New Issue: Bear Stearns prices $920,000 18.4% reverse convertibles linked to Monsanto

By Angela McDaniels

Tacoma, Wash., Jan. 23 - The Bear Stearns Cos. Inc. priced $920,000 of 18.4% reverse convertible notes due Jan. 26, 2009 linked to the common stock of Monsanto Co., according to a 424B5 filing with the Securities and Exchange Commission.

Interest is payable semiannually.

The payout at maturity will be par unless Monsanto stock trades at or below the trigger price - 80% of the initial share price - during the life of the notes and finishes below the initial share price, in which case the payout will be a number of Monsanto shares equal to $1,000 divided by the initial share price or, at Bear Stearns' option, a cash amount equal to par minus the share price decline.

Bear, Stearns & Co. Inc. is the agent and may be granted a $138,000 greenshoe.

Issuer:	The Bear Stearns Cos. Inc.
Issue:	Reverse convertible notes
Underlying stock:	Monsanto Co. (NYSE: MON)
Amount:	$920,000
Maturity:	Jan. 26, 2009
Coupon:	18.4%, payable semiannually
Price:	Par
Payout at maturity:	If Monsanto stock trades at or below the trigger price during the life of the notes and the final share price is less than the initial share price, 9.456 Monsanto shares or par minus the share price decline; otherwise, par
Initial share price:	$105.75
Trigger price:	$84.60, 80% of initial share price
Pricing date:	Jan. 18
Settlement date:	Jan. 24
Agent:	Bear, Stearns & Co. Inc.
Fees:	1.5%

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