WestLB TOP8-Bond: Up To 8% Interest and Capital Guarantee
WestLB AG, Düsseldorf/Münster, is issuing a TOP8-Bond, a bearer bond which in addition to a capital guarantee offers a variable rate of interest of up to 8% p.a. The actual amount of the annual interest payment is linked to the development of the underlying basket of 20 individual stocks. The offer period runs to October 17, 2003.
With the TOP8-Bond the holder invests in a capital-guaranteed bond in which the annual interest payment depends on the performance of 20 stocks. If none of the basket stocks trades at or below the reference value, which is 25% below the initial value, on the valuation dates, the maximum interest rate of 8% p.a. will be paid. For each stock which corresponds to this reference value or falls below it on at least one valuation date, the interest rate is reduced by one percentage point for the current interest period. Interest is paid annually on October 24th. The valuation date is the first day of each calendar month of the relevant interest period. The bonds will be repaid at par (€ 1,000) on October 24, 2008 (maturity date).
The reference value of each stock contained in the basket is 75% of the initial prices which will be determined on October 20, 2003 on the basis of the closing prices (record date). The TOP8-Bond issue has a volume of € 100 million and runs from October 22, 2003 to October 23, 2008. It is available in denominations of € 1,000 and the offer price is 100% plus an offer charge of 2% during the offer period. The certificates will be listed on the Düsseldorf, Frankfurt and Stuttgart (EUWAX) Stock Exchanges ("Freiverkehr"). Payment date is October 24, 2003.