JPMorgan to issue 0% lesser index annual review notes linked to Nikkei 225, S&P 500

By Jennifer Chiou

New York, March 16 - JPMorgan Chase & Co. plans to price 0% lesser index annual review notes due April 7, 2010 linked to the Nikkei 225 and S&P 500 indexes, according to an FWP filing with the Securities and Exchange Commission.

The notes are expected to price on March 23 and settle on March 28.

The notes will be automatically called at increasing premiums if the level of each index is at least 90% of its initial level on the first review date and greater than or equal to its initial index level on the second and third annual review dates.

For each $1,000 principal amount, the redemption amount will be par plus 14.5% if the notes are called on April 2, 2008, par plus 29% if called on April 2, 2009 and par plus 43.5% if called on April 2, 2010.

If the notes are not called, the payout at maturity will par unless one or both of the indexes declines by more than 10%. Investors will lose 1.1111% for every 1% decline in the lesser-performing index beyond 10%.

J.P. Morgan Securities Inc. will be the agent.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.