SG Structured Products to price steepener notes linked to CMS rates

By Angela McDaniels

Tacoma, Wash., Feb. 2 - SG Structured Products, Inc. plans to price steepener notes due Feb. 28, 2031 linked to the 30-year and five-year Constant Maturity Swap rates, according to a term sheet. Societe Generale, New York Branch is the guarantor.

The interest rate will be 14% for the first year. After that time, the per-year interest rate will be 4.5 times the spread of the 30-year CMS rate over the five-year CMS rate, subject to a floor of zero and a cap of 14%. Interest will be payable semiannually.

The payout at maturity will be par.

Beginning one year after issuance, the notes will be callable at par on any interest payment date.

The notes (Cusip: 78423AF80) will price Feb. 23 and settle Feb. 28.

SG Americas Securities, LLC is the agent. The distributor is Advisors Asset Management, Inc.

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