By Angela McDaniels
Tacoma, Wash., Jan. 17 - AB Svensk Exportkredit priced $4.73 million of 8% STEP Income Securities due Jan. 29, 2013 linked to the common stock of Macy's, Inc. via Bank of America Merrill Lynch, according to a 424B2 filing with the Securities and Exchange Commission.
Interest is payable quarterly.
If the final price of Macy's stock is greater than or equal to the step level, the payout at maturity will be par of $10 plus 4.5%. The step level is 108% of the initial share price.
If the final share price is greater than or equal to the threshold value but is less than the step level, the payout will be par. The threshold value is 95% of the initial share price.
Investors will lose 1% for every 1% that the final price declines beyond the threshold value.
| Issuer: | AB Svensk Exportkredit
|
| Issue: | STEP Income Securities
|
| Underlying stock: | Macy's, Inc. (NYSE: M)
|
| Amount: | $4,728,940
|
| Maturity: | Jan. 29, 2013
|
| Coupon: | 8%, payable quarterly
|
| Price: | Par of $10.00
|
| Payout at maturity: | Par plus 4.5% if final share price is greater than or equal to step level; par if final share price is less than step level but greater than or equal to threshold value; full exposure to any share price decline beyond threshold value
|
| Initial share price: | $34.97, equal to volume-weighted average price on pricing date
|
| Step level: | $37.77, 108% of initial share price
|
| Threshold value: | $33.22, 95% of initial share price
|
| Pricing date: | Jan. 12
|
| Settlement date: | Jan. 20
|
| Agent: | Bank of America Merrill Lynch
|
| Fees: | 1.75%
|
| Cusip: | 01019A419
|
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