Final Terms dated 27 February 2014 Citigroup Inc. Issue

Final Terms dated 27 February 2014
Citigroup Inc.
Issue of up to USD15,000,000 Snowballing Autocall Notes due April 2018 linked to the EURO STOXX 50®
(Price) Index
Under the U.S.$30,000,000,000 Global Medium Term Note Programme
Any person making or intending to make an offer of the Notes in any Member State of the European
Economic Area which has implemented the Prospectus Directive may only do so:
(a)
in those Public Offer Jurisdictions mentioned in item 8 of Part B below, provided such person is one
of the persons mentioned in item 9 of Part B below and that such offer is made during the Offer
Period specified for such purpose therein; or
(b)
otherwise in circumstances in which no obligation arises for the Issuer or any Dealer to publish a
prospectus pursuant to Article 3 of the Prospectus Directive or supplement a prospectus pursuant to
Article 16 of the Prospectus Directive, in each case, in relation to such offer.
None of the Issuer and any Dealer has authorised, nor do any of them authorise, the making of any offer of
Notes in any other circumstances.
The expression Prospectus Directive means Directive 2003/71/EC, as amended (which includes the
amendments made by Directive 2010/73/EU (the 2010 PD Amending Directive) to the extent that such
amendments have been implemented in the Relevant Member State).
The Notes have not been and will not be registered under the United States Securities Act of 1933, as
amended (the Securities Act) or any state securities law. The Notes are being offered and sold outside the
United States to non-U.S. persons in reliance on Regulation S under the Securities Act (Regulation S) and
may not be offered or sold within the United States or to, or for the account or benefit of, any U.S. person (as
defined in Regulation S). Each purchaser of the Notes or any beneficial interest therein will be deemed to
have represented and agreed that it is outside the United States and is not a U.S. person and will not sell,
pledge or otherwise transfer the Notes or any beneficial interest therein at any time within the United States
or to, or for the account or benefit of, a U.S. person, other than the Issuer or any affiliate thereof. The Notes
do not constitute, and have not been marketed as, contracts of sale of a commodity for future delivery (or
options thereon) subject to the United States Commodity Exchange Act, as amended, and trading in the
Notes has not been approved by the United States Commodity Futures Trading Commission under the
United States Commodity Exchange Act, as amended. For a description of certain restrictions on offers and
sales of Notes, see "General Information relating to the Programme and the Notes - Subscription and sale
and transfer and selling restrictions" in the Base Prospectus.
The Notes may not be offered or sold to, or acquired by, any person that is, or whose purchase and holding
of the Notes is made on behalf of or with "plan assets" of, an employee benefit plan subject to Title I of the
U.S. Employee Retirement Income Security Act of 1974, as amended (ERISA), a plan, individual retirement
account or other arrangement subject to Section 4975 of the U.S. Internal Revenue Code of 1986, as
amended (the Code) or an employee benefit plan or plan subject to any laws, rules or regulations
substantially similar to Title I of ERISA or Section 4975 of the Code.
PART A – CONTRACTUAL TERMS
The Notes are English Law Notes.
EMTN4850
1
Terms used herein shall be deemed to be defined as such for the purposes of the Conditions set forth under
the sections entitled "Terms and Conditions of the Notes" the Valuation and Settlement Schedule and the
Underlying Schedule applicable to the Underlying in the Base Prospectus and the Supplement which
together constitute a base prospectus for the purposes of the Prospectus Directive.
This document constitutes the Final Terms of the Notes described herein for the purposes of Article 5.4 of
the Prospectus Directive and must be read in conjunction with the Base Prospectus as so supplemented. Full
information on the Issuer and the offer of the Notes is only available on the basis of the combination of this
Final Terms and the Base Prospectus as so supplemented.
The Base Prospectus and the Supplement are available for viewing at the offices of the Paying Agents and on
the web-site of the Central Bank of Ireland (www.centralbank.ie). In addition, this Final Terms is available
on the web-site of the Central Bank of Ireland (www.centralbank.ie).
For the purposes hereof, Base Prospectus means the Citigroup Inc. Underlying Linked Notes Base
Prospectus relating to the Programme dated 25 September 2013, as supplemented by a Supplement (No.1)
dated 11 November 2013 (the Supplement).
2.
3.
(i)
Issuer:
Citigroup Inc.
(ii)
Guarantor:
Not Applicable
(i)
Series Number:
EMTN4850
(ii)
Tranche Number:
1
(iii)
Date on which the Notes will be
consolidated and form a single
Series:
Not Applicable
4.
Specified Currency or Currencies:
5.
Aggregate Principal Amount:
United States Dollar (USD)
(i)
Series:
Up to USD15,000,000. It is anticipated that the final
Aggregate Principal Amount of the Notes to be issued
on the Issue Date will be published by the Issuer on
the web-site of the Central Bank of Ireland
(www.centralbank.ie) on or around 7 April 2014
(ii)
Tranche:
Up to USD15,000,000, It is anticipated that the final
Aggregate Principal Amount of the Notes to be issued
on the Issue Date will be published by the Issuer on
the web-site of the Central Bank of Ireland
(www.centralbank.ie) on or around 7 April 2014
6.
Issue Price:
100 per cent. of the Aggregate Principal Amount
7.
(i)
Specified Denominations:
USD1,000
(ii)
Calculation Amount:
USD1,000
(i)
Issue Date:
10 April 2014
(ii)
Interest Commencement Date:
Not Applicable
8.
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2
9.
Maturity Date:
10 April 2018
10.
Type of Notes:
The Notes do not bear or pay any interest
Mandatory Early Redemption Provisions
applicable as specified in item 15(iii) below
are
The Redemption Amount of the Notes is determined
in accordance with item 15(ix) and, as the Underlying
Linked Notes Redemption Provisions are applicable,
item 15(x) below
The Notes are Cash Settled Notes
11.
Put/Call Options:
Not Applicable
12.
(i)
Status of the Notes:
Senior
(ii)
Status of the CGMFL Deed of
Guarantee:
Not Applicable
PROVISIONS RELATING TO UNDERLYING LINKED NOTES
13.
Applicable – the provisions in the Valuation and
Settlement Schedule apply (subject as provided in
any relevant Underlying Schedule)
Underlying Linked Notes Provisions:
(i)
(ii)
Underlying:
(A)
Description of
Underlying(s):
EURO STOXX 50® (Price) Index
(B)
Classification:
Security Index
(C)
Electronic Page:
Bloomberg page SX5E <Index>
Particulars in
Underlying:
respect
of
each
Security Index/Indices:
(iii)
(A)
Type of Index:
Multiple Exchange Index
(B)
Related Exchange(s):
All Exchanges
(C)
Single Valuation Time:
Not Applicable
(D)
Same Day Publication:
Applicable
Elections in respect of each type of
Underlying:
Security Index/Indices:
Additional Disruption Event(s):
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Increased Cost of Stock Borrow
3
Loss of Stock Borrow
(iv)
Trade Date:
31 March 2014
(v)
Realisation Disruption:
Not Applicable
(vi)
Hedging
Disruption
Termination Event:
Early
Applicable
PROVISIONS RELATING TO ANY INTEREST AMOUNT, THE REDEMPTION AMOUNT AND
ANY ENTITLEMENT DELIVERABLE
14.
Interest Provisions:
15.
Redemption Provisions:
Not Applicable – the Notes do not bear or pay
interest
(i)
Issuer Call
Not Applicable
(ii)
Investor Put
Not Applicable
(iii)
Mandatory Early Redemption
Provisions
Applicable
(A)
Mandatory
Early
Redemption Strike Level,
Specified
MER
Valuation Date, Specified
MER Upper Barrier
Event Valuation Date,
Lower MER Barrier
Level,
Upper
MER
Barrier Level, MER
Barrier Level, Specified
MER Barrier Observation
Date, MER Amount,
Upper Mandatory Early
Redemption Amount and
Lower Mandatory Early
Redemption
Amount,
MERPR, MERPR Call,
MERPR Put, MER Date
(as relevant):
See Table below
(B)
Specified
Mandatory
Early Redemption Strike
Date:
31 March 2014
Applicable
Underlying(s) relevant to Mandatory
Early Redemption, Mandatory Early
Redemption Performance Provisions
and levels of the Mandatory Early
Redemption Underlying(s)
(A)
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Mandatory Early
The Underlying specified in item 12 above
4
Redemption Underlying:
(B)
Mandatory Early
Redemption Barrier
Underlying(s):
The Mandatory Early Redemption Underlying
Mandatory
Early
Redemption
Performance Provisions:
Not Applicable
(iv)
Provisions relating to levels of the
Mandatory
Early
Redemption
Underlying(s)
Not Applicable
(v)
Provisions relating to a Mandatory
Early Redemption Barrier Event
Applicable
Mandatory Early Redemption
Barrier Event:
In respect of the Mandatory Early Redemption
Underlying: Applicable – Mandatory Early
Redemption Barrier Event European Observation
(vi)
Provisions relating to a Mandatory
Early Redemption Upper Barrier
Event:
Not Applicable
(vii)
Provisions relating to the Mandatory
Early Redemption Amount
(viii)
(A)
Mandatory Early
Redemption Amount due
where MER Upper Barrier
Percentage is Not
Applicable:
See MER Amount in Table below
(B)
Mandatory Early
Redemption Amount due
where MER Upper Barrier
Percentage is Applicable:
Not Applicable
(C)
Performance-Linked
Mandatory Early
Redemption Amount:
Not Applicable
Mandatory
Early
Redemption
Underlying Valuation Provisions
(A)
Valuation Disruption
(Scheduled Trading Days):
The provisions of Condition 2(c)(i) of the Valuation
and Settlement Schedule apply.
(B)
Valuation Disruption
(Disrupted Days):
The provisions of Condition 2(d)(i) of the Valuation
and Settlement Schedule apply.
(C)
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Valuation Roll:
Eight
5
TABLE
MER Barrier Level (%)
Specified MER Barrier
Observation Date
MER Amount
MER Date
100%
31 March 2015
USD1,065
10 April 2015
95%
31 March 2016
USD1,130
11 April 2016
90%
31 March 2017
USD1,195
10 April 2017
(ix)
Redemption Amount:
(x)
Underlying
Linked
Redemption Provisions
See item (x) below
Notes Applicable
Dates
(xi)
(xii)
(A)
Specified Redemption
Barrier Observation Date:
3 April 2018
(B)
Specified Final Valuation
Date:
3 April 2018
(C)
Specified Redemption
Strike Date:
31 March 2014
Underlying(s)
relevant
to
redemption,
Final
Performance
provisions and levels of the
Redemption Underlying(s)
(A)
Redemption
Underlying(s):
The Underlying specified in item 12 above
(B)
Redemption Barrier
Underlying(s):
The Redemption Underlying
Final Performance Provisions:
(A)
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Single Underlying
Observation:
Applicable
I.
Maximum Final
Performance
Percentage:
Not Applicable
II.
Minimum Final
Performance
Percentage:
Not Applicable
III.
Maximum Final
Performance
Percentage (Barrier
Event):
Not Applicable
6
(xiii)
Minimum Final
Performance
Percentage (Barrier
Event):
Not Applicable
V.
Maximum Final
Performance
Percentage (Barrier
Event Satisfied):
Not Applicable
VI.
Minimum Final
Performance
Percentage (Barrier
Event Satisfied):
Not Applicable
VII.
Maximum Final
Performance
Percentage (Barrier
Event Not Satisfied):
Not Applicable
VIII.
Minimum Final
Performance
Percentage (Barrier
Event Not Satisfied):
Not Applicable
IX.
Final Performance
Adjustment
Percentage:
Not Applicable
(B)
Weighted Basket
Observation:
Not Applicable
(C)
Best of Basket
Observation:
Not Applicable
(D)
Worst of Basket
Observation:
Not Applicable
(E)
Outperformance
Observation:
Not Applicable
(F)
Arithmetic Mean
Underlying Return:
Not Applicable
(G)
Cliquet:
Not Applicable
(H)
Himalaya Final
Performance – Asian
Observation:
Not Applicable
Provisions relating to levels of the
Redemption Underlying(s)
(A)
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IV.
