JPMorgan plans callable 15-year range accrual CDs linked to Russell

By Susanna Moon

Chicago, Oct. 16 - JPMorgan Chase Bank, NA plans to price callable variable-rate range accrual certificates of deposit due Oct. 31, 2028 linked to six-month Libor and the Russell 2000 index, according to an FWP filing with the Securities and Exchange Commission.

The coupon will be fixed at 10% for the first year. After that, interest will accrue at double the strike rate minus six-month Libor up to a maximum rate for each day that the index closes at or above the minimum index level, which will be 775.

The strike rate will be 5% initially and step up to 5.5% on Oct. 31, 2018 and to 6% on Oct. 31, 2023. The cap will be 10% initially, stepping up to 11% on Oct. 31, 2018 and to 12% on Oct. 31, 2023.

Interest will be payable quarterly and cannot be less than zero.

The payout at maturity will be par.

The CDs will be callable at par on any interest payment date beginning Oct. 31, 2014.

J.P. Morgan Securities LLC is the agent.

The CDs will price on Oct. 28 and settle on Oct. 31.

The Cusip number is 48124J6G8.

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