New Issue: UBS prices $150,000 13.03% reverse convertibles linked to J.C. Penney

By Angela McDaniels

Tacoma, Wash., Sept. 10 - UBS AG, London Branch priced $150,000 of 13.03% annualized reverse convertible notes due Dec. 13, 2013 linked to the common stock of J.C. Penney Co., Inc., according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable monthly.

The payout at maturity will be par in cash unless J.C. Penney shares fall below the protection level, 76.1% of the initial price, during the life of the notes and finish below the initial price, in which case the payout will be a number of J.C. Penney shares equal to $1,000 principal amount divided by the initial share price.

UBS Securities LLC. and UBS Investment Bank are the underwriters.

Issuer:	UBS AG, London Branch
Issue:	Reverse convertible notes
Underlying stock:	J.C. Penney Co., Inc. (NYSE: JCP)
Amount:	$150,000
Maturity:	Dec. 13, 2013
Coupon:	13.03%, payable monthly
Price:	Par
Payout at maturity:	Par unless J.C. Penney shares fall below protection price during life of notes and finish below initial price, in which case 70.2247 J.C. Penney shares
Initial price:	$14.24
Protection price:	$8.76, 61.5% of initial price
Pricing date:	Sept. 10
Settlement date:	Sept. 13
Underwriters:	UBS Securities LLC and UBS Investment Bank
Fees:	1.85%
Cusip:	90270KAE9

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.