Redemption Initial Level:
Closing Level on Redemption Strike Date
7
(xiv)
(xv)
(B)
Final Reference Level:
Closing Level on Final Valuation Date
(C)
Redemption Strike Level:
Zero
Provisions relating to a Redemption
Barrier Event
(A)
Redemption Barrier
Event:
Applicable – Redemption Barrier Event European
Observation
(B)
Final Barrier Level:
less than 75% of the Redemption Initial Level of
the relevant Redemption Barrier Underlying
Provisions relating to the redemption
amount
due
or
entitlement
deliverable
Provisions
applicable
where
Redemption Barrier Event is Not
Applicable and the Redemption
Amount is a Performance-Linked
Redemption Amount:
Redemption Amount:
Provisions
Redemption
Applicable
Not Applicable
applicable
where
Barrier Event is
(A)
Provisions applicable to
Physical Delivery:
Not Applicable
(B)
Redemption Upper
Barrier Event:
Applicable
Redemption Barrier Event Underlying Closing
Level
greater than or equal to
The Specified Redemption Upper Barrier Event
Valuation Date will be 3 April 2018.
(C)
Redemption Amount due
where no Redemption
Barrier Event has
occurred and no
Redemption Upper
Barrier Event is specified:
Not Applicable
(D)
Redemption Upper
Barrier Percentage:
85% of the Redemption Initial Level for the
Redemption Underlyings
I.
EMTN4850
Upper Redemption Applicable – USD1,260 per Calculation Amount
Amount due where
8
no
Redemption
Barrier Event has
occurred:
Lower Redemption Applicable – USD1,000 per Calculation Amount
Amount due where
no
Redemption
Barrier Event has
occurred:
II.
(E)
Performance-Linked
Amount:
EMTN4850
Applicable – the Performance-Linked Redemption
Amount determined in accordance with the Put
Option Provisions
Redemption Amount due
where a Redemption
Barrier Event has
occurred:
Redemption
Put Option:
Applicable: if a Redemption Barrier Event occurs
I.
Relevant Percentage:
Not Applicable
II.
Maximum
Redemption
Amount:
Not Applicable
III.
Minimum
Redemption
Amount:
Not Applicable
IV.
Maximum
Not Applicable
Redemption Amount
(Barrier
Event
Satisfied):
V.
Minimum
Not Applicable
Redemption Amount
(Barrier
Event
Satisfied):
VI.
Maximum
Not Applicable
Redemption Amount
(Barrier Event Not
Satisfied):
VII.
Minimum
Not Applicable
Redemption Amount
(Barrier Event Not
Satisfied):
VIII.
Final Participation Not Applicable
Rate (FPR):
IX.
Redemption
Adjustment:
Not Applicable
9
Call Option:
Not Applicable
Call Spread – Put Spread Not Applicable
Option:
(xvi)
Twin Win Option:
Not Applicable
Market Timer
Not Applicable
Put Call Sum
Not Applicable
Redemption Underlying Valuation
Provisions
(A)
Valuation Disruption
(Scheduled Trading
Days):
The provisions of Condition 2(c)(i) of the Valuation
and Settlement Schedule apply.
(B)
Valuation Disruption
(Disrupted Days):
The provisions of Condition 2(d)(i) of the Valuation
and Settlement Schedule apply.
(C)
Valuation Roll:
Eight
16.
FX Provisions:
Not Applicable
17.
FX Performance:
Not Applicable
GENERAL PROVISIONS APPLICABLE TO THE NOTES
18.
Registered Notes
Form of Notes:
Regulation S Global Registered Note Certificate
registered in the name of a nominee for a common
depositary for Euroclear and Clearstream,
Luxembourg
19.
New
Global
Structure:
20.
Business Centres:
21.
Business Day Jurisdiction(s) or other special London and New York City Business Days
provisions relating to payment dates:
22.
Talons for future Coupons to be attached to Not Applicable
Definitive Notes (and dates on which such
Talons mature):
23.
Redenomination,
renominalisation
reconventioning provisions:
24.
Consolidation provisions:
The provisions of Condition 12 of the General
Conditions apply
25.
Name and address of Calculation Agent:
Citigroup Global Markets Limited (acting through
EMTN4850
Note/New
Safekeeping Not Applicable
London and New York City Business Days
and Not Applicable
10
its Equity exotics desk (or any successor
department/group)) at Citigroup Centre, Canada
Square, Canary Wharf, London E14 5LB, United
Kingdom
26.
Determinations:
EMTN4850
Commercial Determination
11
Signed on behalf of the Issuer:
By:
Digitally signed by James McFadden
DN: cn=James McFadden, ou=ADOBE(r)CDS, o=Citigroup Inc., c=US,
[email protected]
Date: 2014.02.27 16:05:02 -05'00'
.............................................................................
Duly authorised
EMTN4850
12
PART B – OTHER INFORMATION
1.
LISTING AND ADMISSION TO TRADING
Admission to trading and listing:
2.
Application has been/is expected to be made by the
Issuer (or on its behalf) for the Notes to be admitted
to trading on the Regulated Market of the Irish Stock
Exchange and listed on the official list of the Irish
Stock Exchange with effect from on or around the
Issue Date.
RATINGS
Ratings:
3.
The Notes are not rated.
INTERESTS OF NATURAL AND LEGAL PERSONS INVOLVED IN THE ISSUE/OFFER
Save for any fees payable to Authorised Offeror(s), so far as the Issuer is aware, no person involved
in the offer of the Notes has an interest material to the Offer.
4.
5.
REASONS FOR THE OFFER, ESTIMATED NET PROCEEDS AND TOTAL EXPENSES
(i)
Reasons for the Offer:
See "Use of Proceeds" in Section D.1 – Description
of Citigroup Inc. in the Base Prospectus.
(ii)
Estimated net proceeds:
An amount equal to the final Aggregate Principal
Amount of the Notes issued on the Issue Date. For
the avoidance of doubt, the estimated net proceeds
reflect the proceeds to be received by the Issuer on
the Issue Date. They are not a reflection of the fees
payable by/to the Dealer and the Distributor(s).
(iii)
Estimated total expenses:
Approximately EUR15,000 (legal and listing fees).
INFORMATION ABOUT THE PAST AND
VOLATILITY OF THE OR EACH UNDERLYING
FURTHER
PERFORMANCE
AND
Information about the past and further performance of the or each Underlying is available from the
applicable Electronic Page(s) specified for such Underlying in Part A above.
6.
DISCLAIMER
EURO STOXX 50® (PRICE) INDEX
STOXX Limited (STOXX) and its licensors (the Licensors) have no relationship to the Issuer
or the Dealer, other than the licensing of the EURO STOXX 50® (Price) Index (the SX5E
Index) and the related trademarks for use in connection with the Notes.
STOXX and its Licensors do not:
 Sponsor, endorse, sell or promote the Notes.
 Recommend that any person invest in the Notes or any other securities.
 Have any responsibility or liability for or make any decisions about the timing, amount or pricing
of Notes.
EMTN4850
13
 Have any responsibility or liability for the administration, management or marketing of the Notes.
 Consider the needs of the Notes or the owners of the Notes in determining, composing or
calculating the SX5E Index or have any obligation to do so.
STOXX and its Licensors will not have any liability in connection with the Notes. Specifically,

STOXX and its Licensors do not make any warranty, express or implied and disclaim any
and all warranty about:

The results to be obtained by the Notes, the owner of the Notes or any other person in
connection with the use of the SX5E Index and the data included in the SX5E Index;

The accuracy or completeness of the SX5E Index and its data;

The merchantability and the fitness for a particular purpose or use of the SX5E Index
and its data;

STOXX and its Licensors will have no liability for any errors, omissions or interruptions
in the SX5E Index or its data;

Under no circumstances will STOXX or its Licensors be liable for any lost profits or
indirect, punitive, special or consequential damages or losses, even if STOXX or its
Licensors knows that they might occur.
The licensing agreement between the Issuer and STOXX is solely for their benefit and not for
the benefit of the owners of the Notes or any other third parties.
Bloomberg®
Certain information contained in this Final Terms consists of extracts from or summaries of
information that is publicly-available from Bloomberg L.P. (Bloomberg®). The Issuer accepts
responsibility for accurately reproducing such extracts or summaries and, as far as the Issuer is
aware and is able to ascertain from such publicly-available information, no facts have been omitted
which would render the reproduced information inaccurate or misleading. Bloomberg® makes no
representation, warranty or undertaking, express or implied, as to the accuracy of the reproduction of
such information, and accepts no responsibility for the reproduction of such information or for the
merits of an investment in the Notes. Bloomberg® does not arrange, sponsor, endorse, sell or
promote the issue of the Notes.
7.
OPERATIONAL INFORMATION
ISIN Code:
XS1034945326
Common Code:
103494532
CUSIP:
Not Applicable
WKN:
Not Applicable
Valoren:
Not Applicable
Any clearing system(s) other than Euroclear
Bank S.A./N.V., Clearstream Banking,
société anonyme and DTC and the relevant
identification number(s) and details relating
to the relevant depositary, if applicable:
Not Applicable
EMTN4850
14
8.
Delivery:
Delivery versus payment
Names and address of the Swedish Notes
Issuing and Paying Agent (if any):
Not Applicable
Names and address of the Finnish Notes
Issuing and Paying Agent (if any):
Not Applicable
Names and addresses of additional Paying
Agent(s) (if any):
Not Applicable
Intended to be held in a manner which would
allow Eurosystem eligibility:
No. Whilst the designation is specified as "no" at the
date of these Final Terms, should the Eurosytem
eligibility criteria be amended in the future such that
the Notes are capable of meeting them the Notes
may then be deposited with one of the ICSDs as
common safekeeper, and registered in the name of a
nominee of one of the ICSDs acting as common
safekeeper, that is, held under the NSS. Note that
this does not necessarily mean that the Notes will
then be recognised as eligible collateral for
Eurosystem monetary policy and intra day credit
operations by the Eurosystem at any time during
their life. Such recognition will depend upon the
ECB being satisfied that Eurosystem eligibility
criteria have been met.
DISTRIBUTION
(i)
Method of distribution:
Non-syndicated
(ii)
If syndicated, names and addresses
of the Lead Manager and the other
Managers
and
underwriting
commitments:
Not Applicable
(iii)
Date of Subscription Agreement:
Not Applicable
(iv)
Stabilising Manager(s) (if any):
Not Applicable
(v)
If non-syndicated, name and address
of Dealer:
Citigroup Global Markets Limited at Citigroup
Centre, Canada Square, Canary Wharf, London E14
5LB, United Kingdom.
(vi)
Total commission and concession:
Up to 3.00 per cent. of the Aggregate Principal
Amount which comprises the initial distribution fee
payable to the Authorised Offeror. Investors can
obtain more information about this fee by contacting
the relevant Authorised Offeror or the Dealer at the
relevant address(es) set out herein.
In addition to the Spanish Offer Price, the
Authorised Offeror may charge investors in Spain an
initial participation commission of up to 2.00 per
EMTN4850
15
cent. of the Aggregate Principal Amount. Investors
can obtain more information about this fee by
contacting the Authorised Offeror at the address(es)
set out herein.
(vii)
Swiss selling restrictions:
Not Applicable
(viii)
Non-exempt Offer:
An offer (the Spanish Offer) of the Notes may be
made by Citibank España SA (the Spanish Initial
Authorised Offeror(s)) other than pursuant to
Article 3(2) of the Prospectus Directive during the
period from (and including) 3 March 2014 to (and
including) 31 March 2014 (the Spanish Offer
Period) in the Kingdom of Spain (Spain).
If the Issuer receives subscriptions for Notes with an
Aggregate Principal Amount of USD15,000,000, the
Issuer may close the Spanish Offer Period before 31
March 2014.
In the event that the Spanish Offer Period is
shortened as described above, the Issuer shall publish
a notice on the web-site of the Central Bank of
Ireland (www.centralbank.ie).
Offers (if any) in any Member State other than the
Public Offer Jurisdiction(s) will only be made
pursuant to an exemption from the obligation under
the Prospectus Directive as implemented in such
countries to publish a prospectus.
Authorised Offeror(s) means the Initial Authorised
Offeror(s).
Initial Authorised Offeror(s) means the Spanish
Initial Authorised Offeror(s).
Public Offer Jurisdiction(s) means Spain
See further Paragraph 9 below.
9.
