By Jennifer Chiou
New York, Jan. 12 - Bank of America Corp. priced $16.49 million of 0% digital return notes due Jan. 13, 2014 linked to the 30-year Constant Maturity Swap rate, according to a 424B2 filing with the Securities and Exchange Commission.
If the 30-year CMS rate finishes above 101% of the initial level, the payout at maturity will be par plus the digital return of 22.5%.
Investors will receive par if the rate falls by up to 1.2%.
If the 30-year CMS rate falls by more than 1.2%, the payout will be $850 per $1,000 principal amount.
Bank of America Merrill Lynch is the agent.
| Issuer: | Bank of America Corp.
|
| Issue: | Digital return notes
|
| Underlying rate: | 30-year Constant Maturity Swap
|
| Amount: | $16,489,000
|
| Maturity: | Jan. 13, 2014
|
| Coupon: | 0%
|
| Price: | Par plus 22.5% if the 30-year CMS rate finishes above 101% of the initial level; par for losses up to 1.2%; 85% of par if rate falls beyond 1.2%
|
| Payout at maturity: | Par
|
| Pricing date: | Jan. 10
|
| Settlement date: | Jan. 13
|
| Agent: | Bank of America Merrill Lynch
|
| Fees: | 1.75%
|
| Cusip: | 06048WKB5
|
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