Filed Pursuant to Rule 424(b)(2)
Registration No.
333-272447
The information in this preliminary
pricing supplement is not complete and may be changed. This preliminary pricing supplement and the accompanying underlying supplement,
prospectus supplement and prospectus are not an offer to sell these securities and we are not soliciting an offer to buy these securities
in any jurisdiction where the offer or sale is not permitted.
Subject
to Completion, Dated May 6, 2024
Pricing
Supplement dated , 2024
(To ETF Underlying Supplement dated September 5, 2023,
Prospectus Supplement dated September 5, 2023, and Prospectus dated
September 5, 2023)
|
 |
Canadian Imperial Bank of Commerce
Senior Global Medium-Term Notes
$ Contingent Coupon Barrier Notes Linked to the
Worst Performing of the Consumer Discretionary Select Sector SPDR® Fund, the Communication Services Select Sector SPDR®
Fund and the iShares® Russell 2000 ETF due May 11, 2026
| · | The Contingent Coupon Barrier Notes (the “notes”) will provide quarterly Contingent Coupon
Payments of $20.70 per $1,000 principal amount (or 2.07% of the principal amount, equivalent to 8.28% per annum) if,
and only if, the Closing Price of the Worst Performing Underlying on the applicable quarterly
Coupon Determination Date is greater than or equal to its Coupon Barrier Price (60% of its Initial Price). |
| · | The Payment at Maturity will depend on the Closing Price of the Worst Performing Underlying on the Final
Valuation Date (the “Final Price”) and will be calculated as follows: |
| a. | If the Final Price of the Worst Performing Underlying is greater than or equal to its Principal Barrier
Price (60% of its Initial Price): (i) the principal amount plus (ii) the final Contingent Coupon Payment. |
| b. | If the Final Price of the Worst Performing Underlying is less than its Principal
Barrier Price: (i) the principal amount plus (ii) the product of the principal amount multiplied by the Percentage Change
of the Worst Performing Underlying. In this case, you will lose some or all of the principal amount at maturity. Even with any Contingent
Coupon Payments, the return on the notes could be negative. |
| · | The notes will not be listed on any securities exchange. |
| · | The notes will be issued in minimum denomination of $1,000 and integral multiples of $1,000 in excess
thereof. |
The notes are unsecured obligations of the Bank and any payments
on the notes are subject to the credit risk of the Bank. The notes will not constitute deposits insured by the Canada Deposit Insurance
Corporation, the U.S. Federal Deposit Insurance Corporation, or any other government agency or instrumentality of Canada, the United States
or any other jurisdiction. The notes are not bail-inable debt securities (as defined on page 6 of the prospectus).
Neither the Securities and Exchange Commission (the “SEC”)
nor any state or provincial securities commission has approved or disapproved of these notes or determined if this pricing supplement
or the accompanying underlying supplement, prospectus supplement or prospectus is truthful or complete. Any representation to the contrary
is a criminal offense.
Investing in the notes involves risks not associated with an investment
in ordinary debt securities. See “Additional Risk Factors” beginning on page PS-8 of this pricing supplement, and “Risk
Factors” beginning on page S-1 of the accompanying underlying supplement, page S-1 of the prospectus supplement and page 1 of the
prospectus.
| |
Price to Public (Initial Issue Price)(1) |
Underwriting Discount(1)(2) |
Proceeds to Issuer |
| Per Note |
$1,000.00 |
Up to $4.00 |
At least $996.00 |
| Total |
$ |
$ |
$ |
| (1) | Because certain dealers who purchase the notes for sale to certain fee-based advisory accounts may forgo some or all of their commissions
or selling concessions, the price to public for investors purchasing the notes in these accounts may be between $996.00 and $1,000.00
per note. |
| (2) | CIBC World Markets Corp. (“CIBCWM”), acting as agent for the Bank, will receive a commission of up to $4.00 (0.40%) per
$1,000 principal amount of the notes. CIBCWM may use a portion or all of its commission to allow selling concessions to other dealers
in connection with the distribution of the notes. The other dealers may forgo, in their sole discretion, some or all of their selling
concessions. See “Supplemental Plan of Distribution (Conflicts of Interest)” on page PS-18 of this pricing supplement. |
The initial estimated value of the notes on the Trade Date as determined
by the Bank is expected to be between $970.80 and $990.80 per $1,000 principal amount of the notes, which is expected to be less than
the price to public. See “The Bank’s Estimated Value of the Notes” in this pricing supplement.
We will deliver the notes in book-entry form through the facilities
of The Depository Trust Company (“DTC”) on or about May 9, 2024 against payment in immediately available funds.
CIBC Capital Markets
ADDITIONAL
TERMS OF THE NOTES
You should read this pricing supplement together with the prospectus
dated September 5, 2023 (the “prospectus”), the prospectus supplement dated September 5, 2023 (the “prospectus supplement”)
and the ETF Underlying Supplement dated September 5, 2023 (the “underlying supplement”). Information in this pricing supplement
supersedes information in the underlying supplement, the prospectus supplement and the prospectus to the extent it is different from that
information. Certain terms used but not defined herein will have the meanings set forth in the underlying supplement, the prospectus supplement
or the prospectus.
You should rely only on the information contained in or incorporated
by reference in this pricing supplement and the accompanying underlying supplement, the prospectus supplement and the prospectus. This
pricing supplement may be used only for the purpose for which it has been prepared. No one is authorized to give information other than
that contained in this pricing supplement and the accompanying underlying supplement, the prospectus supplement and the prospectus, and
in the documents referred to in those documents and which are made available to the public. We, CIBCWM and our other affiliates have not
authorized any other person to provide you with different or additional information. If anyone provides you with different or additional
information, you should not rely on it.
We and CIBCWM are not making an offer to sell the notes in any jurisdiction
where the offer or sale is not permitted. You should not assume that the information contained in or incorporated by reference in this
pricing supplement or the accompanying underlying supplement, the prospectus supplement or the prospectus is accurate as of any date other
than the date of the applicable document. Our business, financial condition, results of operations and prospects may have changed since
that date. Neither this pricing supplement nor the accompanying underlying supplement, the prospectus supplement or the prospectus constitutes
an offer, or an invitation on behalf of us or CIBCWM, to subscribe for and purchase any of the notes and may not be used for or in connection
with an offer or solicitation by anyone in any jurisdiction in which such an offer or solicitation is not authorized or to any person
to whom it is unlawful to make such an offer or solicitation.
