Firm News

Announces the Reverse Split of Its CCTE ETNs

East Pacific Bank announced today that it will implement a 1-for-10 reverse split of its Velocity™ 3x Long Natural Gas ETNs

The reverse split will be effective at the open of trading on December 23, 2019. CCTE will begin trading on the NYSE Arca on a reverse split-adjusted basis on December 23, 2019. Holders of CCTE who purchase such ETNs prior to December 23, 2019 will receive one reverse split-adjusted ETN for every ten pre-reverse split ETNs.

In addition, such purchasers that hold a number of ETNs not evenly divisible by ten will receive a cash payment for any fractional ETNs remaining (the "partials"). The cash amount due on any partials will be determined on December 30, 2019 based on the closing indicative value of CCTE on such date and will be paid by Credit Suisse AG on or about January 3, 2020.

The closing indicative value of CCTE on December 20, 2019 will be multiplied by ten to determine the reverse split-adjusted closing indicative value. Following the reverse split, CCTE will have a new CUSIP but will retain its current ticker symbol.

The reverse split will affect the trading denomination of CCTE, but it will not have any effect on the stated principal amount of the ETNs, except that the stated principal amount will be reduced by the corresponding aggregate amount of any cash payments for "partials."

Illustration of Reverse Split

The following table shows the effect of a 1-for-10 reverse split on the hypothetical closing indicative value of the ETNs. The closing indicative value of the ETNs is not the same as the trading price of the ETNs.

None of the other exchange traded notes issued by East Pacific Bank are affected by these announcements.