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Published on 6/25/2018 in the Prospect News Structured Products Daily.

GS Finance plans 9% contingent income autocallable notes on Facebook

New York, June 25 – GS Finance Corp. plans to price 9% contingent income autocallable securities due July 2, 2021 linked to the class A common stock of Facebook, Inc., according to an FWP filing with the Securities and Exchange Commission.

The notes are guaranteed by Goldman Sachs Group, Inc.

If Facebook shares close at or above the downside threshold level, 75% of the initial share price, on a quarterly determination date, the notes will pay a contingent payment that quarter at an annualized rate of 9%.

The notes will be automatically called at par of $10 plus the contingent coupon if Facebook shares close at or above the initial share price on any of the first 11 determination dates.

If the final share price is greater than or equal to the 75% downside threshold level, the payout at maturity will be par plus the final contingent coupon. Otherwise, investors will lose 1% for every 1% that the final share price is less than the initial share price.

Goldman Sachs & Co. is the agent, with Morgan Stanley Wealth Management handling distribution.

The notes will price on June 29 and settle three business days after pricing.

The Cusip is 36255U208.


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