By Angela McDaniels
Tacoma, Wash., June 28 - Citigroup Funding Inc. priced $2 million of callable leveraged CMS spread principal-protected notes due June 29, 2022 linked to the 30-year and two-year Constant Maturity Swap rates, according to a 424B2 filing with the Securities and Exchange Commission.
The coupon will be 10% for the first year. After that, the rate will be four times the spread of the 30-year CMS rate over the two-year CMS rate minus 25 basis points, subject to a floor of zero and a cap of 10% per year in each interest period. Interest is payable quarterly.
The payout at maturity will be par.
Beginning June 29, 2014, the notes will be callable at par on any interest payment date.
Citigroup Global Markets Inc. is the underwriter.
| Issuer: | Citigroup Funding Inc.
|
| Issue: | Callable leveraged CMS spread principal-protected notes
|
| Amount: | $2 million
|
| Maturity: | June 29, 2022
|
| Coupon: | 10% for first year; after that, four times spread of 30-year CMS rate over two-year CMS rate minus 25 bps, capped at 10% per year with floor of zero; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par
|
| Call option: | On interest payment dates from June 29, 2014 onward
|
| Pricing date: | June 24
|
| Settlement date: | June 29
|
| Underwriter: | Citigroup Global Markets Inc.
|
| Fees: | 4%
|
| Cusip: | 1730T0JF7
|
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