New Issue: RBS sells $650,000 14.25% reverse exchangeables linked to U.S. Steel

By Susanna Moon

Chicago, May 13 - Royal Bank of Scotland NV priced $650,000 of 14.25% annualized Knock-In Reverse Exchangeable Securities due Aug. 17, 2010 based on United States Steel Corp. shares, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par in cash unless U.S. Steel shares fall below the protection price - 75% of the initial price - during the life of the notes and finish below the initial price, in which case the payout will be a number of U.S. Steel shares equal to $1,000 divided by the initial price.

RBS Securities Inc. is the agent.

Issuer:	Royal Bank of Scotland NV
Issue:	Knock-In Reverse Exchangeable Securities
Underlying stock:	United States Steel Corp. (Symbol: X)
Amount:	$650,000
Maturity:	Aug. 17, 2010
Coupon:	14.25%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless the stock falls below the protection price during the life of the notes and finish below the initial price, in which case 18.172 U.S. Steel shares
Initial price:	$55.03
Protection price:	$41.27, or 75% of initial price
Pricing date:	May 12
Settlement date:	May 17
Agent:	RBS Securities Inc.
Fees:	2.75%
Cusip:	78009KGP1

© 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.