Bank of the West plans contingent income CDs due 2018 on 10 stocks

By Jennifer Chiou

New York, May 9 - Bank of the West plans to price contingent variable-income market-linked certificates of deposit due May 30, 2018 linked to a basket of 10 stocks, according to a term sheet.

The underlying stocks are Altria Group, Inc., American Electric Power Co., Inc., AT&T Inc., FirstEnergy Corp., Kraft Foods Group, Inc., Lockheed Martin Corp., New York Community Bancorp, Inc., Newmont Mining Corp., Verizon Communications Inc. and Williams Cos., Inc.

Interest is payable annually and will equal the average of the stocks' performances, subject to a minimum interest rate of zero.

If a stock return is positive or flat, its performance will be equal to the auto cap. Otherwise, its performance will be the greater of the return and negative 20%. The auto cap is expected to be 4.5% to 5.5% and will be set at pricing.

The payout at maturity will be par plus the final coupon.

The notes (Cusip: 06426XGT1) are expected to price on May 24 and settle on May 30.

BNP Paribas Securities Corp. is the agent. Advisors Asset Management, Inc. is the distributor.

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