By Susanna Moon
Chicago, March 20 - Citigroup Inc. priced $11 million of callable leveraged CMS spread notes due March 21, 2024 linked to the 30-year Constant Maturity Swap Rate and the five-year CMS rate, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be fixed at 9% for the first year. After that, it will accrue at 4 times the spread of the 30-year CMS rate minus the five-year CMS rate minus 25 basis points, up to a maximum coupon of 9%. Interest is payable quarterly and cannot be less than zero.
The payout at maturity will be par.
The notes will be callable at par on any interest payment date beginning on March 21, 2015.
Citigroup Global Markets Inc. is the underwriter.
| Issuer: | Citigroup Inc.
|
| Issue: | Callable leveraged CMS spread notes
|
| Underlying rates: | 30-year Constant Maturity Swap and five-year CMS rate
|
| Amount: | $7.7 million
|
| Maturity: | March 21, 2024
|
| Coupon: | 9% initially; beginning March 21, 2015, 4 times spread of 30-year CMS rate over five-year CMS rate less 25 bps, capped at 9%; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par
|
| Call option: | At par on any interest payment date beginning March 21, 2015
|
| Pricing date: | March 18
|
| Settlement date: | March 21
|
| Underwriter: | Citigroup Global Markets Inc.
|
| Fees: | 2%
|
| Cusip: | 1730T0L98
|
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