Wachovia to sell enhanced yield notes linked to commodities basket

By Jennifer Chiou

New York, Oct. 5 - Wachovia Corp. plans to offer enhanced yield notes due 2009 linked to a basket of commodities, according to a 424B5 filing with the Securities and Exchange Commission.

The basket includes equal weights of WTI crude oil, zinc, aluminum, copper, nickel and lead.

Interest will be payable annually and will be between 10% and 12%, to be determined at pricing. If any component commodity falls below the barrier value of 65% of the initial level on any interest valuation date, the interest rate for that period will be zero.

Payout at maturity will be par plus accrued interest.

Wachovia Securities will be the underwriter.

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