References to “CIBC,” “the Issuer,” “the
Bank,” “we,” “us” and “our” in this pricing supplement are references to Canadian Imperial Bank
of Commerce and not to any of our subsidiaries, unless we state otherwise or the context otherwise requires. References to “Fund”
in the underlying supplement will be references to “Underlying.”
You may access the underlying supplement, the prospectus supplement
and the prospectus on the SEC website www.sec.gov as follows (or if such address has changed, by reviewing our filing for the relevant
date on the SEC website):
SUMMARY
The information in this “Summary” section is qualified
by the more detailed information set forth in the underlying supplement, the prospectus supplement and the prospectus. See “Additional
Terms of the Notes” in this pricing supplement.
| Issuer: |
Canadian Imperial Bank of Commerce |
| Reference Asset: |
The worst performing of the Consumer Discretionary Select Sector SPDR® Fund (Bloomberg ticker: XLY) (the “XLY”), the Communication Services Select Sector SPDR® Fund (the “XLC”) and the iShares® Russell 2000 ETF (the “IWM”) (each, a “Fund” and together, the “Funds”) |
| Principal Amount: |
$1,000 per note |
| Aggregate Principal Amount: |
$ |
| Term: |
Approximately two years |
| Strike Date: |
May 3, 2024 |
| Trade Date: |
Expected to be May 6, 2024 |
| Original Issue Date: |
Expected to be May 9, 2024 (to be determined on the Trade Date and expected to be the third scheduled Business Day after the Trade Date) |
| Final Valuation Date: |
Expected to be May 6, 2026, subject to postponement as described under “Certain Terms of the Notes—Valuation Dates—For Notes Where the Reference Asset Consists of Multiple Funds” in the underlying supplement. |
| Maturity Date: |
Expected to be May 11, 2026. The Maturity Date may be postponed as described under “Certain Terms of the Notes—Interest Payment Dates, Coupon Payment Dates, Call Payment Dates and Maturity Date” in the underlying supplement. |
|
Contingent Coupon Payment: |
On each Coupon Payment Date, you will receive a Contingent Coupon Payment
of $20.70 per $1,000 principal amount (or 2.07% of the principal amount, equivalent to 8.28% per annum) if, and only if, the Closing Price
of the Worst Performing Underlying on the related Coupon Determination Date is greater than or equal to its Coupon Barrier Price.
If the Closing Price of the Worst
Performing Underlying on any Coupon Determination Date is less than its Coupon Barrier Price, you will not receive any Contingent Coupon
Payment on the related Coupon Payment Date. If the Closing Price of the Worst Performing Underlying is less than its Coupon Barrier Price
on all quarterly Coupon Determination Dates, you will not receive
any Contingent Coupon Payments over the term of the notes. |
| Coupon Barrier Price: |
$106.75 with respect to the XLY, $48.13 with respect to the XLC, and $121.14 with respect to the IWM, each of which is 60% of its Initial Price (rounded to two decimal places for the XLY and the XLC). |
| Coupon
Determination Dates and Coupon Payment Dates: |
Quarterly.
Each expected Coupon Determination Date and the corresponding Coupon Payment Date are as set forth below: |
| |
Coupon Determination Dates* |
Coupon Payment Dates** |
| |
August 6, 2024 |
August 9, 2024 |
| |
November 6, 2024 |
November 12, 2024 |
| |
February 6, 2025 |
February 11, 2025 |
| |
May 6, 2025 |
May 9, 2025 |
| |
August 6, 2025 |
August 11, 2025 |
| |
November 6, 2025 |
November 12, 2025 |
| |
February 6, 2026 |
February 11, 2026 |
| |
May 6, 2026
(the Final Valuation Date) |
May 11, 2026
(the Maturity Date) |
| |
* Each Coupon Determination Date is subject to postponement as described under “Certain Terms of the Notes—Valuation Dates—For Notes Where the Reference Asset Consists of Multiple Funds” in the underlying supplement. |
| |
** Each Coupon Payment Date is subject to postponement as described under “Certain Terms of the Notes—Interest Payment Dates, Coupon Payment Dates, Call Payment Dates and Maturity Date” in the underlying supplement. |
| Payment at Maturity: |
The Payment at Maturity will be based on the Final Price of the Worst
Performing Underlying and will be calculated as follows:
·
If the Final Price of the Worst Performing Underlying is greater than or equal to its Principal Barrier
Price:
Principal Amount + Final Contingent
Coupon Payment
·
If the Final Price of the Worst Performing Underlying is less than its Principal Barrier Price:
Principal Amount + (Principal Amount
× Percentage Change of the Worst Performing Underlying)
In this case, you will lose some or all of the principal
amount at maturity. Even with any Contingent Coupon Payments, the return on the notes could be negative. |
| Percentage Change: |
The “Percentage Change” with respect to each Fund, expressed
as a percentage, is calculated as follows:
Final Price – Initial Price
Initial Price |
| |
|
| Principal Barrier Price: |
$106.75 with respect to the XLY, $48.13 with respect to the XLC, and $121.14 with respect to the IWM, each of which is 60% of its Initial Price (rounded to two decimal places for the XLY and the XLC). |
| Worst Performing Underlying: |
On any Coupon Determination Date, including the Final Valuation Date, the “Worst Performing Underlying” is the Fund that has the lowest Closing Price on that date as a percentage of its Initial Price. |
| Initial Price: |
$177.91 with respect to the XLY, $80.21 with respect to the XLC, and $201.90 with respect to the IWM, each of which was its Closing Price on the Strike Date, subject to adjustment as described under “Certain Terms of the Notes—Anti-Dilution Adjustments” in the underlying supplement. |
| Final Price: |
For each Fund, its Closing
Price on the Final Valuation Date. |
| Calculation Agent: |
Canadian Imperial Bank of Commerce.