(ix)
General Consent:
Not Applicable
(x)
Other conditions to consent:
Not Applicable
TERMS AND CONDITIONS OF THE OFFER
Offer Price:
The offer price in respect of each Calculation
Amount offered by the Spanish Initial Authorised
Offeror(s) to investors in Spain (the Spanish Offer
Price) is USD1,000.
In addition to the Spanish Offer Price, the Spanish
Initial Authorised Offeror may charge an initial
participation commission as set out in item 8(vi) of
EMTN4850
16
this Part B above.
Conditions to which the Offer is subject:
The Issuer reserves the right, in its absolute
discretion, to cancel the Spanish Offer and the issue
of the Notes in Spain at any time prior to the Issue
Date. In such an event all application monies
relating to applications for Notes under the Spanish
Offer will be returned (without interest) to
applicants at the applicant's risk by no later than 30
days after the date on which the Spanish Offer of the
Notes is cancelled. Application monies will be
returned by cheque mailed to the applicant's address
as indicated on the application form, or by wire
transfer to the bank account as detailed on the
application form or by any other method as the
Issuer deems to be appropriate
The Issuer shall publish a notice on the web-site of
the Central Bank of Ireland (www.centralbank.ie) in
the event that the Spanish Offer is cancelled and the
Notes are not issued in Spain pursuant to the above
Description of the application process:
Applications for the purchase of Notes may be made
by a prospective investor to the Spanish Initial
Authorised Offeror(s)
Pursuant to anti-money laundering laws and
regulations in force in the United Kingdom, the
Issuer, Citigroup Global Markets Limited or any of
their authorised agents may require evidence in
connection with any application for Notes, including
further identification of the applicant(s), before any
Notes are issued
Each prospective investor in Spain should ascertain
from the Spanish Initial Authorised Offeror(s) when
the Spanish Initial Authorised Offeror(s) will require
receipt of cleared funds from it in respect of its
application for the purchase of any Notes and the
manner in which payment should be made to the
Spanish Initial Authorised Offeror(s)
Description of possibility to reduce
subscriptions and manner for refunding
excess amount paid by applicants:
The Issuer may decline applications and/or accept
subscriptions which would exceed the Aggregate
Principal Amount of USD15,000,000 as further
detailed below
It may be necessary to scale back applications under
the Spanish Offer due to over-subscription
The Issuer therefore reserves the right, in its absolute
discretion, to decline valid applications for Notes
under the Spanish Offer. Accordingly, an applicant
for Notes may, in such circumstances, not be issued
EMTN4850
17
the number of Notes for which it has applied
Excess application monies will be returned (without
interest) by cheque mailed to the relevant applicant's
address as indicated on the application form, or by
wire transfer to the bank account as detailed on the
application form or by any other method as the
Issuer deems to be appropriate
The Issuer also reserves the right to accept any
subscriptions for Notes which would exceed the 'up
to' aggregate principal amount of the Notes of
USD15,000,000 and the Issuer may increase the 'up
to' aggregate principal amount of the Notes
The Issuer shall either publish a new final terms in
respect of any fungible increase in aggregate
principal amount or shall publish a supplement in
respect thereof on the web-site of the Central Bank
of Ireland (www.centralbank.ie)
Details of the minimum and/or maximum
amount of application:
The minimum
USD10,000
amount
of
a
subscription
is
Details of the method and time limits for
paying up and delivering the Notes:
Notes will be available on a delivery versus payment
basis
The Issuer estimates that the Notes will be delivered
to the purchaser's respective book-entry securities
accounts on or around the Issue Date
Manner in and date on which results of the
offer are to be made public:
By means of a notice published by the Issuer on the
web-site of the Central Bank of Ireland
(www.centralbank.ie)
Procedure for exercise of any right of preemption, negotiability of subscription rights
and treatment of subscription rights not
exercised:
Not Applicable
Whether tranche(s) have been reserved for
certain countries:
Not Applicable
Process for notification to applicants of the
amount allotted and the indication whether
dealing may begin before notification is
made:
Applicants will be notified directly by the Spanish
Initial Authorised Offeror(s) of the success of their
application
Dealing in the Notes may commence on the Issue
Date
Amount of any expenses and taxes
specifically charged to the subscriber or
purchaser:
Apart from the Spanish Offer Price, the Issuer is not
aware of any expenses and taxes specifically charged
to the subscriber or purchaser
For details of withholding taxes applicable to
EMTN4850
18
subscribers in Spain see the section entitled "Spanish
Taxation" under "Taxation of Notes" in the Base
Prospectus
Name(s) and address(es), to the extent
known to the Issuer, of the placers in the
various countries where the offer takes
place.
The Notes will be publicly offered in Spain through
the Spanish Authorised Offeror(s) at the following
location and during the hours in which banks are
generally open for business in Madrid:
Citibank España SA
Avenida de Europa, 19
Parque Empresarial la Moraleja
28108 Alcobendas, Madrid
Spain
10.
UNITED STATES TAX CONSIDERATIONS
For U.S. federal income tax purposes, the Issuer will treat the Notes as options.
EMTN4850
19
ANNEX
SUMMARY OF THE NOTES
SECTION A – SUMMARY
Summaries are made up of disclosure requirements known as "Elements". These Elements are numbered in
Sections 0 – E (A.1 – E.7). This Summary contains all the Elements required to be included in a summary for
Notes, the Issuer and the Guarantor (where the Issuer is CGMFL). Because some Elements are not required
to be addressed, there may be gaps in the numbering sequence of the Elements. Even though an Element may
be required to be inserted in a summary because of the type of securities, issuer and guarantor, it is possible
that no relevant information can be given regarding the Element. In this case a short description of the
Element should be included in the summary explaining why it is not applicable.
SECTION A – INTRODUCTION AND WARNINGS
Element
Title
A.1
Introduction
This summary should be read as an introduction to the Base Prospectus
and the applicable Final Terms. Any decision to invest in the Notes
should be based on consideration of the Base Prospectus as a whole,
including any documents incorporated by reference and the applicable
Final Terms. Where a claim relating to information contained in the Base
Prospectus and the applicable Final Terms is brought before a court, the
plaintiff investor might, under the national legislation of the Member
States, have to bear the costs of translating the Base Prospectus and the
applicable Final Terms before the legal proceedings are initiated. Civil
liability in Member States attaches only to those persons who have tabled
the summary including any translation thereof, but only if the summary
is misleading, inaccurate or inconsistent when read together with the
other parts of the Base Prospectus and the applicable Final Terms, or it
does not provide, when read together with the other parts of the Base
Prospectus and the applicable Final Terms, key information in order to
aid investors when considering whether to invest in the Notes.
A.2
Consent
The Notes may be offered in circumstances where there is no exemption from
the obligation under the Prospectus Directive to publish a prospectus (a Nonexempt Offer).
Non-exempt Offer in the Kingdom of Spain:
Subject to the conditions set out below, Citigroup Inc. consent(s) to the use of
this Base Prospectus in connection with a Non-exempt Offer of Notes by
Citibank España SA
(an Authorised Offeror in the Kingdom of Spain).
Citigroup Inc.'s consent referred to above is given for Non-exempt Offers of
Notes during the period from (and including) 3 March 2014 to (and including)
31 March 2014 (the Spanish Offer Period).
The conditions to the consent of Citigroup Inc. are that such consent:
EMTN4850
20
Element
Title
(a)
is only valid during the Spanish Offer Period; and
(b)
only extends to the use of this Base Prospectus to make Non-exempt
Offers of the relevant Tranche of Notes in the Kingdom of Spain.
AN INVESTOR INTENDING TO ACQUIRE OR ACQUIRING ANY
NOTES IN A NON-EXEMPT OFFER FROM AN AUTHORISED
OFFEROR WILL DO SO, AND OFFERS AND SALES OF SUCH
NOTES TO AN INVESTOR BY SUCH AUTHORISED OFFEROR
WILL BE MADE, IN ACCORDANCE WITH ANY TERMS AND
OTHER ARRANGEMENTS IN PLACE BETWEEN SUCH
AUTHORISED OFFEROR AND SUCH INVESTOR INCLUDING AS
TO PRICE, ALLOCATIONS AND SETTLEMENT ARRANGEMENTS.
THE INVESTOR MUST LOOK TO THE AUTHORISED OFFEROR
AT THE TIME OF SUCH OFFER FOR THE PROVISION OF SUCH
INFORMATION AND THE AUTHORISED OFFEROR WILL BE
RESPONSIBLE FOR SUCH INFORMATION.
EMTN4850
21
SECTION B – ISSUERS AND GUARANTOR
B.1
Legal and
commercial
name of the
Issuer
Citigroup Inc.
B.2
Domicile/legal
form/
legislation/
country of
incorporation
Citigroup Inc. was established as a corporation incorporated in Delaware
pursuant to the Delaware General Corporation Law.
B.4b
Trend
information
The banking environment and markets in which the Group conducts its
business will continue to be strongly influenced by developments in the U.S.
and global economies, including the results of the European Union sovereign
debt crisis and the implementation and rulemaking associated with recent
financial reform.
B.5
Description of
the Group
Citigroup Inc. is a holding company and services its obligations primarily with
dividends and advances that it receives from subsidiaries (Citigroup Inc. and
its subsidiaries, the Group)
Citigroup Inc. is a global diversified financial services holding company
whose businesses provide consumers, corporations, governments and
institutions with a broad range of financial products and services. Citigroup
Inc. has approximately 200 million customer accounts and does business in
more than 160 countries and jurisdictions. Citigroup Inc. currently operates,
for management reporting purposes, via two primary business segments:
Citicorp, consisting of Citigroup Inc.'s Global Consumer Banking businesses
(which consists of Regional Consumer Banking in North America, Europe,
the Middle East and Africa, Asia and Latin America) and the Institutional
Clients Group (Securities and Banking, including the Private Bank, and
Transaction Services); and Citi Holdings, which consists of Brokerage and
Asset Management, Local Consumer Lending, and a Special Asset Pool.
There is also a third segment, Corporate/Other.
B.9
Profit forecast
or estimate
Not Applicable. Citigroup Inc. has not made a profit forecast or estimate in
this Base Prospectus.
B.10
Audit report
qualifications
Not Applicable. There are no qualifications in any audit report on the
historical financial information included in the Base Prospectus.
B.12
Selected
historical key
financial
information:
The table below sets out a summary of key financial information extracted
from Citigroup Inc.'s Financial Report for the fiscal year ended on 31
December 2012:
At or for the year ended 31
December
2012
2011
(audited)
(audited)
(in millions of U.S. dollars)
EMTN4850
22
Income Statement Data:
Total revenues, net of interest expense ...........
Income from continuing operations .............
Net Income ....................................................
Balance Sheet Data:
Total assets .....................................................
Total deposits .................................................
Long-term debt (including U.S.$29,764 and
U.S.$ 24,172 at 31 December 2012 and 2011,
respectively, at fair value) ..............................
Total stockholders' equity ...............................
69,128
7,818
7,541
77,331
11,147
11,067
1,864,660
930,560
1,873,878
865,936
239,463
189,049
323,505
177,806
The table below sets out a summary of key financial information extracted
from Citigroup Inc.'s Quarterly Report for the three and nine months ended 30
September 2013.
At or for the nine months
ended 30 September
2013
2012
(unaudited) (unaudited)
(in millions of U.S. dollars)
Income Statement Data:
Total revenues, net of interest expense ...........
Income from continuing operations................
Net Income .....................................................
58,586
11,305
11,217
51,211
6,509
6,345
At or for the three months
ended 30 September
2012
2013
(unaudited)
(unaudited)
(in millions of U.S. dollars)
Income Statement Data:
Total revenues, net of interest expense
Income from continuing operations
Net Income
17,880
3,186
3,227
13,703
485
468
As at 30 September
2013
2012
(unaudited)
(unaudited)
Balance Sheet Data:
Total assets .....................................................
Total deposits .................................................
Long-term debt ...............................................
Total stockholders' equity ...............................
1,899,511
955,460
221,593
200,846
1,931,346
944,644
271,862
186,777
Statements of no significant or material adverse change
There has been: (i) no significant change in the financial or trading position of
Citigroup Inc. or Citigroup Inc. and its subsidiaries as a whole since 30
September 2013 and (ii) no material adverse change in the financial position,
business or prospects of Citigroup Inc. or Citigroup Inc. and its subsidiaries as
a whole since 31 December 2012.
