New Issue: JPMorgan prices $8.22 million semiannual review notes linked to gold

By Susanna Moon

Chicago, April 13 - JPMorgan Chase & Co. priced $8.22 million of 0% semiannual review notes due April 13, 2011 linked to the price of gold, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be automatically called at increasing premiums if the price of gold is more than 90% of its initial price on the first review date or if it shows a gain on any of the next three review dates.

The redemption amount will be par plus 5.5% if the notes are called on Oct. 9, par plus 11% if called on April 9, 2010, par plus 16.5% if called on Oct. 8, 2010 and par plus 22% if called on April 8, 2011.

If the notes are not called, investors will receive par at maturity if the price of gold falls by up to 15% and will lose 1% for every 1% decline beyond 15%.

J.P. Morgan Securities Inc. is the agent.

Issuer:	JPMorgan Chase & Co.
Issue:	Semiannual review notes
Underlying commodity:	Gold
Amount:	$8,216,000
Maturity:	April 13, 2011
Coupon:	0%
Price:	Par
Payout at maturity:	Par unless gold price falls by more than 10%, in which case 1% loss for every 1% decline beyond 10%
Call:	If gold is more than 90% of initial price on first review date or shows a gain on any of next three review dates, at par plus 5.5% if notes are called on Oct. 9, par plus 11% if called on April 9, 2010, par plus 16.5% if called on Oct. 8, 2010 and par plus 22% if called on April 8, 2011
Initial gold price:	$882.85
Pricing date:	April 9
Settlement date:	April 14
Agent:	J.P. Morgan Securities Inc.
Fees:	1%, including 0.5% for selling concessions

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