New Issue: HSBC prices $8.53 million contingent return optimization securities linked to Russell 2000

By Angela McDaniels

Tacoma, Wash., April 27 - HSBC USA Inc. priced $8.53 million of 0% contingent return optimization securities due April 30, 2014 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the final index level is at least 70% of the initial index level, the payout at maturity will be par of $10 plus the index return, subject to a minimum return of 10% and a maximum return of 31.01%.

If the final index level is less than 70% of the initial level, investors will be fully exposed to the index decline from the initial level.

HSBC Securities (USA) Inc. is the underwriter with UBS Financial Services Inc. as dealer.

Issuer:	HSBC USA Inc.
Issue:	Contingent return optimization securities
Underlying index:	Russell 2000
Amount:	$8,525,750
Maturity:	April 30, 2014
Coupon:	0%
Price:	Par of $10
Payout at maturity:	If final index level is at least 70% of initial index level, par plus index return, subject to minimum return of 10% and maximum return of 31.01%; otherwise, full exposure to index decline
Initial index level:	812.12
Trigger level:	568.48, 70% of initial level
Pricing date:	April 25
Settlement date:	April 30
Underwriter:	HSBC Securities (USA) Inc.
Dealer:	UBS Financial Services Inc.
Fees:	2%
Cusip:	40433K165

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