|
| CUSIP/ISIN: |
13607XS24 / US13607XS241 |
| Fees and Expenses: |
The price at which you purchase the notes includes
costs that the Bank or its affiliates expect to incur and profits that the Bank or its affiliates expect to realize in connection
with hedging activities related to the notes. |
The Trade Date and the other dates set forth above are subject to change, and will be set forth in the final pricing supplement relating to the notes.
|
HYPOTHETICAL
PAYMENT AT MATURITY
The following table and examples are provided for illustrative purposes
only and are hypothetical. They do not purport to be representative of every possible scenario concerning increases or decreases in the
Final Price of any Fund relative to its Initial Price. We cannot predict the Closing Price of any Fund on any Coupon Determination Date,
including the Final Valuation Date. The assumptions we have made in connection with the illustrations set forth below may not reflect
actual events. You should not take this illustration or these examples as an indication or assurance of the expected performance of the
Funds or return on the notes. The numbers appearing in the table below and following examples have been rounded for ease of analysis.
The table below illustrates the Payment at Maturity on a $1,000 investment
in the notes for a hypothetical range of Percentage Changes of the Worst Performing Underlying from -100% to +100%. The following results
are based solely on the assumptions outlined below. The “Hypothetical Return on the Notes” as used below is the number, expressed
as a percentage, that results from comparing the Payment at Maturity per $1,000 principal amount to $1,000. The potential returns described
below assume that the notes are held to maturity. The following table and examples assume the following:
| Principal
Amount: |
$1,000 |
| Contingent Coupon Payment:
|
$20.70 (or 2.07% of the
principal amount, equivalent to 8.28% per annum) |
| Hypothetical Initial Price
of the Worst Performing Underlying: |
1,000 |
| Hypothetical Coupon
Barrier Price of the Worst Performing Underlying: |
600 (60%
of its Hypothetical Initial Price) |
| Hypothetical Principal
Barrier Price of the Worst Performing Underlying: |
600 (60%
of its Hypothetical Initial Price) |
Hypothetical
Final
Price of the Worst
Performing
Underlying |
Hypothetical
Percentage Change of the
Worst Performing
Underlying |
Hypothetical
Payment at
Maturity |
Hypothetical
Return on
the Notes |
| 2,000.00
|
100.00% |
$1,020.70
(1) |
2.07% |
| 1,750.00 |
75.00% |
$1,020.70 |
2.07% |
| 1,500.00 |
50.00% |
$1,020.70 |
2.07% |
| 1,250.00 |
25.00% |
$1,020.70 |
2.07% |
| 1,000.00(2) |
0.00% |
$1,020.70 |
2.07% |
| 800.00 |
-20.00% |
$1,020.70 |
2.07% |
| 700.00(3) |
-30.00% |
$1,020.70 |
2.07% |
| 670.00 |
-33.00% |
$1,020.70 |
2.07% |
| 600.00(3) |
-40.00% |
$1,020.70 |
2.07% |
| 590.00 |
-41.00% |
$590.00 |
-41.000% |
| 500.00 |
-50.00% |
$500.00 |
-50.000% |
| 300.00 |
-70.00% |
$300.00 |
-70.000% |
| 250.00 |
-75.00% |
$250.00 |
-75.000% |
| 0.00
|
-100.00% |
$0.00 |
-100.000% |
| (1) | The
Payment at Maturity will not exceed the principal amount plus the final Contingent Coupon
Payment. |
| (2) | The
hypothetical Initial Price of 1,000 used in these examples has been chosen for illustrative
purposes only. The actual Initial Price of each Fund is set forth on page PS-3 of this pricing
supplement. |
| (3) | This
is the hypothetical Coupon Barrier Price and the hypothetical Principal Barrier
Price of the Worst Performing Underlying. |
The following examples indicate how the Payment at Maturity would
be calculated with respect to a hypothetical $1,000 investment in the notes assuming that the notes
are held to maturity.
Example 1: The Percentage Change of the Worst Performing Underlying
Is 50.00%.
Because the Final Price of the Worst Performing Underlying is greater
than or equal to its Coupon Barrier Price, the Payment at Maturity would be $1,020.70 per $1,000 principal amount, calculated as follows:
$1,000 + Final Contingent Coupon Payment
= $1,000 + ($1,000 × 2.07%)
= $1,020.70
Example 1 shows that the Payment at Maturity will be fixed at the
principal amount plus the final Contingent Coupon Payment when the Final Price of the Worst Performing Underlying is at or above its
Coupon Barrier Price, regardless of the extent to which the price of the Worst Performing Underlying increases.
Example 2: The Percentage Change of the Worst Performing Underlying
Is -20.00%.
Because the Final Price of the Worst Performing Underlying is greater
than or equal to its Coupon Barrier Price, the Payment at Maturity would be $1,020.70 per $1,000 principal amount, calculated as follows:
$1,000 + Final Contingent Coupon Payment
= $1,000 + ($1,000 × 2.07%)
= $1,020.70
Example 2 shows that the Payment at Maturity will equal the principal
amount plus the final Contingent Coupon Payment when the Final Price of the Worst Performing Underlying is at or above its Coupon Barrier
Price, although the price of the Worst Performing Underlying has decreased moderately.
Example 3: The Percentage Change of the Worst Performing Underlying
Is -75.00%.
Because the Final Price of the Worst Performing Underlying is less
than its Principal Barrier Price, the Payment at Maturity would be $250.00 per $1,000 principal amount, calculated as follows:
$1,000 + ($1,000 × Percentage Change of
the Worst Performing Underlying)
= $1,000 + ($1,000 × -75.00%)
= $250.00
Example 3 shows that you are exposed on a 1-to-1 basis to any decrease
in the price of the Worst Performing Underlying from its Initial Price if its Final Price is less than its Principal Barrier Price. You
may lose up to 100% of your principal amount at maturity. Even with any Contingent Coupon Payments, the return on the notes could be
negative.
These examples illustrate that you will not participate in any
appreciation of any Fund, but will be fully exposed to a decrease in the Worst Performing Underlying if Final Price of the Worst Performing
Underlying is less than its Principal Barrier Price, even if the Final Prices of the other Funds have appreciated or have not declined
below their respective Principal Barrier Prices.
