New Issue: UBS prices $17.66 million autocallable optimization securities linked to Ford

By Jennifer Chiou

New York, April 19 - UBS AG, London Branch priced $17.66 million of 0% autocallable optimization securities with contingent protection due April 21, 2011 linked to the common stock of Ford Motor Co., according to a 424B2 filing with the Securities and Exchange Commission.

If Ford stock closes at or above the initial share price on any of 12 monthly observation dates, the notes will be called automatically and investors will receive par of $10 plus an annualized call premium of 17.75%.

If the notes are not called, the payout at maturity will be par if the final share price is greater than or equal to 65% of the initial share price. Otherwise, investors will be exposed to the share price decline.

UBS Financial Services Inc. and UBS Investment Bank are the underwriters.

Issuer:	UBS AG, London Branch
Issue:	Autocallable optimization securities with contingent protection
Underlying stock:	Ford Motor Co. (Symbol: F)
Amount:	$17,662,640
Maturity:	April 21, 2011
Coupon:	0%
Price:	Par of 10.00
Payout at maturity:	If final share price is greater than or equal to trigger price, par; otherwise, par plus stock return
Call:	Automatically at par plus annualized call premium of 17.75% if Ford stock closes at or above initial share price on any of 12 monthly observation dates
Initial share price:	$13.76
Trigger price:	$8.94, 65% of initial share price
Pricing date:	April 15
Settlement date:	April 20
Underwriters:	UBS Financial Services Inc. and UBS Investment Bank
Fees:	1.25%
Cusip:	90267C185

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