Claymore YieldStream 20's $47 million in enhanced yield securities is first offering linked to strategy

By Sheri Kasprzak

New York, May 4 - The $47 million in 11% enhanced yield securities linked to the Claymore YieldStream 20 series 2007-A basket wrapped Thursday is the first offering linked to the strategy and also the first deal for Claymore, the company said Friday.

The securities were issued by Eksportfinans ASA, and the deal was underwritten by Wachovia Capital Markets, LLC.

According to a statement from Claymore Securities, Inc. released Friday morning, the shares that make up the basket were chosen to provide "an attractive yield in a structure that provides income in exchange for potential downside exposure to the price performance of the constituent stocks of the Claymore YieldStream 20."

Each $1 of $20 in principal invested is exposed to the downside performance of a different common stock in the basket, but only if that stock falls by more than 25% during the term, according to the news release. The investors will not participate in any upside performance.

"We're excited about the market's reception of our first structured product, designed in partnership with Wachovia and Eksportfinans," said David Hooten, Claymore's chief executive officer, in the statement.

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