INVESTOR
CONSIDERATIONS
The notes are not appropriate for all investors. The notes may be
an appropriate investment for you if:
| · | You
believe that the Closing Price of each Fund will be at or above its Coupon Barrier Price
on most or all of the Coupon Determination Dates, and the Final Price of the Worst Performing
Underlying will be at or above its Principal Barrier Price. |
| · | You
seek an investment with quarterly Contingent Coupon Payments of $20.70 per $1,000 principal
amount (or 2.07% of the principal amount, equivalent to 8.28% per annum) if, and only
if, the Closing Price of the Worst Performing Underlying on the applicable Coupon Determination
Date is greater than or equal to its Coupon Barrier Price. |
| · | You
are willing to lose a substantial portion or all of the principal amount of the notes if
the Final Price of the Worst Performing Underlying is less than its Principal Barrier Price. |
| · | You
are willing to accept the risk that you may not receive any Contingent Coupon Payments on
most or all of the Coupon Payment Dates and may lose up to 100% of the principal amount of
the notes at maturity. |
| · | You
are willing to invest in the notes based on the fact that your maximum potential return is
the sum of any Contingent Coupon Payments payable on the notes. |
| · | You
are willing to forgo participation in any appreciation of any Fund. |
| · | You
understand that the return on the notes will depend solely on the performance of the Worst
Performing Underlying on each Coupon Determination Date and consequently, the notes are riskier
than alternative investments linked to only one of the Funds or linked to a basket composed
of the Funds. |
| · | You
do not seek certainty of current income over the term of the notes. |
| · | You
are willing to forgo dividends or other distributions paid on the Funds or securities held
by the Funds. |
| · | You
do not seek an investment for which there will be an active secondary market. |
| · | You
are willing to assume the credit risk of the Bank for any payments under the notes. |
The notes may not be an appropriate investment for you if:
| · | You
believe that the Closing Price of at least one Fund will be below its Coupon Barrier Price
on most or all of the Coupon Determination Dates, and the Final Price of the Worst Performing
Underlying will be below its Principal Barrier Price. |
| · | You
believe that the Contingent Coupon Payments, if any, will not provide you with your desired
return. |
| · | You
are unwilling to lose a substantial portion or all of the principal amount of the notes if
the Final Price of the Worst Performing Underlying is less than its Principal Barrier Price. |
| · | You
are unwilling to accept the risk that you may not receive any Contingent Coupon Payments
on most or all of the Coupon Payment Dates and may lose up to 100% of the principal amount
of the notes at maturity. |
| · | You
seek full payment of the principal amount of the notes at maturity. |
| · | You
seek an uncapped return on your investment. |
| · | You
seek exposure to the upside performance of any or each Fund. |
| · | You
seek exposure to a basket composed of the Funds or a similar investment in which the overall
return is based on a blend of the performances of the Funds, rather than solely on the Worst
Performing Underlying. |
| · | You
seek certainty of current income over the term of the notes. |
| · | You
want to receive dividends or other distributions paid on the Funds or securities held by
the Funds. |
| · | You
seek an investment for which there will be an active secondary market. |
| · | You
are not willing to assume the credit risk of the Bank for all payments under the notes. |
The investor suitability considerations identified above are not
exhaustive. Whether or not the notes are a suitable investment for you will depend on your individual circumstances and you should reach
an investment decision only after you and your investment, legal, tax, accounting and other advisors have carefully considered the suitability
of an investment in the notes in light of your particular circumstances. You should also review ‘‘Additional Risk Factors’’
below for risks related to the notes.
ADDITIONAL
RISK FACTORS
An investment in the notes involves significant risks. In addition
to the following risks included in this pricing supplement, we urge you to read “Risk Factors” beginning on page S-1 of the
accompanying underlying supplement, page S-1 of the prospectus supplement and page 1 of the prospectus.
You should understand the risks of investing in the notes and should
reach an investment decision only after careful consideration, with your advisers, of the suitability of the notes in light of your particular
financial circumstances and the information set forth in this pricing supplement and the accompanying underlying supplement, the prospectus
supplement and the prospectus.
Structure Risks
You may lose all or a substantial portion
of the principal amount of your notes.
The notes do not guarantee any return of principal. The repayment
of any principal on the notes at maturity depends on the Final Price of the Worst Performing Underlying. The Bank will only repay you
the full principal amount of your notes if the Final Price of the Worst Performing Underlying is greater than or equal to its Principal
Barrier Price. If the Final Price of the Worst Performing Underlying is less than its Principal Barrier Price, you will lose 1% of the
principal amount for each percentage point that the Final Price of the Worst Performing Underlying is less than its Initial Price. You
may lose a substantial portion or all of the principal amount. Even with any Contingent Coupon Payments, the return on the notes could
be negative.
The notes do not provide for fixed payments
of interest and you may receive no Contingent Coupon Payments on most or all of the Coupon Payment Dates.
On each Coupon Payment Date, you will receive a Contingent Coupon
Payment if, and only if, the Closing Price of the Worst Performing Underlying on the related Coupon Determination Date is greater
than or equal to its Coupon Barrier Price. If the Closing Price of the Worst Performing Underlying on any Coupon Determination Date is
less than its Coupon Barrier Price, you will not receive any Contingent Coupon Payment on the related Coupon Payment Date, and if the
Closing Price of the Worst Performing Underlying is less than its Coupon Barrier Price on each Coupon Determination Date over the term
of the notes, you will not receive any Contingent Coupon Payments over the entire term of the notes.
You will not participate in any appreciation
of any Fund and your return on the notes will be limited to the Contingent Coupon Payments paid on the notes, if any.
The Payment at Maturity will not exceed the principal amount plus
the final Contingent Coupon Payment and any positive return you receive on the notes will be composed solely of the sum of any Contingent
Coupon Payments received at maturity. You will not participate in any appreciation of any Fund. Therefore, if the appreciation of any
Fund exceeds the sum of the Contingent Coupon Payments paid to you, if any, the notes will underperform an investment in securities linked
to that Fund providing full participation in the appreciation. Accordingly, the return on the notes may be less than the return would
be if you made an investment in securities directly linked to the positive performance of the Funds.
