By Marisa Wong
Morgantown, W.Va., Jan. 10 – Credit Suisse AG priced $6.99 million of autocallable contingent income securities due July 11, 2017 linked to the common stock of Marathon Oil Corp., according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes will pay a contingent coupon at an annual rate of 14.5% if Marathon Oil shares close at or above the coupon barrier level, 70% of the initial share price, on the observation date for that quarter.
The notes will be automatically called at par plus the contingent coupon if Marathon Oil shares close at or above the initial share price on any quarterly observation date other than the final date.
If the final share price is greater than or equal to the 70% downside threshold level, the payout at maturity will be par plus the final contingent coupon. Otherwise, investors will be fully exposed to the share price decline.
Credit Suisse Securities (USA) LLC is the agent with Morgan Stanley Wealth Management handling distribution.
| Issuer: | Credit Suisse AG
|
| Issue: | Autocallable contingent income securities
|
| Underlying stock: | Marathon Oil Corp. (Symbol: MRO)
|
| Amount: | $6,985,540
|
| Maturity: | July 11, 2017
|
| Coupon: | Each quarter, contingent coupon at an annual rate of 14.5% if Marathon Oil shares close at or above the coupon barrier on observation date for that quarter
|
| Price: | Par of $10
|
| Payout at maturity: | If the final share price is greater than or equal to the downside threshold, par plus the final contingent coupon; otherwise, investors will be fully exposed to the share price decline
|
| Call: | Automatically at par plus the contingent coupon if Marathon Oil shares close at or above the initial share price on any quarterly observation date other than the final date
|
| Initial price: | $17.88
|
| Coupon barrier: | $12.52, 70% of initial price
|
| Downside threshold: | $12.52, 70% of initial price
|
| Pricing date: | Jan. 6
|
| Settlement date: | Jan. 11
|
| Agent: | Credit Suisse Securities (USA) LLC with Morgan Stanley Wealth Management handling distribution
|
| Fees: | 1.25%
|
| Cusip: | 22549A190
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
