By Wendy Van Sickle
Columbus, Ohio, July 13 – Credit Suisse AG, Nassau Branch priced $4 million of 0% Credit Suisse X-Links Monthly Pay 2xLeveraged Mortgage REIT exchange-traded notes due July 11, 2036 linked to the FTSE NAREIT All Mortgage Capped index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes provides a monthly compounded, 2 times leveraged long exposure to the price return version of the index and may pay a variable monthly coupon linked to any net cash distributions of the index constituents.
The tracking rate is 0.5% per year and the financing rate is Libor plus 80 basis points.
The index measures the performance of tax-qualified U.S. mortgage REITs and was launched on Dec. 19, 2008.
The notes are putable in increments of $1.25 million or more on any business day through June 30, 2036, and they became callable on July 29.
The notes were set to begin trading on NYSE Arca under the ticker "REML” on Wednesday.
Credit Suisse Securities (USA) LLC is the underwriter.
| Issuer: | Credit Suisse AG, Nassau Branch
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| Issue: | Credit Suisse X-Links Monthly Pay 2xLeveraged Mortgage REIT exchange-traded notes
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| Underlying index: | FTSE NAREIT All Mortgage Capped index
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| Amount: | $4 million
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| Maturity: | July 11, 2036
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| Coupon: | May pay variable monthly coupon linked to any net cash distributions of index constituents
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| Prices: | Par of $25.00
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| Payout at maturity: | Par plus two times index return
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| Put option: | At any time through June 30, 2036, subject to minimum of $1.25 million
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| Call option: | Notes become callable beginning on July 29
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| Pricing dates: | July 12
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| Settlement dates: | July 15
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| Underwriter: | Credit Suisse Securities (USA) LLC
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| Fees: | 0.00%
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| Listing: | NYSE Arca: REML
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| Cusip: | 22539T282
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