New Issue: RBC prices $8.55 million leveraged buffered index-linked notes on S&P

By Toni Weeks

San Luis Obispo, Calif., June 5 - Royal Bank of Canada priced $8.55 million of 0% leveraged buffered index-linked notes due June 8, 2015 tied to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the index return is positive, the payout at maturity will be par plus 1.5 times the index gain, subject to a maximum settlement of $1,168.75 per $1,000 note.

Investors will receive par if the index falls by up to 10% and will share in losses at a rate of 1.1111% per 1% drop beyond the 10% buffer.

RBC Capital Markets, LLC is the underwriter.

Issuer:	Royal Bank of Canada
Issue:	Leveraged buffered index-linked notes
Underlying index:	S&P 500
Amount:	$8,551,000
Maturity:	June 8, 2015
Coupon:	0%
Price:	Par
Payout at maturity:	If index return is positive, par plus 150% of index gain, with maximum settlement amount of $1,168.75 per $1,000 note; par if index falls by up to 10%; 1.1111% loss for every 1% decline beyond 10%
Initial level:	1,629.9
Buffer level:	1,466.91, 90% of initial level
Pricing date:	June 3
Settlement date:	June 10
Underwriter:	RBC Capital Markets, LLC
Fees:	2.17%
Cusip:	78008SX76

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