By Marisa Wong
Madison, Wis., Aug. 1 - Citigroup Inc. priced $1.74 million autocallable contingent coupon equity-linked securities due Aug. 4, 2014 linked to the common stock of Michael Kors Holdings Ltd., according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes will pay a quarterly contingent coupon at an annualized rate of 11% if Michael Kors stock closes at or above the downside threshold price, 70% of the initial price, on the valuation date for that quarter. Otherwise, no coupon will be paid that quarter.
If the closing share price is greater than or equal to the initial price on any of the first three quarterly valuation dates, the notes will be automatically called at par plus the contingent coupon.
If the final share price is greater than or equal to the downside threshold price, the payout at maturity will be par plus the last coupon. Otherwise, investors will receive a number of Michael Kors shares equal to $1,000 divided by the initial share price or, at the issuer's option, an amount in cash equal to the value of those shares.
Citigroup Global Markets Inc. is the underwriter.
| Issuer: | Citigroup Inc.
|
| Issue: | Autocallable contingent coupon equity-linked securities
|
| Amount: | $1,742,000
|
| Maturity: | Aug. 4, 2014
|
| Coupon: | Quarterly contingent coupon of 11% per year if Michael Kors stock closes at or above downside threshold price on valuation date for that quarter; otherwise, no coupon will be paid that quarter
|
| Price: | Par
|
| Payout at maturity: | If final share price is greater than or equal to downside threshold price, the par plus last coupon; otherwise, a number of Michael Kors shares equal to $1,000 divided by initial share price or, at the issuer's option, cash equivalent
|
| Call: | Automatically at par plus contingent coupon if closing share price is greater than or equal to initial price on any of first three quarterly valuation dates
|
| Initial price: | $65.56
|
| Downside threshold: | $45.892, 70% of initial price
|
| Equity ratio: | 15.25320
|
| Pricing date: | July 30
|
| Settlement date: | Aug. 2
|
| Agent: | Citigroup Global Markets Inc.
|
| Fees: | 1%
|
| Cusip: | 1730T0UH0
|
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