EMTN4850
23
B.13
Events
impacting the
Issuer's
solvency
Not Applicable. There are no recent events particular to Citigroup Inc. which
are to a material extent relevant to the evaluation of Citigroup Inc.'s solvency
since 31 December 2012.
B.14
Dependence
upon other
group entities
See Element description of Citigroup Inc. and its subsidiaries and Citigroup
Inc.'s position within the Group.
B.15
Principal
activities
Citigroup Inc. is a global diversified financial services holding company
whose businesses provide consumers, corporations, governments and
institutions with a broad range of financial products and services.
B.16
Controlling
shareholders
Citigroup Inc. is not aware of any shareholder or group of connected
shareholders who directly or indirectly control Citigroup Inc.
B.17
Credit ratings
Citigroup Inc. has a long term/short term senior debt rating of A-/A-2 by
Standard & Poor's Financial Services LLC, Baa2/P-2 by Moody's Investors
Service, Inc. and A/F1 by Fitch, Inc.
A security rating is not a recommendation to buy, sell or hold securities and
may be subject to suspension, reduction or withdrawal at any time by the
assigning rating agency.
EMTN4850
24
SECTION C.3 – SECURITIES
Element
Title
C.1
Description of
Notes/ISIN
Notes are issued in Series. The Series number is EMTN4850. The Tranche
number is 1.
The International Securities Identification Number (ISIN) is XS1034945326.
The Common Code is 103494532.
C.2
Currency
The Notes are denominated in United States dollar (USD) and the specified
currency for payments in respect of the Notes is USD.
C.5
Restrictions on
the free
transferability
of the Notes
The Notes will be transferable, subject to offering, selling and transfer
restrictions with respect to the United States, European Economic Area,
United Kingdom, Australia, the Kingdom of Bahrain, Brazil, Chile, Columbia,
Costa Rica, Republic of Cyprus, Denmark, Dominican Republic, Dubai
International Financial Centre, Ecuador, El Salvador, Finland, France,
Guatemala, Honduras, Hong Kong Special Administrative Region, Hungary,
Ireland, Israel, Italy, Japan, Kuwait, Mexico, Norway, Oman, Panama,
Paraguay, Peru, Poland, Portugal, Qatar, Russian Federation, Kingdom of
Saudi Arabia, Singapore, Taiwan, Republic of Turkey and United Arab
Emirates and Uruguay and the laws of any jurisdiction in which the Notes are
offered or sold.
C.8
Rights attached
to the Notes,
including
ranking and
limitations on
those rights
The Notes have terms and conditions relating to, among other matters:
Ranking
The Notes will constitute unsubordinated and unsecured obligations of the
Issuer and rank and will at all times rank pari passu and rateably among
themselves and at least pari passu with all other unsecured and
unsubordinated obligations of the Issuer save for such obligations as may be
preferred by provisions of law that are both mandatory and of general
application.
Negative pledge and cross default
The terms of the Notes will not contain a negative pledge provision or a crossdefault provision in respect of the Issuer.
Events of default
The terms of the Notes will contain, amongst others, the following events of
default: (a) default in payment of any principal or interest due in respect of the
Notes, continuing for a period of 30 days in the case of interest or 10 days in
the case of principal, in each case after the due date; (b) default in the
performance, or breach, of any other covenant by the Issuer, and continuance
for a period of 60 days after the date on which written notice is given by the
holders of at least 25 per cent, in principal amount of the outstanding Notes
specifying such default or breach and requiring it to be remedied; (c) events
relating to the winding up or dissolution or similar procedure of the Issuer;
EMTN4850
25
Element
Title
and (d) the appointment of a receiver or other similar official or other similar
arrangement of the Issuer.
Taxation
Payments in respect of all Notes will be made without withholding or
deduction of taxes in Luxembourg where the Issuer is CGMFL or the United
Kingdom in the case of the Guarantor, subject in all cases to customary
exceptions or the United States where the Issuer is Citigroup Inc., subject to
specified exceptions and certain categories of Notes which are not treated as
debt for United States federal income tax purposes.
Meetings
The terms of the Notes contain provisions for calling meetings of holders of
such Notes to consider matters affecting their interests generally. These
provisions permit defined majorities to bind all holders, including holders who
did not attend and vote at the relevant meeting and holders who voted in a
manner contrary to the majority.
C.9
C.10
EMTN4850
Description of
the rights
attached to the
Notes,
including
nominal
interest rate,
the date from
which interest
becomes
payable and
interest
payment dates,
description of
the underlying
(where the rate
is not fixed),
maturity date,
repayment
provisions and
indication of
yield
See Element C.16 and Element C.18 below.
If the Note has
a derivative
component in
the interest
payment, a
clear and
comprehensive
explanation to
help investors
Not Applicable. The Notes do not bear or pay any interest.
The Notes do not bear or pay any interest
26
Element
Title
understand how
the value of
their
investment is
affected by the
value of the
underlying
instrument(s),
especially
under the
circumstances
when the risks
are most
evident.
C.11
Admission to
trading
Application has been made to the Irish Stock Exchange for the Notes to be
admitted to trading on the Irish Stock Exchange.
C.15
Description of
how the value
of the
investment is
affected by the
value of the
underlying
instrument(s)
The Notes have a mandatory early redemption or 'autocall' feature which
means that, depending on the performance of the relevant underlying(s), the
Notes may be redeemed prior to the maturity date. Whether the Notes are
redeemed early is determined by reference to the performance of the relevant
underlying(s). Where the mandatory early redemption amount due is
calculated using the "performance linked mandatory early redemption
provisions", the amount of any such mandatory early redemption amount is
determined by reference to the performance of the relevant underlying(s). If
the Notes are redeemed early, only the mandatory early redemption amount is
payable and no further amount shall be due or assets deliverable.
The redemption amount payable at maturity depends on the performance of
the relevant underlying(s).
See also Element C.18 below.
C.16
Maturity date
and final
reference date
The maturity date is 10 April 2018. See the provisions relating to valuation
dates in Element C.18 below in relation to the final reference date.
Early redemption
See "Events of default" in Element C.8 above and "Disrupted Days, Market
Disruption Events and Adjustments" below for information on early
redemption in relation to the Notes.
In addition, (a) the Notes may be redeemed early for certain taxation reasons;
and (b) if the Issuer determines that performance of its obligations of an issue
of Notes or that any arrangements made to hedge the Issuer's obligations
under the Notes has or will become illegal in whole or in part for any reason
the Issuer may redeem the Notes early and, if and to the extent permitted by
applicable law, will pay, in respect of each Note, an amount equal to the early
redemption amount.
The early redemption amount payable on any early redemption of the Notes
EMTN4850
27
Element
Title
will be an amount determined by the Calculation Agent to be the fair market
value of the Notes on a day selected by the Issuer (which amount shall include
amounts in respect of accrued interest), but adjusted to fully account for
losses, expenses and costs to the Issuer (or any of its affiliates) of unwinding
any hedging and funding arrangements in relation to the Notes, provided that,
for the purposes of determining the fair market value of the Notes following
an event of default, no account shall be taken of the financial condition of the
Issuer which shall be presumed to be able to perform fully its obligations in
respect of the Notes.
C.17
Settlement
procedure of
derivative
securities
The Notes are cash settled Notes
C.18
Return on
derivative
securities
The Notes do not pay any interest
The mandatory early redemption amount due on the relevant mandatory
early redemption date if a mandatory early redemption event occurs will
be determined in accordance with the mandatory early redemption
provisions as follows
Mandatory early redemption
If (and only if), in respect of a mandatory early redemption date, a mandatory
early redemption barrier event has occurred and as no "MER upper barrier
event" is specified, the Notes will be redeemed on the relevant mandatory
early redemption date at an amount for each calculation amount equal to the
amount specified as the MER amount for the relevant mandatory early
redemption (MER) date in the Table below.
If the Notes are redeemed early, only the relevant mandatory early redemption
amount shall be payable and no further amounts shall be paid or assets
deliverable.
Definitions relating to mandatory early redemption:
Dates
A mandatory early redemption barrier observation date or MER barrier
observation date is, in respect of a MER date, each date or dates specified as
such for such MER date in the Table below (subject to adjustment – see
"Disrupted Days, Market Disruption Events and Adjustments" below).
A mandatory early redemption date or MER date is each date specified as
such in the Table below.
The MER strike date(s) is 31 March 2014 (subject to adjustment – see
"Disrupted Days, Market Disruption Events and Adjustments" below).
Definitions relating to the underlying(s) relevant for mandatory early
EMTN4850
28
redemption, the performance of such underlying(s) and levels of such
underlying(s)
A MER underlying means the or each underlying specified as an underlying
for the purpose of the MER provisions in Element C.20 below.
Definitions relating to the determination of whether the mandatory early
redemption amount is due on a mandatory early redemption date
A mandatory early redemption barrier event or MER barrier event will
occur in respect of a MER date if, in the determination of the calculation
agent,
on the related MER barrier observation date, the underlying closing
level of the MER underlying(s) (the "MER barrier underlying(s)") is
greater than or equal to the relevant MER barrier level ("MER barrier
event european closing observation")
The MER barrier level is, in respect of a MER date,
the percentage specified for such MER date in the Table below.
TABLE
MER barrier level (%)
MER barrier
observation date
MER amount
MER date
100%
31 March 2015
USD1,065
10 April 2015
95%
31 March 2016
USD1,130
11 April 2016
90%
31 March 2017
USD1,195
10 April 2017
The redemption amount due on the maturity date will be determined in
accordance with the redemption provisions as follows
Redemption
If:
(a)
EMTN4850
a redemption barrier event has not occurred and as a "redemption
upper barrier event" is specified, then the Notes will be redeemed on
the maturity date at an amount for each calculation amount equal to
(I)
if a redemption upper barrier event has occurred (meaning that
the underlying closing level of the redemption underlying(s)
on the redemption upper barrier event valuation date is equal
to or greater than 85% (being the redemption upper barrier
percentage) of the redemption initial level for the relevant
redemption underlying(s), the redemption amount due where
an upper barrier event only has occurred being USD1,260 ;
OR
(II)
if a redemption upper barrier event has not occurred, the
redemption amount due where neither an upper barrier event
29
nor a redemption barrier event has occurred, being USD1,000
; OR
(B)
a redemption barrier event has occurred, then the redemption amount
due where a redemption barrier event only has occurred in respect of
each calculation amount will be the performance-linked redemption
amount determined in accordance with the put option provisions
below.
Definitions relating to redemption:
Dates
The final valuation date is 3 April 2018 (subject to adjustment – see
"Disrupted Days, Market Disruption Events and Adjustments" below).
The redemption barrier observation date is 3 April 2018 (subject to
adjustment – see "Disrupted Days, Market Disruption Events and
Adjustments" below).
The redemption strike date(s) is 31 March 2014 (subject to adjustment – see
"Disrupted Days, Market Disruption Events and Adjustments" below).
The redemption upper barrier event valuation date is 3 April 2018 (subject
to adjustment – see "Disrupted Days, Market Disruption Events and
Adjustments" below).
Definitions relating to the underlying(s) relevant for redemption, the
performance of such underlying(s) and levels of such underlying(s)
A redemption underlying means the or each underlying specified as an
underlying for the purpose of the redemption provisions in Element C.20
below.
The final performance underlying(s) or (FPU) is,
as "single underlying observation" applies, the redemption underlying
The final performance shall be determined in accordance with the:
"single underlying observation" provisions, meaning that the final
performance in respect of the redemption underlying is, in the determination
of the calculation agent, an amount expressed as a percentage equal to the
redemption underlying's final reference level less its redemption strike level,
all divided by its redemption initial level, expressed as a formula:
–
The redemption strike level for a redemption underlying is zero
The final reference level means, in respect of a final valuation date or, as the
case may be, final valuation dates and the or each redemption underlying:
for the purpose of determining if a redemption barrier event has
EMTN4850
30
occurred and the performance-linked redemption amount determined
in accordance with the put option provisions below "closing level on
final valuation date", being the underlying closing level for such
redemption underlying on such final valuation date
The redemption initial level means, in respect of a final valuation date or, as
the case may be, final valuation dates and the or each redemption underlying:
for the purpose of determining if a redemption barrier event has
occurred and the performance-linked redemption amount determined
in accordance with the put option provisions below "closing level on
redemption strike date", being the underlying closing level for such
redemption underlying for the redemption strike date
Definitions relating to the determination of the barrier event
A redemption barrier event will occur if, in the determination of the
calculation agent,
on the related redemption barrier observation date, the underlying closing level
of the redemption underlying (the "redemption barrier underlying(s)") is less
than the final barrier level ("redemption barrier event european closing
observation").