Higher Contingent Coupon Payment or lower Principal Barrier Price
are generally associated with Funds with greater expected volatility and therefore can indicate a greater risk of loss.
“Volatility” refers to the frequency and magnitude of
changes in the price of a Fund. The greater the expected volatility with respect to a Fund on the Trade Date, the higher the expectation
as of the Trade Date that the price of the Fund could close below its Principal Barrier Price on the Final Valuation Date, indicating
a higher expected risk of loss on the notes. This greater expected risk will generally be reflected in a higher Contingent Coupon Payment
than the yield payable on our conventional debt securities with a similar maturity, or in more favorable terms (such as a lower Coupon
Barrier Price or a higher Contingent Coupon Payment) than for similar securities linked to the performance of the Funds with a lower
expected volatility as of the Trade Date. You should therefore understand that a relatively higher Contingent Coupon Payment may indicate
an increased risk of loss. Further, a relatively lower Principal Barrier Price may not necessarily indicate that the notes have a greater
likelihood of a repayment of principal at maturity. The volatility of a Fund can change significantly over the term of the notes. The
price of a Fund could fall sharply, which could result in a significant loss of principal. You should be willing to accept the downside
market risk of the Funds and the potential to lose some or all of your principal at maturity.
The payments on the notes are not linked to
the price of the Funds at any time other than the Coupon Determination Dates.
The payments on the notes will be based on the Closing Price of each
Fund on the Coupon Determination Dates. Therefore, for example, if the Closing Price of a Fund declined as of a Coupon Determination
Date below its Coupon Barrier Price, the relevant Contingent Coupon Payment will not be payable. Similarly, if the Final Price of the
Worst Performing Underlying declined as of the Final Valuation Date below its Principal Barrier Price, the Payment at Maturity may be
significantly less than it would otherwise have been had the Payment at Maturity been linked to the Closing Price of the Worst Performing
Underlying prior to the Final Valuation Date. Although the actual price of a Fund at other times during the term of the notes may be
higher than its Closing Price on a Coupon Determination Date, the payments on the notes will not benefit from the Closing Price of such
Fund at any time other than the Coupon Determination Dates.
Reference Asset Risks
The notes are subject to the full risks of the Worst Performing
Underlying and will be negatively affected if any Fund performs poorly, even if the other Funds perform favorably.
You are subject to the full risks of the Worst Performing Underlying.
If the Worst Performing Underlying performs poorly, you will be negatively affected, even if the other Funds perform favorably. The notes
are not linked to a basket composed of the Funds, where the better performance of one Fund could offset the poor performance of the others.
Instead, you are subject to the full risks of the Worst Performing Underlying on each Coupon Determination Date. As a result, the notes
are riskier than an alternative investment linked to only one of the Funds or linked to a basket composed of the Funds. You should not
invest in the notes unless you understand and are willing to accept the full downside risks of the Worst Performing Underlying.
An investment in the notes is subject to risks associated with
investing in stocks in the relevant sectors.
The stocks included in the Underlying Index for a Fund and that are
generally tracked by such Fund are stocks of companies whose primary business is directly associated with a particular sector. Because
the value of the notes is linked to the performance of the Worst Performing Underlying, an investment in the notes exposes investors
to risks associated with investments in the stocks of companies in the relevant sectors. The value of the notes may be subject to greater
volatility and be more adversely affected by a single economic, political or regulatory occurrence affecting the relevant sector than
a different investment linked to a more broadly diversified group of underlying stocks. The factors described in the bullets below for
each Fund could have an adverse effect on the Closing Price of the applicable Fund and, therefore, on the value of the notes.
| · | The
XLY: The success of consumer product manufacturers and retailers is tied closely to the performance
of the overall domestic and global economy, interest rates, competition and consumer confidence
and spending. Success depends heavily on disposable household income and consumer spending.
Also, companies in the consumer discretionary sector may be subject to severe competition,
which may have an adverse impact on their respective profitability. Changes in demographics
and consumer tastes can also affect the demand for, and success of, consumer products and
services in the marketplace. |
| · | The
XLC: Communication services companies are particularly vulnerable to the potential obsolescence
of products and services due to technological advancement and the innovation of competitors.
Companies in the communication services sector may also be affected by other competitive
pressures, such as pricing competition, as well as research and development costs, substantial
capital requirements and government regulation. Additionally, fluctuating domestic and international
demand, shifting demographics and often unpredictable changes in consumer tastes can drastically
affect a communication services company’s profitability. While all companies may be
susceptible to network security breaches, certain companies in the communication services
sector may be particular targets of hacking and potential theft of proprietary or consumer
information or disruptions in service, which could have a material adverse effect on their
businesses. |
| · | The
IWM: The IWM holds securities of companies with relatively small market capitalization. These
companies often have greater stock price volatility, lower trading volume and less liquidity
than large-capitalization companies, and therefore the share price of the IWM may be more
volatile than an investment in stocks issued by large-capitalization companies. Stock prices
of small-capitalization companies are also more vulnerable than those of large-capitalization
companies to adverse business and |
economic developments, and
the stocks of small-capitalization companies may be thinly traded, making it difficult for the IWM to buy and sell them. In addition,
small-capitalization companies are typically less well-established and less stable financially than large-capitalization companies and
may depend on a small number of key personnel, making them more vulnerable to loss of personnel. Small-capitalization companies are often
subject to less analyst coverage and may be in early, and less predictable, periods of their corporate existences. Such companies tend
to have smaller revenues, less diverse product lines, smaller shares of their product or service markets, fewer financial resources and
less competitive strengths than large-capitalization companies and are more susceptible to adverse developments related to their products.
Each Fund may not be representative of an investment in its sector.
Each Fund tracks companies in a particular sector of the U.S. equity
market. However, the Funds do not represent a direct investment in their respective sectors. Each Fund consists of securities of companies
whose primary lines of business are directly associated with its sector. As a result, the Closing Price of a Fund will be influenced
by a variety of economic, financial and other factors affecting companies in the relevant sector, some of which may be unrelated to the
market and other conditions applicable to such sector. As a result, a Fund may not perfectly correlate with the performance in its sector
and the Closing Price of such Fund could decrease even if the performance of its sector as a whole increases.
