New Issue: HSBC prices $1.51 million autocallable notes linked to Russell 2000

By Marisa Wong

Madison, Wis., March 28 - HSBC USA Inc. priced $1.51 million of 0% autocallable notes due March 31, 2014 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be automatically called at par plus an annualized call premium of 5% if the index closes at or above the initial index level on any of three semiannual observation dates.

If the notes are not called and the final index level is at least 70% of the initial index level, the payout at maturity will be par. Otherwise, investors will lose 1.4286% for every 1% decline beyond the 30% buffer.

HSBC Securities (USA) Inc. is the underwriter.

Issuer:	HSBC USA Inc.
Issue:	Autocallable notes
Underlying index:	Russell 2000
Amount:	$1,512,000
Maturity:	March 31, 2014
Coupon:	0%
Price:	Par
Payout at maturity:	If final index level is at least 70% of initial index level, par; otherwise, 1.4286% loss per 1% drop beyond 30%
Call:	Automatically at par plus 5% per year if index closes at or above initial index level on Sept. 26, March 26, 2013, Sept, 26, 2013 or March 26, 2014
Initial index level:	846.13
Pricing date:	March 26
Settlement date:	March 29
Underwriter:	HSBC Securities (USA) Inc.
Fees:	2%
Cusip:	4042K1ZV8

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