The final barrier level is 75% of the redemption initial level of the relevant
redemption barrier underlying.
Definitions relating to the determination of the performance-linked
redemption amount due
The performance-linked redemption amount determined in accordance
with the "put option provisions" means that the redemption amount will be
a "put option" amount
determined by the calculation agent to be the product of the calculation
amount (CA) and the sum of zero% (being the "relevant percentage") and the
final performance of the final performance underlying(s) (FPU) (which will
be less than the calculation amount), expressed as a formula:
(
)
The calculation amount or CA is USD1,000.
Disrupted Days, Market Disruption Events and Adjustments
The terms and conditions of the Notes contain provisions, as applicable,
relating to events affecting the relevant underlying(s), modification or
cessation of the relevant underlying(s), settlement disruption and market
disruption provisions and provisions relating to subsequent corrections of the
level of an underlying and details of the consequences of such events. Such
provisions may permit the Issuer either to require the calculation agent to
determine what adjustments should be made following the occurrence of the
relevant event (which may include deferment of any required valuation or the
substitution of another underlying and/or, in the case of an increased cost of
hedging, adjustments to pass onto Noteholders such increased cost of hedging
EMTN4850
31
(including, but not limited to, reducing any amounts payable or deliverable in
respect of the Notes to reflect any such increased costs) and/or, in the case of
realisation disruption, payment in the relevant local currency rather than in the
relevant specified currency, deduction of or payment by Noteholder(s) of
amounts in respect of any applicable taxes, delay of payments or deliveries,
determination of relevant exchange rates taking into consideration all available
relevant information and/or (where legally permissible) procuring the physical
delivery of any underlying(s) in lieu of cash settlement (or vice versa) and/or,
in the case of mutual fund interests, adjustments to 'monetise' the mutual fund
interest affected by the relevant adjustment event and adjust amounts payable
under the Notes to account for such monetisation) or to cancel the Notes and
to pay an amount equal to the early redemption amount as specified in
Element C.16 above.
C.19
Exercise
price/final
reference price
See Element C.18 above.
C.20
Underlying
Each underlying specified under the heading "description of underlying" in the
Table below which is an underlying for, as specified in such Table for such
underlying, the mandatory early redemption (MER) provisions and/or the
redemption provisions set out in Element C.18 above, and is of the
classification specified for such underlying in the Table below. Information
relating to the underlyings can be obtained from the electronic page specified
for such underlying in the Table below and from other internationally
recognised published or electronically displayed sources.
Description of
underlying
classificatio
n
underlying for the
purpose of the
redemption
provisions
underlying for the
purpose of the
MER provisions
Electronic page
EURO STOXX
50® (Price) Index
security
index
Yes
Yes
Bloomberg page: SX5E
Index
C.21
EMTN4850
Indication of
the market
where the
Notes will be
traded
Application has been made to the Irish Stock Exchange for the Notes to be
admitted to trading on the Irish Stock Exchange.
32
SECTION D – RISKS
Element
Title
D.2
Key risks
regarding the
Issuers
Citigroup Inc. believes that the factors summarised below may affect its
ability to fulfil its obligations under the Notes. All of these factors are
contingencies which may or may not occur and Citigroup Inc. is not in a
position to express a view on the likelihood of any such contingency
occurring.
There are certain factors that may affect Citigroup Inc.'s ability to fulfil its
obligations under any Notes issued by it, including that such ability is
dependent on the earnings of Citigroup Inc.'s subsidiaries, that Citigroup Inc.
may be required to apply its available funds to support the financial position
of its banking subsidiaries, rather than fulfil its obligations under the Notes,
that Citigroup Inc.'s business may be affected by economic conditions, credit,
market and market liquidity risk, by competition, country risk, operational
risk, fiscal and monetary policies adopted by relevant regulatory authorities,
reputational and legal risks and certain regulatory considerations.
D.3
Key risks
regarding the
Notes
Investors should note that the Notes (including Notes that are expressed to
redeem at par or above) are subject to the credit risk of Citigroup Inc..
Furthermore, the Notes may be sold, redeemed or repaid early, and if so, the
price for which a Note may be sold, redeemed or repaid early may be less than
the investor's initial investment. There are other certain factors which are
material for the purpose of assessing the risks associated with investing in any
issue of Notes, which include, without limitation, (i) risk of disruption to
valuations, (ii) adjustment to the conditions, substitution of the relevant
underlying(s) and/or early redemption following an adjustment event or an
illegality, (iii) postponement of interest payments and/or minimum and/or
maximum limits imposed on interest rates, (iv) cancellation or scaling back of
public offers or the issue date being deferred, (v) hedging activities of the
Issuer and/or any of its affiliates, (vi) conflicts of interest between the Issuer
and/or any of its affiliates and holders of Notes, (vii) modification of the terms
and conditions of Notes by majority votes binding all holders, (viii)
discretions of the Issuer and Calculation Agent being exercised in a manner
that affects the value of the Notes or results in early redemption, (ix) change
in law, (x) illiquidity of denominations consisting of integral multiples, (xi)
payments being subject to withholding or other taxes, (xii) fees and
commissions not being taken into account when determining secondary
market prices of Notes, (xiii) there being no secondary market, (xiv) exchange
rate risk, (xv) market value of Notes being affected by various factors
independent of the creditworthiness of Citigroup Inc. such as market
conditions, interest and exchange rates and macro-economic and political
conditions and (xvi) credit ratings not reflecting all risks.
See also Element D.6 below
D.6
EMTN4850
Key risks
regarding the
Notes and risk
warning
INVESTORS MAY LOSE THEIR ENTIRE INVESTMENT OR PART
OF IT AS THE CASE MAY BE. CITIGROUP INC. DOES NOT
REPRESENT THAT THE LIST BELOW IS COMPREHENSIVE.
PROSPECTIVE INVESTORS SHOULD READ THE BASE
PROSPECTUS IN ITS ENTIRETY AND FORM THEIR OWN
33
Element
Title
CONCLUSIONS REGARDING CITIGROUP INC..
An investment in Notes may entail significant risks and risks that are not
associated with an investment in a debt instrument with a fixed principal
amount and which bears interest at either a fixed rate or at a floating rate
determined by reference to published interest rate references. The risks
include, without limitation, the possibility of significant changes in the prices
of the relevant underlying(s). Such risks generally depend on factors over
which Citigroup Inc. does not have control and which cannot readily be
foreseen, such as economic and political events and the supply of and demand
for the relevant underlying(s). In recent years, currency exchange rates and
prices for various underlying(s) have been highly volatile, and such volatility
may be expected in the future. Fluctuations in any such rates or prices that
have occurred in the past are not necessarily indicative, however, of
fluctuations that may occur during the term of the Notes. The risk of loss as a
result of the linkage to the relevant underlying(s) can be substantial.
EMTN4850
34
SECTION E – OFFER
Element
Title
E.2b
Use of
proceeds
The net proceeds of the issue of the Notes by Citigroup Inc. will be used for
general corporate purposes, which may include capital contributions to its
subsidiaries and/or the reduction or refinancings of borrowings of Citigroup
Inc. or its subsidiaries. Citigroup Inc. expects to incur additional indebtedness
in the future.
E.3
Terms and
conditions of
the offer
The Notes are the subject of a Non-exempt Offer, the terms and conditions of
which are further detailed as set out below and in the applicable Final Terms.
A Non-exempt Offer of the Notes may be made in the Kingdom of Spain (the
Spanish Offer) during the period from (and including) 3 March 2014 to (and
including) 31 March 2014. Such period may be shortened at the option of the
Issuer. The Issuer reserves the right to cancel the Spanish Offer.
The offer price is USD1,000 per calculation amount. In addition to any
expenses detailed in Element E.7 below, an Authorised Offeror may charge
investors under the Spanish Offer a participation commission of up to 2.00 per
cent. of the principal amount of the Notes to be purchased by the relevant
investor. The minimum subscription amount is USD10,000. The Issuer may
decline in whole or in part an application for Notes under the Spanish Offer.
E.4
Interests of
natural and
legal persons
involved in the
issue/offer
The Dealer and/or any distributors will be paid up to 5.00% (including the
participation commission detailed above) of the aggregate principal amount as
fees in relation to the issue of Notes. So far as the Issuer is aware, no person
involved in the offer of the Notes has an interest material to the Offer(s).
E.7
Estimated
expenses
charged to the
investor by the
Issuer or an
Authorised
Offeror
No expenses are being charged to an investor by the Issuer. No expenses are
being charged to an investor by an Authorised Offer.
EMTN4850
35
SECCIÓN A - RESUMEN
Los resúmenes se componen de solicitudes de información conocidas como “Elementos”. Estos Elementos
se enumeran a lo largo de las Secciones A – E (A.1 – E.7). El presente Resumen incorpora todos los
Elementos que han de incluirse en un resumen para las Obligaciones, el Emisor y el Garante (cuando el
Emisor sea CGMFL). Dado que algunos Elementos no precisan ser consignados, su secuencia numérica
podría presentar saltos. Aun cuando la inserción de un determinado Elemento pueda resultar obligatoria
habida cuenta del tipo de valores, emisor y garante, es posible que no haya información relevante alguna
que suministrar acerca de dicho Elemento. En este caso deberá incluirse en el resumen una breve
descripción del Elemento considerado explicando por qué no resulta aplicable.
SECCIÓN A – INTRODUCCIÓN Y ADVERTENCIAS
Elemento
Título
A.1
Introducción
El presente resumen debe entenderse en el sentido de constituir una
introducción al Folleto de Base y a las Condiciones Finales aplicables.
Toda decisión de invertir en las Obligaciones deberá tomarse a la luz del
Folleto de Base en su conjunto, incluidos los documentos que incorpora
por referencia y las Condiciones Finales aplicables. Cuando se presente
ante un tribunal una demanda atinente a la información que se incluye en
el Folleto de Base y en las Condiciones Finales aplicables, el inversor
demandante podrá ser instado, con arreglo a la legislación nacional de los
Estados miembros, a asumir los costes de traducción del Folleto de Base y
de las Condiciones Finales aplicables antes de que dé inicio el
procedimiento judicial. El Resumen, incluidas sus traducciones, llevará
aparejada una responsabilidad civil para las personas encargadas de su
elaboración únicamente si su lectura se revela engañosa, inexacta o
incoherente a la luz de las demás partes del Folleto de Base y de las
Condiciones Finales aplicables o si no ofrece, asimismo a la luz de las
restantes partes del Folleto de Base y de las Condiciones Finales
aplicables, información clave que ayude a los inversores a decidirse sobre
si invertir en las Obligaciones.
A.2
Consentimiento
Las Obligaciones podrán ofrecerse en aquellas circunstancias en las que no
exista una exención de la obligación con arreglo a la Directiva sobre Folletos
de publicar un folleto (una Oferta No Exenta).
Oferta No Exenta en el Reino de España:
Con sujeción a las condiciones expuestas más adelante, Citigroup Inc.
consiente a la utilización del presente Folleto de Base en relación con una
Oferta No Exenta de Obligaciones por Citibank España SA (un Oferente
Autorizado en el Reino de España).
El consentimiento arriba citado de Citigroup Inc. se otorga respecto a las
Ofertas No Exentas de Obligaciones que se realicen durante el período
comprendido entre el 3 de marzo de 2014 y el 31 de marzo de 2014 (ambos
inclusive) (el Período de la Oferta Española).
Las condiciones aplicables al consentimiento de Citigroup Inc. son que dicho
consentimiento:
EMTN4850
36
Elemento
Título
(a)
únicamente será válido durante el Período de la Oferta Española; y
(b)
se extiende exclusivamente a la utilización del presente Folleto de
Base para realizar Ofertas No Exentas del correspondiente Tramo de
Obligaciones en el Reino de España.
