New Issue: RBC prices $650,000 8.6% reverse convertibles linked to Ford

By Angela McDaniels

Tacoma, Wash., April 11 - Royal Bank of Canada priced $650,000 of reverse convertible notes due Oct. 13, 2011 linked to Ford Motor Co. shares, according to a 424B2 filing with the Securities and Exchange Commission.

The six-month notes carry a coupon of 8.6% per year. Interest is payable monthly.

The payout at maturity will be par in cash unless Ford shares fall below the protection price - 75% of the initial share price - during the life of the notes and finish below the initial price, in which case the payout will be a number of Ford shares equal to $1,000 divided by the initial share price.

RBC Capital Markets, LLC is the agent.

Issuer:	Royal Bank of Canada
Issue:	Reverse convertible notes
Underlying stock:	Ford Motor Co. (Symbol: F)
Amount:	$650,000
Maturity:	Oct. 13, 2011
Coupon:	8.6%, payable monthly
Price:	Par
Payout at maturity:	Par unless Ford shares fall below protection price during life of notes and finish below initial price, in which case 64.3915 Ford shares
Initial price:	$15.53
Protection price:	$11.65, 75% of initial price
Pricing date:	April 7
Settlement date:	April 12
Agent:	RBC Capital Markets LLC
Fees:	1.5%
Cusip:	78008K5Q2

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