By Laura Lutz
Des Moines, March 24 - Merrill Lynch & Co., Inc. priced $24.4 million of 0% Strategic Accelerated Redemption Securities (Stars) due March 24, 2010 linked to the S&P 500 index, according to a 424B3 filing with the Securities and Exchange Commission.
If the closing level of the index on any observation date is at least the initial level, the payout at maturity will be par plus an annualized return of 11.6%.
The observation dates will be March 25, 2009, Sept. 24, 2009 and March 17, 2010.
If the notes are not called early, the payout will be par minus 1% for each 1% the index declines beyond 10%. In that case, the payout will not be more than par.
Otherwise, the payout will be par times the index performance.
Merrill Lynch & Co. is the underwriter.
| Issuer: | Merrill Lynch & Co., Inc.
|
| Issue: | Strategic Accelerated Redemption Securities
|
| Underlying index: | S&P 500 index
|
| Amount: | $24.4 million
|
| Maturity: | March 24, 2010
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If final index level is at least 90% of initial level, par minus 1% for each 1% the index declines beyond 10%; maximum of par
|
| Initial level: | 1,276.60
|
| Call: | On any observation date for par plus 11.6% per year if index closes at or above initial level
|
| Observation dates: | March 25, 2009, Sept. 24, 2009 and March 17, 2010
|
| Pricing date: | March 17
|
| Settlement date: | March 24
|
| Underwriter: | Merrill Lynch & Co.
|
| Fees: | 2%
|
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