New Issue: HSBC prices $16.04 million Stars linked to Ford Motor via BofA Merrill

By Susanna Moon

Chicago, March 11 - HSBC USA Inc. priced $16.04 million of 0% Strategic Accelerated Redemption Securities due March 21, 2014 linked to Ford Motor Co. stock, according to a 424B2 filing with the Securities and Exchange Commission.

If Ford Motor shares close at or above the initial price on any observation date, the notes will be called at an annualized rate of 17.75%.

Investors will receive par if the stock falls by up to 5% and will lose 1% for every 1% decline beyond 5%.

BofA Merrill Lynch is the underwriter.

Issuer:	HSBC USA Inc.
Issue:	Strategic Accelerated Redemption Securities
Underlying stock:	Ford Motor Co.
Amount:	$16,037,050
Maturity:	March 21, 2014
Coupon:	0%
Price:	Par
Payout at maturity:	Par if stock falls by up to 5%; 1% loss for every 1% decline beyond 5%
Call:	At par plus 17.75% per year if Ford Motor shares close at or above the initial price on Sept. 20, 2013, Dec. 13, 2013 or March 14, 2014, respectively
Initial price:	$12.84
Threshold level:	$12.20, or 95% of initial level
Pricing date:	March 7
Settlement date:	March 14
Underwriters:	BofA Merrill Lynch
Fees:	1.25%
Cusip:	40433T232

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