By Susanna Moon
Chicago, July 24 – Bank of America Corp. priced $5 million issuer callable capped notes due July 23, 2028 linked to the difference between the 30-year U.S. dollar ICE swap rate and the two-year U.S. dollar ICE swap rate, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be fixed at 7% for one year. After that, the rate will be 17 times the spread of the 30-year swap rate over the two-year swap rate, up to a maximum interest rate of 10% per year. Interest will be payable quarterly and cannot be less than zero.
The notes will be callable in whole at par on any quarterly call date after one year.
The payout at maturity will be par.
The notes are guaranteed by Bank of America Corp.
BofA Merrill Lynch is the agent.
Issuer: | BofA Finance, LLC
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Guarantor: | Bank of America Corp.
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Issue: | Issuer callable capped notes
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Underlying rates: | 30-year and two-year U.S. dollar ICE swap rates
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Amount: | $5 million
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Maturity: | July 23, 2028
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Coupon: | 7% initially; beginning July 23, 2019, 17 times the spread of the 30-year swap rate over the two-year swap rate, capped at 10% per year, payable quarterly
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Price: | Par
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Call option: | At par on any quarterly interest payment date beginning July 23, 2019
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Payout at maturity: | Par
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Pricing date: | July 19
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Settlement date: | July 23
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Agent: | BofA Merrill Lynch
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Fees: | 4.5%
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Cusip: | 09709TFQ9
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