TODO INVERSOR QUE TENGA LA INTENCIÓN DE ADQUIRIR O
QUE ESTÉ ADQUIRIENDO CUALESQUIERA OBLIGACIONES EN
EL MARCO DE UNA OFERTA NO EXENTA A UN OFERENTE
AUTORIZADO LO HARÁ ASÍ, Y LAS OFERTAS Y VENTAS DE
DICHAS OBLIGACIONES A ESE INVERSOR POR PARTE DE
DICHO OFERENTE AUTORIZADO SE EFECTUARÁN, DE
CONFORMIDAD CON LOS TÉRMINOS Y DEMÁS PACTOS EN
VIGOR ENTRE DICHO OFERENTE AUTORIZADO Y DICHO
INVERSOR, INCLUIDOS LOS PACTOS EN MATERIA DE PRECIO,
ASIGNACIONES Y LIQUIDACIÓN. EL INVERSOR DEBERÁ
DIRIGIRSE AL OFERENTE AUTORIZADO EN EL MOMENTO DE
DICHA OFERTA PARA OBTENER DICHA INFORMACIÓN Y EL
OFERENTE AUTORIZADO SERÁ QUIÉN RESPONDA DE LA
INFORMACIÓN ASÍ OBTENIDA.
EMTN4850
37
SECCIÓN B – EMISORES Y GARANTE
B.1
Denominación
social y
nombre
comercial del
Emisor
Citigroup Inc.
B.2
Domicilio/
forma jurídica/
legislación
aplicable/ país
de constitución
Citigroup Inc. se fundó como una sociedad anónima en Delaware conforme a
la Legislación Mercantil General del Estado de Delaware.
B.4b
Información
sobre
tendencias
El clima de la banca y los mercados bancarios en los que el Grupo desarrolla
su actividad seguirán estando muy influidos por los acontecimientos de las
economías estadounidense y mundiales, incluidos los resultados de la crisis de
la deuda soberana de la Unión Europea y la aprobación de normas y su
trasposición a los ordenamientos jurídicos nacionales asociadas a la reciente
reforma financiera.
B.5
Descripción
del Grupo
Citigroup Inc. es una sociedad holding y atiende sus obligaciones
principalmente con los dividendos y anticipos que recibe de filiales (Citigroup
Inc. y sus filiales, el Grupo).
Citigroup Inc. es una sociedad holding de servicios financieros diversificada e
internacional cuyos negocios ofrecen una amplia variedad de productos y
servicios financieros a consumidores, empresas, Estados e instituciones.
Citigroup Inc. cuenta con unos 200 millones de cuentas de clientes y desarrolla
su actividad en más de 160 países y jurisdicciones. Citigroup Inc. opera
actualmente, a efectos de presentación de información a la Dirección, a través
de dos segmentos de negocio principales: Citicorp, que comprende los
negocios de Banca Comercial Mundial de Citigroup Inc. (el cual está
compuesto por Banca Comercial Regional en Norteamérica, Europa, Oriente
Medio y África, Asia y Latinoamérica) y el Grupo de Clientes Institucionales
(Valores y Banca, incluyendo Banca Privada, y Servicios de Transacciones); y
Holdings de Citi, que consiste en Intermediación Financiera y Gestión de
Activos, Préstamo al Consumo Local y Grupos Especiales de Activos.
Asimismo, existe un tercer segmento, denominado Corporativo/Otros.
B.9
Previsión
estimación
beneficios
o
de
No aplicable. Citigroup Inc. no ha realizado ninguna previsión o estimación de
beneficio en el presente Folleto de Base.
B.10
Salvedades en
informes
de
auditoría
No aplicable. Ningún informe de auditoría sobre la información financiera
histórica incluida en el Folleto de Base contiene salvedades.
B.12
Selección de
información
financiera
histórica clave:
En la siguiente tabla se recoge un resumen de información financiera clave
extraída del Informe Financiero de Citigroup Inc. correspondiente al ejercicio
finalizado el 31 de diciembre de 2012:
EMTN4850
38
A fecha de y para el ejercicio cerrado a
31 de diciembre de
2012 (auditado)
2011 (auditado)
(en millones de USD)
Datos de la cuenta de pérdidas y
ganancias:
Ingresos totales, netos de gastos
financieros en intereses ...................................
Resultado de las operaciones
continuadas ....................................................
Resultado neto ...............................................
Datos del balance:
Total Activo ....................................................
Total Depósitos ...............................................
Endeudamiento a largo plazo
(incluyendo 29.764 USD y 24.172
USD a 31 de diciembre de 2012 y
2011, respectivamente, a valor
razonable) .......................................................
Total Fondos propios ......................................
69.128
77.331
7.818
11.147
7.541
11.067
1.864.660
930.560
1.873.878
865.936
239.463
189.049
323.505
177.806
En la siguiente tabla se recoge un resumen de información financiera clave extraída
del Informe Trimestral de Citigroup Inc. correspondiente a los tres y nueve meses
terminados el 30 de septiembre de 2013.
A fecha de o para los nueve meses
terminados el 30 de septiembre de
2013 (sin auditar)
2012 (sin auditar)
(en millones de USD)
Datos de la cuenta de pérdidas y
ganancias:
Ingresos totales, netos de gastos
58.586
51.211
financieros en intereses ...................................
Resultado de las operaciones
11.305
6.509
continuadas .....................................................
Resultado neto ...............................................
11.217
6.345
A fecha de o para el trimestre terminado
el 30 de septiembre de
2013 (sin auditar)
2012 (sin auditar)
(en millones de USD)
Datos de la cuenta de pérdidas y
ganancias:
Ingresos totales, netos de gastos
17.880
13.703
financieros en intereses ...................................
Resultado de las operaciones
3.186
485
continuadas .....................................................
Resultado neto ...............................................
3.227
468
A 30 de septiembre de
2013 (sin auditar)
2012 (sin auditar)
(en millones de USD)
Datos del balance:
Total Activo ....................................................
1.899.511
1.931.346
Total Depósitos ............................................... 955.460
944.644
EMTN4850
39
Endeudamiento a largo plazo..........................
Total Fondos propios ......................................
221.593
200.846
271.862
186.777
Declaraciones sobre la inexistencia de cambios adversos significativos o
sustanciales
No se ha producido: (i) cambio significativo alguno en la posición financiera o de
negociación de Citigroup Inc. ni de Citigroup Inc. y sus filiales consideradas como
un todo desde el 30 de septiembre de 2013 ni (ii) cambio adverso sustancial alguno
en la posición financiera, el negocio o las perspectivas de Citigroup Inc. ni de
Citigroup Inc. y sus filiales consideradas como un todo desde el 31 de diciembre de
2012.
B.13
Hechos que
afectan a la
solvencia del
Emisor
No aplicable. No ha habido ningún hecho reciente propio de Citigroup Inc. que sea
relevante, en una medida significativa, para evaluar la solvencia de Citigroup Inc.
desde el 31 de diciembre de 2012.
B.14
Dependencia
de otras
entidades del
Grupo
Consúltese en el Elemento una descripción de Citigroup Inc. y sus filiales, y de la
posición de Citigroup Inc. en el seno del Grupo.
B.15
Principales
actividades
Citigroup Inc. es una sociedad holding de servicios financieros diversificada y global
cuyos negocios ofrecen una amplia variedad de productos y servicios financieros a
consumidores, empresas, Estados e instituciones.
B.16
Accionistas
de control
Citigroup Inc. no tiene conocimiento de ningún accionista o grupo de accionistas
vinculados que, directa o indirectamente, controle Citigroup Inc.
B.17
Calificaciones
crediticias
La deuda senior a largo/corto plazo de Citigroup Inc. ha recibido una calificación de
A-/A-2 por Standard & Poor's Financial Services LLC, Baa2/P-2
M y’
Investors Service, Inc. y A/F1 por Fitch, Inc.
La calificación crediticia asignada a un valor no es una recomendación de comprar,
vender o mantener valores y puede ser objeto de suspensión, revisión a la baja o
cancelación en cualquier momento por parte de la agencia de calificación.
SECCIÓN C.3 – VALORES
Elemento Título
C.1
Descripción de las Las Obligaciones se emitirán en Series. El número de Serie es
Obligaciones/ISIN EMTN4850. El número de Tramo es 1.
El Número Internacional de Identificación de Valores (ISIN, por sus
siglas en inglés) es XS1034945326. El Código Común es 103494532.
C.2
Moneda
Las Obligaciones están denominadas en dólares americanos (USD) y la
moneda especificada para pagos respecto a las Obligaciones es el USD.
C.5
Restricciones a la
libre transmisibili-
Las Obligaciones serán transmisibles, con sujeción a las restricciones a
la oferta, venta y transmisión respecto a Estados Unidos, Espacio
EMTN4850
40
Elemento Título
dad de las
Obligaciones
C.8
Derechos
incorporados a las
Obligaciones,
incluyendo
posición en el
orden de prelación
de créditos y
limitaciones sobre
esos derechos
Económico Europeo, Reino Unido, Australia, Reino de Bahrein, Brasil,
Chile, Colombia, Costa Rica, República de Chipre, Dinamarca,
República Dominicana, Centro Financiero Internacional de Dubai,
Ecuador, El Salvador, Finlandia, Francia, Guatemala, Honduras, Región
Administrativa Especial de Hong Kong, Hungría, Irlanda, Israel, Italia,
Japón, Kuwait, México, Noruega, Omán, Panamá, Paraguay, Perú,
Polonia, Portugal, Qatar, Federación Rusa, Reino de Arabia Saudita,
Singapur, Taiwán, República de Turquía, Emiratos Árabes Unidos y
Uruguay, y a la legislación de cualquier jurisdicción donde tenga lugar
la oferta o venta de las Obligaciones.
Las Obligaciones tienen términos y condiciones relacionados, entre
otras cosas, con las siguientes cuestiones:
Posición en el orden de prelación de créditos
Las Obligaciones constituirán obligaciones no subordinadas y no
garantizadas del Emisor y ocupan y ocuparán en todo momento la
misma posición (pari passu) proporcionalmente entre sí y, al menos, la
misma posición (pari passu) que todas las restantes obligaciones no
subordinadas y no garantizadas del Emisor, salvo que dichas
obligaciones sean preferidas a tenor de disposiciones legales que sean
tanto de obligado cumplimiento como de aplicación general.
Compromiso de no gravar e incumplimiento cruzado
Las condiciones de las Obligaciones no incluirán una disposición sobre
compromiso de no gravar ni una disposición sobre incumplimiento
cruzado respecto al Emisor.
Supuestos de incumplimiento
Las condiciones de las Obligaciones incluirán, entre otros, los
siguientes supuestos de incumplimiento: (a) impago de cualquier
principal o de cualesquiera intereses vencidos respecto a las
Obligaciones que subsista durante un período de 30 días en el caso de
intereses o de 10 días en el caso de principal a contar, en cada caso,
desde la fecha de vencimiento; (b) incumplimiento en la rentabilidad o
vulneración de cualquier otro pacto por el Emisor, y subsistencia
durante un período de 60 días a contar desde la fecha de envío de una
notificación por escrito por los tenedores de, al menos, el 25 por ciento
del principal de las Obligaciones pendientes, donde se señale dicho
impago o incumplimiento y se exija su subsanación; (c) hechos
relativos a la disolución o cancelación registral o a un procedimiento
similar del Emisor; y (d) el nombramiento de un síndico u otro
funcionario similar u otro acuerdo similar del Emisor.
Fiscalidad
Los pagos respecto a todas las Obligaciones se efectuarán sin practicar
retención o deducción alguna de impuestos en Luxemburgo cuando el
Emisor sea CGMFL o en Reino Unido en el caso del Garante, con
EMTN4850
41
Elemento Título
sujeción, en todo caso, a las excepciones habituales, o en Estados
Unidos en caso de que el Emisor sea Citigroup Inc., con sujeción a las
excepciones especificadas y a determinadas categorías de Obligaciones
no consideradas como deuda a efectos del impuesto sobre la renta
federal de Estados Unidos.
Asambleas
Las condiciones de las Obligaciones incluyen disposiciones para la
convocatoria de asambleas de tenedores de dichas Obligaciones para
debatir asuntos que afecten a sus intereses en general. Estas
disposiciones permiten mayorías definidas para obligar a todos los
tenedores, incluidos los que no asistieron ni votaron en la asamblea en
cuestión y los que votaron en sentido contrario a la mayoría.
