Bank of America plans 8.5%-10.5% autocallables linked to Facebook

By Angela McDaniels

Tacoma, Wash., May 13 – Bank of America Corp. plans to price 8.5% to 10.5% autocallable coupon-bearing notes due June 2016 linked to the common stock of Facebook, Inc., according to a 424B2 filing with the Securities and Exchange Commission.

Interest will be payable quarterly. The exact interest rate will be set at pricing.

The notes will be automatically called at par of $10 if Facebook stock closes at or above its initial share price on either observation date, which will fall in November 2015 and February 2016.

If the notes are not called and the final share price is greater than or equal to the initial share price, the payout at maturity will be par. Otherwise, investors will be fully exposed to the index’s decline.

BofA Merrill Lynch is the agent.

The notes will price in May and settle in June.

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