible notes
Underlying stock:	Applied Materials Inc.
Amount:	$1 million
Maturity:	Oct. 31, 2007
Coupon:	9.5%, payable monthly
Price:	Par
Payout at maturity:	Par in cash if Applied Materials stock stays at or above the protection price of $13.81 and finishes at or above the initial price; otherwise shares of Applied Materials stock equal to $1,000 divided by the initial price
Initial price:	$17.26
Protection price:	$13.81, 80% of $17.26
Pricing date:	Oct. 27
Settlement date:	Oct. 31
Agent:	Barclays Capital
Agent's fee:	2.5%

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