New Issue: Wachovia sells $7.34 million 13% enhanced yield securities linked to Ciena

By Laura Lutz

Washington, Jan. 31 - Wachovia Corp. priced a $7.337 million offering of 13.5% enhanced yield securities due Feb. 5, 2008 linked to the common stock of Ciena Corp., according to a 424B5 filing with the Securities and Exchange Commission.

Payment at maturity will be determined according to the performance of Ciena stock. If the stock trades at or below $20.04, the knock-in price, and closes below $28.63, the initial price, between Jan. 30, 2007 and the valuation date, investors will receive a number of Ciena shares equal to $1,000 divided by the initial stock price. The knock-in price is 70% of the initial price.

Otherwise, investors will receive par in cash.

Issuer:	Wachovia Corp.
Issue:	Enhanced yield securities
Underlying stock:	Ciena Corp.
Amount:	$7.337 million
Maturity:	Feb. 5, 2008
Coupon:	13.5%, payable quarterly
Price:	Par
Payout at maturity:	If Ciena stock closes below the knock-in price during the life of the notes and finishes below the initial price, 34.9284 shares of Ciena stock; otherwise par in cash
Initial price:	$28.63
Knock-in price:	$20.04, 70% of $28.63
Exchange ratio:	34.9284
Pricing date:	Jan. 30
Settlement date:	Feb. 2
Agent:	Wachovia Securities
Fees:	2.25%
Distribution:	Off shelf

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