By Laura Lutz
Des Moines, May 8 - Citigroup Funding Inc. priced $12.25 million of 5% Equity LinKed Securities (ELKS) due Nov. 13, 2008 linked to Regions Financial Corp. stock, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable quarterly.
Each note has a principal amount of $22.8843, equal to the initial price of Regions stock.
If the stock finishes below its initial level but stays at or above the trigger level, about 76% of the initial level, the payout at maturity will be par.
Otherwise, the payout will be a number of Regions shares equal to the final share price divided by the initial price, subject to a cap in the final share price equal to 124% of the initial price. As a result, investors will not receive more than 1.24 shares per note.
Citigroup Global Markets Inc. is the agent.
| Issuer: | Citigroup Funding Inc.
|
| Issue: | Equity LinKed Securities (ELKS)
|
| Underlying stock: | Regions Financial Corp.
|
| Amount: | $12,245,389
|
| Maturity: | Nov. 13, 2008
|
| Interest: | 5%, payable quarterly
|
| Price: | Par of $22.8843
|
| Payout at maturity: | Par if Regions stock finishes below initial price but stays at or above trigger price; otherwise, Regions shares equal to final price divided by initial price, capped at 1.24 shares per note
|
| Initial price: | $22.8843
|
| Trigger price: | $17.39, about 76% of initial price
|
| Cap price: | $28.3765, 124% of initial price
|
| Pricing date: | May 6
|
| Settlement date: | May 13
|
| Agent: | Citigroup Global Markets Inc.
|
| Fees: | 0%
|
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