C.9
C.10
EMTN4850
Descripción de los
derechos de las
Obligaciones,
incluyendo el tipo
de interés
nominal, la fecha
desde la que los
intereses son
pagaderos y las
fechas de pago de
intereses,
descripción del
subyacente
(cuando el tipo no
está fijado), fecha
de vencimiento,
disposiciones
sobre reembolso e
indicación del
rendimiento
Consúltese el Elemento C.16 y C.18 a continuación.
Si las
Obligaciones
contienen un
componente
derivado en el
pago de intereses,
una explicación
clara y completa
que ayude a
comprender a los
inversores la
medida en que el
valor de su
inversión resulta
afectado por el
No Aplicable- Las obligaciones no devengan o pagan intereses.
Las Obligaciones no devengan o pagan intereses.
42
Elemento Título
valor del/de los
instrumento(s)
subyacente(s),
sobre todo en
circunstancias en
que los riesgos
sean más
evidentes.
C.11
Admisión a
negociación
La Bolsa de Valores irlandesa ha recibido una solicitud para que las
Obligaciones sean admitidas a negociación en la Bolsa de Valores
irlandesa.
C.15
Descripción de
cómo el valor de
la inversión se ve
afectado por el
valor del/de los
instrumen-to(s)
subyacente(s)
Las Obligaciones tienen una amortización anticipada obligatoria (en
adelante MER, por sus siglas en inglés Mandatory Early Redemption) o
í
“autocall”
qu
g
qu ,
rentabilidad del/de los subyacente(s) de que se trate, las Obligaciones
pueden ser amortizadas antes de la fecha de vencimiento. Que se
amorticen anticipadamente las Obligaciones se determina en función de
la rentabiliad del/de los subyacente(s). Cuando se calcula el importe
MER
“rentabilidad vinculada a las disposiciones
z ó
b g
”,
u qu
esos importes MER se determina por referencia a la rentabilidad del/de
los subyacente(s). Si las Obligaciones son amortizadas anticipadamente,
sólo el importe de MER es pagadero y ninguna cantidad adicional
deberá ser pagada o entregada.
El importe de amortización pagadero al vencimiento depende de la
rentabilidad del/de los subyacente (s).
Consúltese asimismo el Elemento C.18 más adelante.
C.16
Fecha de
vencimiento y
fecha de
referencia final
La fecha de vencimiento es el 10 de abril de 2018. Consúltese en las
disposiciones relacionadas con las fechas de valoración recogidas en el
Elemento C.18 más adelante en lo relativo a la fecha de referencia final.
Amortización anticipada
Consúltese el apartado "Events of default" incluido en el Elemento C.8
anterior y en el apartado "Días de Perturbación, Supuestos de
Perturbación del Mercado y Ajustes" más adelante para obtener
información sobre la amortización anticipada en relación con las
Obligaciones.
Además, (a) las Obligaciones podrán amortizarse por anticipado por
determinados motivos fiscales; y (b) si el Emisor determinase que el
cumplimiento de sus obligaciones derivadas de una emisión de
Obligaciones o que cualesquiera acuerdos alcanzados para cubrir las
obligaciones del Emisor derivadas de las Obligaciones han devenido o
EMTN4850
43
Elemento Título
devendrán ilícitos, en su totalidad o en parte, por cualquier motivo, el
Emisor podrá amortizar anticipadamente las Obligaciones y, cuando lo
autorice el Derecho aplicable, pagará, respecto a cada Obligación, un
importe igual al importe de amortización anticipada.
El importe de amortización anticipada pagadero en caso de
amortización anticipada de las Obligaciones será equivalente al importe
que sea, tal como determine el Agente de Cálculo, el valor razonable de
mercado de las Obligaciones en un día seleccionado por el Emisor
(importe que incluirá las sumas en concepto de cupón corrido), aunque
ajustado para reflejar completamente las pérdidas, gastos y costes para
el Emisor (o para cualquiera de sus asociadas) derivados de la rescisión
de cualesquiera acuerdos de cobertura y financiación relacionados con
las Obligaciones, bien entendido que, a los efectos de determinar el
valor razonable de mercado de las Obligaciones tras un supuesto de
incumplimiento, la situación financiera del Emisor, que se presumirá
que es capaz de cumplir íntegramente sus obligaciones respecto a las
Obligaciones, no se tendrá en cuenta.
EMTN4850
44
C.17
Procedimiento de
liquidación
de valores
derivados
Las Obligaciones son Obligaciones liquidadas mediante pago en efectivo
C.18
Rentabilidad
en valores
derivados
Las Obligaciones no pagarán intereses
Si ocurre un supuesto MER, el importe MER vencido en la fecha MER se
determinará de acuerdo con las siguientes disposiciones MER
Amortización anticipada obligatoria (MER)
Si (y sólo si), respecto de una fecha MER, se ha producido un supuesto de
b
MER y
“u u
b
u
MER”,
Obligaciones se amortizarán en la fecha MER correspondiente por el importe
correspondiente a cada importe de cálculo equivalente a la cantidad
especificada en la Tabla a continuación como el importe MER para la
correspondiente fecha MER.
Si las Obligaciones son amortizadas anticipadamente, sólo el importe MER es
pagadero y ninguna cantidad adicional deberá ser pagada o entregada.
Definiciones relativas a la amortización anticipada obligatoria:
Fechas
Por fecha de observación de barrera de amortización anticipada
obligatoria o fecha de observación de barrera MER se entenderá, respecto
de una fecha MER, cada fecha o fechas especificadas como tal para dicha
fecha MER en la tabla más adelante (con sujeción a ajuste – consúltese el
“Días de Perturbación, Supuestos de Perturbación del Mercado y
Ajustes” á
).
Por fecha de amortización anticipada obligatoria o fecha MER se entenderá
cada fecha especificada como tal en la Tabla más adelante.
La(s) fecha(s) de ejercicio MER es el 31 de marzo de 2014 (con sujeción a
ajusteú
“Días de Perturbación, Supuestos de
Perturbación del Mercado y Ajustes” á
)
Definiciones relativas al/a los subyacente(s) correspondiente(s) para la
amortización anticipada obligatoria, la rentabilidad de dicho(s) subyacente(s)
y los niveles de dicho(s) subyacente(s)
Por subyacente MER se entenderá el o cada subyacente especificado como un
subyacente a los efectos de las disposiciones MER en el Elemento C.20 más
adelante.
Definiciones relativas a la determinación de si el importe MER está vencido en
una fecha MER
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Un supuesto de barrera de amortización anticipada obligatoria o supuesto
de barrera MER se producirá respecto de una fecha MER si, en la
determinación del agente de cálculo,
en la fecha de observación de barrera MER, el nivel de cierre
uby
/
uby
( ) MER ( /
“ uby
()
b
MER”)
y
gu qu
b
MER (“ b
ó
u
u u
b
MER”)
El nivel de barrera MER es, respecto de una fecha MER, el porcentaje
especificado para dicha fecha MER en la siguiente Tabla.
TABLA
Nivel de barrera
MER
Fecha de
observación de
barrera MER
Importe MER
Fecha MER
100%
1.065 USD
10 de abril de
2015
95%
31 de marzo de
2015
31 de marzo de
2016
1.130 USD
11 de abril de
2016
90%
31 de marzo de
2017
1.195 USD
10 de abril de
2017
El importe de amortización vencido en la fecha de vencimiento se
determinará de acuerdo con las siguientes disposiciones sobre
amortización
Amortización
Si:
(a)
no se ha producido un supuesto de barrera de amortización y se
especifica un "supuesto de barrera superior de amortización", en tal
caso las Obligaciones se amortizarán en la fecha de vencimiento por la
suma para cada importe de cálculo equivalente
(i)
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si se ha producido un supuesto de barrera superior de
amortización (lo que significa que el nivel de cierre
subyacente del/de los subyacente(s) de amortización en la
fecha de valoración del supuesto de barrera superior de
amortización es igual o superior al 85% (que es el porcentaje
de barrera superior de amortización) del nivel inicial de
amortización del/de los correspondiente(s) subyacente(s) de
amortización, el importe de amortización vencido sólo cuando
se ha producido un supuesto de barrera superior, que es 1.260
USD; Ó
46
(ii)
(b)
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si no se ha producido un supuesto de barrera superior de
amortización, al importe de amortización vencido cuando no
se haya producido un supuesto de barrera superior ni un
supuesto de barrera de amortización, que es 1.000 USD; Ó
se ha producido un supuesto de barrera de amortización, en tal caso el
importe de amortización vencido cuando el supuesto de barrera de
amortización se haya producido únicamente respecto a cada importe de
cálculo será el importe de amortización ligado a la rentabilidad
determinada de acuerdo con las disposiciones sobre opción de venta
posteriores.
47
Definiciones relativas a la amortización
Fechas
La fecha de valoración final es el 3 de abril de 2018 (con sujeción a ajuste –
consúltese el apartado "Días de Perturbación, Supuestos de Perturbación del
Mercado y Ajustes" más adelante).
La fecha de observación de barrera de amortización es el 3 de abril de
2018 (con sujeción a ajuste – consúltese el apartado "Días de Perturbación,
Supuestos de Perturbación del Mercado y Ajustes" más adelante).
La(s) fecha(s) de ejercicio de amortización es el 31 de marzo de 2014 (con
sujeción a ajuste – consúltese el apartado "Días de Perturbación, Supuestos de
Perturbación del Mercado y Ajustes" más adelante).
La fecha de valoración del supuesto de barrera superior de amortización
es el 3 de abril de 2018 (con sujeción a ajuste – consúltese el apartado "Días
de Perturbación, Supuestos de Perturbación del Mercado y Ajustes" más
adelante).
Definiciones relativas al/a los subyacente(s) pertinentes para la amortización,
la rentabilidad de dicho(s) subyacente(s) y los niveles de dicho(s)
subyacente(s)
Por subyacente de amortización se entenderá el o cada subyacente
especificado como subyacente al efecto de las disposiciones sobre
amortización recogidas en el Elemento C.20 más adelante.
El/Los subyacente(s) de rentabilidad final o (FPU, del inglés final
performance underlying) es,
según se aplique la "observación del subyacente individual", el
subyacente de amortización.
La rentabilidad final se determinará de acuerdo con
las disposiciones sobre "observación del subyacente individual", lo que
significa que la rentabilidad final respecto al subyacente de amortización
equivale, según determine el Agente de Cálculo, a un importe expresado en
forma de porcentaje igual al nivel de referencia final del subyacente de
amortización menos su nivel de ejercicio de amortización, dividido todo ello
entre su nivel inicial de amortización, expresado mediante la siguiente
fórmula:
N
−N
j
Nivel inicial de amortización
z
ó
El nivel de ejercicio de amortización de un subyacente de amortización es
cero.
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Por nivel de referencia final se entenderá, respecto a una fecha de valoración
final o, en su caso, fechas de valoración finales y el o cada subyacente de
amortización:
a los efectos de determinar si se ha producido un supuesto de barrera
de amortización y el importe de amortización ligado a la rentabilidad
determinado de acuerdo con las disposiciones sobre opción de venta
(put options)
,
“
b
h
j
z ó ”,
erre subyacente
para dicha amortización subyacente en esa fecha de valoración final.
Por nivel de amortización inicial se entenderá, respecto a una fecha de
valoración final o, en su caso, fechas de valoración finales y el o cada
subyacente de amortización:
a los efectos de determinar si se ha producido un supuesto de barrera
de amortización y el importe de amortización ligado a la rentabilidad
determinado de acuerdo con las disposiciones sobre opción de venta
(put options) inferiores, deno
“
b
h
j
z ó ”,
uby
para dicha amortización subyacente en esa fecha de ejercicio de
amortización.
Definiciones relativas a la determinación de un supuesto de barrera
Un supuesto de barrera de amortización tendrá lugar si, en la determinación
del agente de cálculo,
en la fecha de observación de barrera de amortización relacionada, el nivel de
cierre subyacente del subyacente de amortización (el/los "subyacente(s) de
barrera de amortización") es inferior al nivel de barrera final ("observación de
cierre europeo del supuesto de barrera de amortización").
