Credit Suisse plans contingent coupon callable yield notes on indexes

By Devika Patel

Knoxville, Tenn., Jan. 23 – Credit Suisse AG, London Branch, plans to price contingent coupon callable yield notes due July 30, 2020 linked to the Russell 2000 index, the MSCI Emerging Markets index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a quarterly coupon at an expected 8.6% annualized rate if each index closes above its coupon barrier level, expected to be 65% of its initial level, on the observation date for that period. The exact coupon and coupon barrier level will be set at pricing.

Beginning April 30, the notes are callable in whole but not in part at par on any coupon payment date prior to maturity.

The payout at maturity will be par unless either of the indexes finishes below its knock-in level, expected to be 65% of its initial level, in which case investors will lose 1% for each 1% decline of the worse performing index from its initial level. The exact knock-in level will be set at pricing.

Credit Suisse Securities (USA) LLC is the agent.

The notes (Cusip: 22550WAA5) are expected to price Jan. 25 and settle Jan. 30.

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