New Issue: RBS prices $35,000 of 10% reverse exchangeables linked to Bank of America

By Jennifer Chiou

New York, May 12 - Royal Bank of Scotland NV priced $35,000 of 10% annualized Knock-In Reverse Exchangeable notes due Nov. 12, 2010 linked to Bank of America Corp. shares, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par in cash unless Bank of America shares fall below the protection price of $12.87, 75% of the initial price of $17.16, during the life of the notes and finish below the initial price in which case the payout will be 58.275 shares of Bank of America stock.

RBS Securities Inc. is the agent.

Issuer:	Royal Bank of Scotland NV
Issue:	Knock-In Reverse Exchangeable notes
Underlying stock:	Bank of America Corp. (Symbol: BAC)
Amount:	$35,000
Maturity:	Nov. 12, 2010
Coupon:	10%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless Bank of America shares fall below the protection price of $12.87, 75% of the initial price, and finish below the initial price, in which case 58.275 shares of Bank of America stock
Initial price:	$17.16
Protection price:	$12.87, 75% of $17.16
Exchange ratio:	58.275
Pricing date:	May 11
Settlement date:	May 14
Agent:	RBS Securities Inc.
Fees:	1.75%
Cusip:	78009KFW7

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