Credit Suisse plans autocallable securities on S&P 500, Russell

By Devika Patel

Knoxville, Tenn., June 28 – Credit Suisse AG, London Branch, plans to price autocallable securities due July 31, 2019 linked to the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be automatically called at par plus an annualized redemption premium of 8% to 10% if the price of each underlying index is at or above its initial level on Jan. 26, 2018, July 26, 2018 or Jan. 28, 2019. The exact redemption premium will be set at pricing.

If the notes are not called and the final level of the worst performing index is greater than its initial level, the payout at maturity will be par plus the contingent maximum return that is expected to be between 16% and 20% and will be set at pricing.

If the index falls and neither underlying index closes below 70% of its initial price during the life of the notes, the payout at maturity will be par plus 10%. Otherwise, investors will lose 1% for each 1% decline of the least-performing index from its initial level.

Credit Suisse Securities (USA) LLC is the agent.

The notes (Cusip: 22550BBP7) are expected to price July 26 and settle July 31.

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