Bank of West plans contingent variable income CDs due 2019 on stocks

By Susanna Moon

Chicago, April 5 - Bank of the West plans to price contingent variable income market-linked certificates of deposit due April 30, 2019 linked to a basket of stocks, according to a term sheet.

The underlying companies are Altria Group, Inc., American Electric Power, AT&T, Inc., Eli Lilly & Co., Lorillard, Inc., Macy's, Inc., Mattel, Inc., Maxim Integrated Products, Silver Wheaton Corp. and Verizon Communications Inc.

Interest is payable annually at a rate equal to the average of the stock performances, subject to a floor of zero.

If a stock's return is positive or flat, its performance will be fixed at 7.5% to 9.5%. Otherwise, its performance will be the greater of the stock return and negative 30%. The exact fixed percentage will be set at pricing.

The payout at maturity will be par.

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

The CDs will price on April 25 and settle on April 30.

The Cusip number is 06426XDQ0.

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