New Issue: RBC prices $10.77 million 0% buffered equity notes linked to S&P 500

By Jennifer Chiou

New York, May 21 - Royal Bank of Canada priced $10.77 million of 0% buffered equity index-linked notes due June 27, 2011 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the final index level is greater than the initial level, the payout at maturity will be par plus the index return, capped at 19.2%.

Investors will receive par if the index falls by up to 12.5% and will share in losses beyond the buffer amount at a rate of 1.1429% for each 1% decline beyond 12.5%.

Goldman, Sachs & Co. is the underwriter.

Issuer:	Royal Bank of Canada
Issue:	Buffered equity notes
Underlying index:	S&P 500
Amount:	$10,769,000
Maturity:	June 27, 2011
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus any index gain, capped at 19.2%; par if index falls by up to 12.5% and 1.1429% loss for each 1% drop beyond 12.5%
Initial index level:	1,113.05
Pricing date:	May 19
Settlement date:	May 26
Underwriter:	Goldman, Sachs & Co.
Fees:	0.25%
Cusip:	78008A881

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