Barclays plans callable high/low coupon notes on S&P, Russell

By Wendy Van Sickle

Columbus, Ohio, May 5 – Barclays Bank plc plans to price callable high/low coupon notes due Nov. 30, 2017 linked to the lesser performing of the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

A knock-in event occurs if either index closes below its knock-in barrier level, 65% of its initial level, on any day during the life of the notes.

Each quarter, the notes will pay a coupon at the rate of 8.25% per year if a knock-in event does not occur during the observation period for that quarter. If a knock-in event occurs during the observation period, the coupon for that interest period and each subsequent interest period will be 1% per year.

The notes will be callable at par on any coupon payment date.

If the notes are not called, the payout at maturity will be par unless a knock-in event has occurred and the final level of the lowest-performing index is less than its initial level, in which case investors will be fully exposed to the decline of the lesser-performing index.

Barclays is the agent.

The notes will price May 25.

The Cusip number is 06741V3K6.

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