El nivel de barrera final es el 75% del nivel inicial de amortización del
correspondiente subyacente de barrera de amortización.
Definiciones relativas a la determinación del importe de amortización ligado
a la rentabilidad vencido
Por importe de amortización ligado a la rentabilidad determinado de
acuerdo con las "disposiciones sobre opción de venta" se entenderá que el
importe de amortización será un importe de "opción de venta"
determinado por el Agente de Cálculo como el producto del importe de
cálculo (en adelante CA, del inglés calculation amount) por la suma de cero%
(que es el "porcentaje pertinente") y la rentabilidad final del/de los
subyacente(s) de rentabilidad final (FPU) (que será inferior que el importe de
cálculo), expresado mediante la siguiente fórmula:
CA x (cero% + rentabilidad final del FPU)
El importe de cálculo o CA es 1.000 USD.
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Días de Perturbación, Supuestos de Perturbación del Mercado y Ajustes
Los términos y condiciones de las Obligaciones incluyen disposiciones
relativas, en su caso, a supuestos que afectan al/a los correspondiente(s)
subyacente(s), a la modificación o al cese del/de los correspondiente(s)
subyacente(s), disposiciones sobre perturbación de la liquidación y
perturbación del mercado y disposiciones relativas a ulteriores correcciones
del nivel de un subyacente e información detallada de las consecuencias de
dichos supuestos. Esas disposiciones pueden permitir al Emisor exigir al
Agente de Cálculo que determine qué ajustes deberían introducirse a raíz del
acaecimiento del correspondiente supuesto (lo que puede incluir el
aplazamiento de cualquier valoración requerida o la sustitución por otro
subyacente y/o, en el caso de un mayor coste de cobertura, los ajustes para
repercutir a los Obligacionistas ese mayor coste de cobertura (incluyendo, a
título meramente enunciativo aunque no limitativo, la reducción de
cualesquiera sumas pagaderas o entregables respecto a las Obligaciones para
reflejar cualquiera de esos mayores costes) y/o, en el caso de una perturbación
de la realización, el pago en la correspondiente moneda local en lugar de en la
correspondiente moneda especificada, la deducción de o el pago por el/los
Obligacionista(s) de sumas respecto a cualesquiera impuestos aplicables, el
aplazamiento de pagos o entregas, la determinación de los correspondientes
tipos de cambio teniendo en consideración toda la información pertinente
disponible y/o (cuando esté legalmente permitido) procurar la entrega física de
cualquier/cualesquiera subyacente(s) en lugar de la liquidación mediante pago
en efectivo (o viceversa) y/o, en el caso de participaciones en fondos de
inversión, ajustes para 'monetizar' la participación en fondos de inversión
afectada por el correspondiente supuesto de ajuste y ajustar las sumas a pagar
con arreglo a las Obligaciones para tener en cuenta dicha monetización) o bien
que anule las Obligaciones y pague una suma equivalente al importe de
amortización anticipada especificado en el Elemento C.16 anterior.
C.19
Precio
de
ejercicio/precio
de
referencia
final
Consúltese el Elemento C.18 precedente.
C.20
Subyacente
Cada subyacente especificado dentro del apartado "Descripción del
subyacente" de la Tabla a continuación que sea un subyacente a efectos, tal
como se especifique en esa Tabla para dicho subyacente, las disposiciones
MER y/o las disposiciones sobre amortización expuestas en el Elemento C.18
anterior, y pertenezca a la clasificación especificada para dicho subyacente en
la Tabla a continuación. La información relativa a los subyacentes podrá
obtenerse en la página electrónica indicada para dicho subyacente en la Tabla
a continuación y en otras fuentes de información publicada o mostrada por
medios electrónicos que gocen de reconocimiento internacional.
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50
Descripción
del
subyacente
Clasificación
Subyacente a efectos de las
disposiciones sobre
amortización
Subyacente a efectos de
las disposiciones MER
Página electrónica
Índice (de
precios)
EURO
STOXX 50®
Índice de valores
Sí
Sí
Página de Bloomberg:
SX5E Index
C.21
Indicación del
mercado en que
se negociarán
las Obligaciones
La Bolsa de Valores irlandesa ha recibido una solicitud para que las
Obligaciones sean admitidas a negociación en la Bolsa de Valores irlandesa.
SECCIÓN D – RIESGOS
Elemento
Título
D.2
Riesgos
clave
asociados a
los Emisores
Citigroup Inc. considera que los factores resumidos a continuación pueden
afectar a su capacidad para atender sus obligaciones derivadas de las
Obligaciones. Todos estos factores son eventualidades que podrían suceder o no
y Citigroup Inc. no está en condiciones de emitir una opinión sobre la
probabilidad del acaecimiento de cualquiera de esas eventualidades.
Existen determinados factores que pueden afectar a la capacidad de Citigroup
Inc. para atender sus obligaciones derivadas de cualesquiera Obligaciones que
emita, incluyendo que dicha capacidad dependerá de los beneficios de las
filiales de Citigroup Inc., de que a Citigroup Inc. se le exija destinar sus fondos
disponibles a respaldar la posición financiera de sus bancos filiales en lugar de
destinarlos a atender sus obligaciones derivadas de las Obligaciones, de que el
negocio de Citigroup Inc. resulte afectado por la coyuntura económica, por el
riesgo de crédito, de mercado y de liquidez de mercado, por la competencia, por
el riesgo-país, el riesgo operacional, por las políticas fiscales y monetarias
adoptadas por las correspondientes autoridades reguladoras, por los riesgos
reputacional y legal y por ciertas consideraciones de índole regulatoria.
D.3
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Riesgos
clave
asociados a
las
Obligaciones
Los inversores deberían tener presente que las Obligaciones (incluyendo las
Obligaciones emitidas expresamente para ser amortizadas a la par o sobre par)
están sujetas al riesgo de crédito de Citigroup Inc. Además, las Obligaciones
podrán venderse, amortizarse o reembolsarse por anticipado y, en tal caso, el
precio por el que una Obligación sea vendida, amortizada o reembolsada por
anticipado puede ser inferior a la inversión inicial del inversor. Hay algunos
otros factores que resultan significativos al efecto de evaluar los riesgos
asociados a la inversión en cualquier emisión de Obligaciones, entre los que se
incluyen, a título meramente enunciativo aunque no limitativo, los siguientes:
(i) riesgo de perturbación de las valoraciones, (ii) ajuste en las condiciones,
sustitución del/de los correspondiente(s) subyacente(s) y/o amortización
anticipada a raíz de un supuesto de ajuste o de una ilicitud, (iii) aplazamiento de
los pagos de intereses y/o imposición de límites mínimo y/o máximo sobre los
tipos de interés, (iv) anulación o reducción del volumen de oferta públicas o
aplazamiento de la fecha de emisión, (v) actividades de cobertura del Emisor
y/o de cualquiera de sus asociadas, (vi) conflictos de intereses entre el Emisor
51
Elemento
Título
y/o cualquiera de sus asociadas y los tenedores de Obligaciones, (vii)
modificación de los términos y condiciones de las Obligaciones mediante votos
mayoritarios que obliguen a todos los tenedores, (viii) ejercicio de las
potestades discrecionales del Emisor y del Agente de Cálculo de tal manera que
afecte al valor de las Obligaciones o resulte en una amortización anticipada, (ix)
modificación de la ley, (x) iliquidez de las denominaciones que consistan en
múltiplos enteros, (xi) sujeción de los pagos a retención fiscal en la fuente o a
otros impuestos, (xii) falta de cómputo de honorarios y comisiones a la hora de
determinar los precios en el mercado secundario de las Obligaciones, (xiii)
inexistencia de un mercado secundario, (xiv) riesgo de cambio, (xv) el hecho de
que el valor de mercado de las Obligaciones se vea afectado por diversos
factores independientes de la solvencia de Citigroup Inc., como la coyuntura de
mercado, los tipos de interés y de cambio y las condiciones macroeconómicas y
políticas y (xvi) el hecho que las calificaciones de solvencia (ratings) no reflejen
todos los riesgos.
Consúltese asimismo el Elemento D.6 a continuación.
D.6
Riesgos
clave
asociados a
las
Obligaciones
y advertencia
sobre riesgos
LOS INVERSORES PODRÍAN PERDER LA TOTALIDAD O PARTE
DE SU INVERSIÓN. CITIGROUP INC. NO MANIFIESTA QUE LA
SIGUIENTE LISTA SEA EXHAUSTIVA. LOS EVENTUALES
INVERSORES DEBERÍAN LEER EL FOLLETO DE BASE EN SU
TOTALIDAD Y FORMARSE SUS PROPIAS CONCLUSIONES
ACERCA DE CITIGROUP INC.
La inversión en Obligaciones puede entrañar importantes riesgos y riesgos no
asociados a una inversión en un instrumento de deuda con un importe de
principal fijo y que devengue intereses a tipo fijo o a tipo variable determinados
por referencia a unos indicadores publicados de tipos de interés de referencia.
Estos riesgos incluyen, a título meramente enunciativo y no limitativo, la
posibilidad de fuertes oscilaciones de los precios del/de los correspondiente(s)
subyacente(s). Tales riesgos dependerán, por lo general, de factores sobre los
que Citigroup Inc. carece de control y que no son fáciles de prever, como los
acontecimientos económicos y políticos y la oferta y demanda del/de los
correspondiente(s) subyacente(s). En los últimos años, los tipos de cambio y los
precios del/de los diversos subyacente(s) han mostrado una alta volatilidad, y
cabe esperar que dicha volatilidad pueda persistir en el futuro. No obstante, las
fluctuaciones registradas en el pasado por cualquiera de esos tipos o precios no
son necesariamente indicativas de las fluctuaciones que podrían producirse
durante la vigencia de las Obligaciones. El riesgo de pérdida como
consecuencia de la vinculación al/a los correspondiente(s) subyacente(s) podría
ser elevado.
SECCIÓN E – OFERTA
Elemento
Título
E.2b
Destino de
los
ingresos de
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Citigroup Inc. destinará el ingreso neto que reciba de la emisión de las
Obligaciones a sus fines societarios generales, entre los que pueden estar las
aportaciones de capital a sus filiales y/o la reducción o las refinanciaciones de
52
Elemento
E.3
Título
la oferta
Términos y
condiciones de la
oferta
empréstitos de Citigroup Inc. o de sus filiales. Citigroup Inc. prevé contraer más
endeudamiento en el futuro.
Las Obligaciones son el objeto de una Oferta No Exenta cuyos términos y
condiciones se exponen, de manera más detallada, a continuación y en las
Condiciones Finales aplicables.
Una Oferta No Exenta de las Obligaciones podrá realizarse en el Reino de
España (la Oferta Española) durante el período comprendido entre el 3 de
marzo de 2014 y el 31 de marzo de 2014 (ambos inclusive). Dicho período
podrá acortarse a discreción del Emisor. El Emisor se reserva el derecho de
anular la Oferta Española.
El precio de oferta es de 1.000 USD por importe de cálculo. Además de
cualesquiera gastos detallados en el Elemento E.7 más adelante, un Oferente
Autorizado podrá aplicar a los inversores con arreglo a la Oferta Española una
comisión de participación de hasta el 2,00 por ciento del importe de principal de
las Obligaciones que vaya a comprar el inversor en cuestión. El importe de
suscripción mínimo es 10.000 USD. El Emisor podrá rechazar, total o
parcialmente, una solicitud de suscripción de Obligaciones con arreglo a la
Oferta Española.
E.4
Intereses
de
personas
físicas y
jurídicas
que
participan
en la
emisión
/oferta
La Entidad Colocadora y/o cualesquiera entidades comercializadoras recibirán
un pago de hasta el 5,00% (incluyendo la comisión de participación detallada
anteriormente) del importe de principal agregado en concepto de honorarios
relacionados con la emisión de Obligaciones. Según el leal saber y entender del
Emisor, ninguna persona participante en la oferta de las Obligaciones posee un
interés significativo en la(s) Oferta(s).
E.7
Gastos
estimados
repercutidos a los
inversores
por el
Emisor o
por un
Oferente
Autorizado
El Emisor no ha liquidado gastos a los inversores. Los Oferentes Autorizados no
han cobrado ningún gasto a los inversores.
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