New Issue: JPMorgan prices $2 million callable contingent interest notes linked to S&P 500, Russell

By Angela McDaniels

Tacoma, Wash., Jan. 16 - JPMorgan Chase & Co. priced $2 million of callable contingent interest notes due Jan. 17, 2019 linked to the lesser performing of the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

If each index closes at or above its interest barrier on a quarterly review date, the notes will pay a 2% coupon (equivalent to 8% per year) for that quarter. Each index's interest barrier is 71% of its initial level.

The notes are callable at par plus the contingent coupon, if any, on any interest payment date other than the first, second, third and final interest payment dates.

If the notes have not been called, the payout at maturity will be par plus the contingent coupon, if any, unless either index finishes below its trigger level, in which case investors will be fully exposed to the decline of the lesser-performing index from its initial level. Each index's trigger level is 71% of its initial level.

J.P. Morgan Securities LLC is the agent.

Issuer:	JPMorgan Chase & Co.
Issue:	Callable contingent interest notes
Underlying indexes:	S&P 500 and Russell 2000
Amount:	$2 million
Maturity:	Jan. 16, 2019
Contingent coupon:	8% per year if each index closes at or above its interest barrier on review date for that quarter
Price:	Par
Payout at maturity:	If either index finishes below its trigger level, par minus 1% for every 1% that the final level of the lesser-performing index is less than its initial level; otherwise, par plus the contingent coupon, if any
Call option:	At par plus contingent coupon, if any, on any interest payment date other than the first, second, third and final interest payment dates
Initial index levels:	1,472.12 for S&P 500 and 881.24 for Russell 2000
Interest barrier:	1,045.2052 for S&P 500 and 625.6804 for Russell 2000; 71% of initial levels
Trigger level:	883.272 for S&P 500 and 528.744 for Russell 2000; 60% of initial levels
Pricing date:	Jan. 14
Settlement date:	Jan. 17
Agent:	J.P. Morgan Securities LLC
Fees:	3.5%, including 1.5% for selling concessions
Cusip:	48126DTD1

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