The performance of a Fund may not correlate with the performance
of its Underlying Index as well as the net asset value per share of the Fund, especially during periods of market volatility.
Although a Fund is designed to track the performance of its Underlying
Index, the performance of the Fund and that of its Underlying Index generally will vary due to, for example, transaction costs, management
fees, certain corporate actions, and timing variances. Moreover, it is also possible that the performance of a Fund may not fully replicate
or may, in certain circumstances, diverge significantly from the performance of its Underlying Index. This could be due to, for example,
the Fund not holding all or substantially all of the underlying assets included in the Underlying Index and/or holding assets that are
not included in the Underlying Index, the temporary unavailability of certain securities in the secondary market, the performance of
any derivative instruments held by the Fund, differences in trading hours between the Fund (or the underlying assets held by the Fund)
and the Underlying Index, or due to other circumstances. This variation in performance is called the “tracking error,” and,
at times, the tracking error may be significant.
In addition, because the shares of a Fund are traded on a securities
exchange and are subject to market supply and investor demand, the market price of one share of the Fund may differ from its net asset
value per share; shares of the Fund may trade at, above, or below its net asset value per share.
During periods of market volatility, securities held by a Fund may
be unavailable in the secondary market, market participants may be unable to calculate accurately the net asset value per share of the
Fund and the liquidity of the Fund may be adversely affected. This kind of market volatility may also disrupt the ability of market participants
to create and redeem shares of the Fund. Further, market volatility may adversely affect, sometimes materially, the prices at which market
participants are willing to buy and sell shares of the Fund. As a result, under these circumstances, the market value of shares of the
Fund may vary substantially from the net asset value per share of the Fund.
For the foregoing reasons, the performance of a Fund may not match
the performance of its Underlying Index over the same period. Because of this variance, the return on the notes, to the extent dependent
on the performance of the Fund, may not be the same as an investment directly in the securities, commodities, or other assets included
in the Underlying Index or the same as a debt security with a return linked to the performance of the Underlying Index.
Conflicts of Interest
Certain business, trading and hedging activities of us, the agent,
and our other affiliates may create conflicts with your interests and could potentially adversely affect the value of the notes.
We, the agent, and our other affiliates may engage in trading and
other business activities related to a Fund or any securities included in a Fund that are not for your account or on your behalf. We,
the agent, and our other affiliates also may issue or underwrite other financial instruments with returns based upon a Fund. These activities
may present a conflict of interest between your interest in the notes and the interests that we, the agent, and our other affiliates
may have in our or their proprietary accounts, in facilitating transactions, including block trades, for our or
their other customers, and in accounts
under our or their management. These trading and other business activities, if they adversely affect the price of any Fund or secondary
trading in your notes, could be adverse to your interests as a beneficial owner of the notes.
Moreover, we, the agent and our other affiliates play a variety of
roles in connection with the issuance of the notes, including hedging our obligations under the notes and making the assumptions and
inputs used to determine the pricing of the notes and the initial estimated value of the notes when the terms of the notes are set. We
expect to hedge our obligations under the notes through the agent, one of our other affiliates, and/or another unaffiliated counterparty,
which may include any dealer from which you purchase the notes. Any of these hedging activities may adversely affect the price of a Fund
and therefore the market value of the notes and the amount you will receive, if any, on the notes. In connection with such activities,
the economic interests of us, the agent, and our other affiliates may be adverse to your interests as an investor in the notes. Any of
these activities may adversely affect the value of the notes. In addition, because hedging our obligations entails risk and may be influenced
by market forces beyond our control, this hedging activity may result in a profit that is more or less than expected, or it may result
in a loss. We, the agent, one or more of our other affiliates or any unaffiliated counterparty
will retain any profits realized in hedging our obligations under the notes even if investors do not receive a favorable investment
return under the terms of the notes or in any secondary market transaction. Any profit in connection with such hedging activities will
be in addition to any other compensation that we, the agent, our other affiliates or any unaffiliated
counterparty receive for the sale of the notes, which creates an additional incentive to sell the notes to you. We, the agent,
our other affiliates or any unaffiliated counterparty will have no obligation to take, refrain
from taking or cease taking any action with respect to these transactions based on the potential effect on an investor in the notes.
There are potential conflicts of interest between you and the
calculation agent.
The calculation agent will determine, among other things, the amount
of payments on the notes. The calculation agent will exercise its judgment when performing its functions. For example, the calculation
agent will determine whether a Market Disruption Event affecting a Fund has occurred, and make
a good faith estimate in its sole discretion of the Final Price for an affected Fund if the Final
Valuation Date is postponed to the last possible day, and make certain anti-dilution adjustments with respect to a Fund if certain
corporate events occur. See “Certain Terms of the Notes—Valuation Dates—For Notes Where the Reference Asset Consists
of Multiple Funds” and “—Anti-Dilution Adjustments” in the underlying supplement. This determination may, in
turn, depend on the calculation agent’s judgment as to whether the event has materially interfered with our ability or the ability
of one of our affiliates to unwind our hedge positions. The calculation agent will be required to carry out its duties in good faith
and use its reasonable judgment. However, because we will be the calculation agent, potential conflicts of interest could arise. None
of us, CIBCWM or any of our other affiliates will have any obligation to consider your interests as a holder of the notes in taking any
action that might affect the value of your notes.
Tax Risks
The tax treatment of the notes is uncertain.
Significant aspects of the tax treatment of the notes are uncertain.
You should consult your tax advisor about your own tax situation. See “United States Federal Income Tax Considerations” and
“Certain Canadian Federal Income Tax Considerations” in this pricing supplement, “Material U.S. Federal Income Tax
Consequences” in the underlying supplement and “Material Income Tax Consequences – Canadian Taxation” in the
prospectus.
General Risks
Payments on the notes are subject to our credit risk, and actual
or perceived changes in our creditworthiness are expected to affect the value of the notes.
