New Issue: RBC prices $500,000 22.2% reverse convertibles linked to American Axle

New York, Aug. 31 - Royal Bank of Canada priced $500,000 of 22.2% reverse convertible notes due Nov. 30, 2010 linked to American Axle & Manufacturing Holdings, Inc. shares, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par in cash unless American Axle shares fall below the protection price of $5.89, 70% of the initial price of $8.41, during the life of the notes and finish below the initial price in which case the payout will be American Axle shares equal to $1,000 principal amount divided by the initial price.

RBC Capital Markets Corp. is the agent.

Issuer:	Royal Bank of Canada
Issue:	Reverse convertible notes
Underlying stock:	American Axle & Manufacturing Holdings, Inc. (Symbol: AXL)
Amount:	$500,000
Maturity:	Nov. 30, 2010
Coupon:	22.2%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless American Axle shares fall below the protection price of $5.89, 70% of the initial price, and finish below the initial price, in which case American Axle shares equal to $1,000 principal amount divided by the initial price
Initial price:	$8.41
Protection price:	$5.89, 70% of $8.41
Pricing date:	Aug. 30
Settlement date:	Aug. 31
Agent:	RBC Capital Markets Corp.
Fees:	1.5%
Cusip:	78008KJA2

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