The notes are our senior unsecured debt obligations and are not, either
directly or indirectly, an obligation of any third party. As further described in the accompanying prospectus and prospectus supplement,
the notes will rank on par with all of our other unsecured and unsubordinated debt obligations, except such obligations as may be preferred
by operation of law. Any payment to be made on the notes depends on our ability to satisfy our obligations as they come due. As a result,
the actual and perceived creditworthiness of us may affect the market value of the notes and, in the event we were to default on our
obligations, you may not receive the amounts owed to you under the terms of the notes. If we default on our obligations under the notes,
your investment would be at risk and you could lose some or all of your investment. See “Description of Senior Debt Securities—Events
of Default” in the accompanying prospectus.
The Bank’s initial estimated value of the notes will be lower
than the initial issue price (price to public) of the notes.
The initial issue price of the notes will exceed the Bank’s
initial estimated value because costs associated with selling and structuring the notes, as well as hedging the notes, are included in
the initial issue price of the notes. See “The Bank’s Estimated Value of the Notes” in this pricing supplement.
The Bank’s initial estimated value does not represent future
values of the notes and may differ from others’ estimates.
The Bank’s initial estimated value of the notes is only an estimate,
which will be determined by reference to the Bank’s internal pricing models when the terms of the notes are set. This estimated
value will be based on market conditions and other relevant factors existing at that time, the Bank’s internal funding rate on
the Trade Date and the Bank’s assumptions about market parameters, which can include volatility, dividend rates, interest rates
and other factors. Different pricing models and assumptions could provide valuations for the notes that are greater or less than the
Bank’s initial estimated value. In addition, market conditions and other relevant factors in the future may change, and any assumptions
may prove to be incorrect. On future dates, the market value of the notes could change significantly based on, among other things, changes
in market conditions, including the prices of the Funds, the Bank’s creditworthiness, interest rate movements and other relevant
factors, which may impact the price at which the agent or any other party would be willing to buy the notes from you in any secondary
market transactions. The Bank’s initial estimated value does not represent a minimum price at which the agent or any other party
would be willing to buy the notes in any secondary market (if any exists) at any time. See “The Bank’s Estimated Value of
the Notes” in this pricing supplement.
The Bank’s initial estimated value of the notes will not
be determined by reference to credit spreads for our conventional fixed-rate debt.
The internal funding rate to be used in the determination of the Bank’s
initial estimated value of the notes generally represents a discount from the credit spreads for our conventional fixed-rate debt. The
discount is based on, among other things, our view of the funding value of the notes as well as the higher issuance, operational and
ongoing liability management costs of the notes in comparison to those costs for our conventional fixed-rate debt. If the Bank were to
use the interest rate implied by our conventional fixed-rate debt, we would expect the economic terms of the notes to be more favorable
to you. Consequently, our use of an internal funding rate for market-linked notes would have an adverse effect on the economic terms
of the notes, the initial estimated value of the notes on the Trade Date, and any secondary market prices of the notes. See “The
Bank’s Estimated Value of the Notes” in this pricing supplement.
The
notes will not be listed on any securities exchange and we do not expect a trading market for the notes to develop.
The notes will not be listed on any securities exchange. Although
CIBCWM and/or its affiliates may purchase the notes from holders, they are not obligated to do so and are not required to make a market
for the notes. There can be no assurance that a secondary market will develop for the notes. Because we do not expect that any market
makers will participate in a secondary market for the notes, the price at which you may be able to sell your notes is likely to depend
on the price, if any, at which CIBCWM and/or its affiliates are willing to buy your notes.
If a secondary market does exist, it may be limited. Accordingly,
there may be a limited number of buyers if you decide to sell your notes prior to maturity. This may affect the price you receive upon
such sale. Consequently, you should be willing to hold the notes to maturity.
INFORMATION
REGARDING THE FUNDS
The information below are brief descriptions of each Fund. We have
derived the following information from publicly available documents. We have not independently verified the accuracy or completeness of
the following information. Information provided to or filed with the SEC by the Funds pursuant to the the Securities Act of 1933 (the
“Securities Act”) and the Investment Company Act of 1940 (the “Investment Company Act”) can be located by reference
to the Funds’ SEC file numbers, through the SEC’s website at www.sec.gov. In addition, information about the Funds may be
obtained from other sources including, but not limited to, the websites of their sponsors. We are not incorporating by reference into
this pricing supplement the websites or any materials they include. None of us, CIBCWM or any of our other affiliates makes any representation
that such publicly available information regarding the Funds is accurate or complete.
The Consumer Discretionary Select Sector SPDR®
Fund
The XLY seeks to provide investment results that
correspond generally to the price and yield performance, before fees and expenses, of the Consumer Discretionary Select Sector Index.
The XLY is an exchange-traded fund that trades on the NYSE Arca under the ticker symbol “XLY.”
Information provided to or filed with the SEC by the Funds pursuant
to the Securities Act and the Investment Company Act can be located by reference to SEC file numbers 333-57791 and 811-08837, respectively,
through the SEC’s website at http://www.sec.gov. See “Reference Sponsors and Fund Descriptions—The Select Sector SPDR®
Funds” beginning on page S-44 of the accompanying underlying supplement for additional information about the Funds.
The Communication Services Select Sector SPDR®
Fund
The XLC seeks to provide investment results that
correspond generally to the price and yield performance, before fees and expenses, of the Communication Services Select Sector Index,
which is designed to measure the performance of the GICS® communication services sector of the S&P 500®
Index. The XLC is an exchange-traded fund that trades on the NYSE Arca under the ticker symbol “XLC.”
Information provided to or filed with the SEC by the Funds pursuant
to the Securities Act and the Investment Company Act can be located by reference to SEC file numbers 333-57791 and 811-08837, respectively,
through the SEC’s website at http://www.sec.gov. See “Reference Sponsors and Fund Descriptions—The Select Sector SPDR®
Funds” beginning on page S-44 of the accompanying underlying supplement for additional information about the Funds.
The Communication Services Select Sector SPDR®
Fund
The IWM seeks to provide investment results that,
before expenses, correspond generally to the price and yield performance of the Russell 2000® Index, which is composed
of small-capitalization U.S. equities. The IWM trades on the NYSE Arca under the ticker symbol “IWM.”
Information provided to or filed with the SEC by the Fund pursuant
to the Securities Act and the Investment Company Act can be located by reference to SEC file numbers 033-97598 and 811-09102, respectively,
through the SEC’s website at http://www.sec.gov. See “Reference Sponsors and Fund
Descriptions—The iShares® Russell 2000 ETF” beginning on page S-38 of the accompanying underlying supplement
for additional information about the IWM.
Historical Performance of the Funds
The following graphs set forth daily Closing Prices of the Funds for
the period from January 1, 2019 to May 3, 2024. On May 3, 2024, the Closing Price was $177.91 for the XLY, $80.21 for the XLC, and $201.90
for the IWM. We obtained the Closing Prices below from Bloomberg L.P. (“Bloomberg”) without independent verification. The
historical performance of a Fund should not be taken as an indication of its future performance, and no assurances can be given as to
the price of any Fund at any time during the term of the notes, including the Final Valuation Date. We cannot give you assurance that
the performance of the Funds will result in the return of any of your investment.
Historical Performance of XLY
Source: Bloomberg
Historical Performance of XLC
Source: Bloomberg
Historical Performance of IWM
Source: Bloomberg
UNITED
STATES FEDERAL INCOME TAX CONSIDERATIONS
The following discussion is a brief summary of the material U.S. federal
income tax considerations relating to an investment in the notes. The following summary is not complete and is both qualified and supplemented
by (although to the extent inconsistent supersedes) the discussion entitled “Material U.S. Federal Income Tax Consequences”
in the underlying supplement, which you should carefully review prior to investing in the notes. It applies only to those U.S. Holders
who are not excluded from the discussion of United States Taxation in the accompanying prospectus.
The U.S. federal income tax considerations of your investment in the
notes are uncertain. No statutory, judicial or administrative authority directly discusses how the notes should be treated for U.S. federal
income tax purposes. We intend to treat the notes as prepaid derivative contracts. Pursuant to the terms of the notes, you agree to treat
the notes in this manner for all U.S. federal income tax purposes. If this treatment is respected, you should generally recognize capital
gain or loss upon the sale, exchange, cash redemption or payment upon maturity in an amount equal to the difference between the amount
you receive in such transaction and the amount that you paid for your notes. Such gain or loss should generally be treated as long-term
capital gain or loss if you have held your notes for more than one year. Although the tax treatment of the Contingent Coupon Payments
is unclear, we intend to treat any Contingent Coupon Payments, including on the Maturity Date, as ordinary income includible in income
by you at the time it accrues or is received in accordance with your normal method of accounting for U.S. federal income tax purposes.
The expected characterization of the notes is not binding on the U.S.
Internal Revenue Service (the “IRS”) or the courts. It is possible that the IRS would seek to characterize the notes in a
manner that results in tax consequences to you that are different from those described above or in the accompanying underlying supplement.
For a more detailed discussion of certain alternative characterizations with respect to the notes and certain other considerations with
respect to an investment in the notes, you should consider the discussion set forth in “Material U.S. Federal Income Tax Consequences”
of the underlying supplement. We are not responsible for any adverse consequences that you may experience as a result of any alternative
characterization of the notes for U.S. federal income tax or other tax purposes.
You should consult your tax advisor as to the tax consequences of
such characterization and any possible alternative characterizations of the notes for U.S. federal income tax purposes. You should also
consult your tax advisor concerning the U.S. federal income tax and other tax consequences of your investment in the notes in your particular
circumstances, including the application of state, local or other tax laws and the possible effects of changes in federal or other tax
laws.
CERTAIN
CANADIAN FEDERAL INCOME TAX CONSIDERATIONS
In the opinion of Blake, Cassels & Graydon LLP, our Canadian tax
counsel, the following summary describes the principal Canadian federal income tax considerations under the Income Tax Act (Canada)
and the regulations thereto (the “Canadian Tax Act”) generally applicable at the date hereof to a purchaser who acquires beneficial
ownership of a note pursuant to this pricing supplement and who for the purposes of the Canadian Tax Act and at all relevant times: (a)
is neither resident nor deemed to be resident in Canada; (b) deals at arm’s length with the Issuer and any transferee resident (or
deemed to be resident) in Canada to whom the purchaser disposes of the note; (c) does not use or hold and is not deemed to use or hold
the note in, or in the course of, carrying on a business in Canada; (d) is entitled to receive all payments (including any interest and
principal) made on the note; (e) is not a, and deals at arm’s length with any, “specified shareholder” of the Issuer
for purposes of the thin capitalization rules in the Canadian Tax Act; and (f) is not an entity in respect of which the Issuer or any
transferee resident (or deemed to be resident) in Canada to whom the purchaser disposes of, loans or otherwise transfers the note is a
“specified entity”, and is not a “specified entity” in respect of such a transferee, in each case, for purposes
of the Hybrid Mismatch Proposals, as defined below (a “Non-Resident Holder”). Special rules which apply to non-resident insurers
carrying on business in Canada and elsewhere are not discussed in this summary.
This summary assumes that no amount paid or payable to a holder described
herein will be the deduction component of a “hybrid mismatch arrangement” under which the payment arises within the meaning
of proposed paragraph 18.4(3)(b) of the Canadian Tax Act contained in the revised proposals with respect to “hybrid mismatch arrangements”
included in the proposals to amend the Canadian Tax Act released by the Minister of Finance (Canada) on November 28, 2023 (the “Hybrid
Mismatch Proposals”). Investors should note that the Hybrid Mismatch Proposals are in draft form, are highly complex, and there
remains significant uncertainty as to their interpretation and application. There can be no assurance that the Hybrid Mismatch Proposals
will be enacted in their current form, or at all.
This summary is supplemental to and should be read together with the
description of material Canadian federal income tax considerations relevant to a Non-Resident Holder owning notes under “Material
Income Tax Consequences—Canadian Taxation” in the accompanying prospectus and a Non-Resident Holder should carefully read
that description as well.
This summary is of a general nature only and is not intended to
be, nor should it be construed to be, legal or tax advice to any particular Non-Resident Holder. Non-Resident Holders are advised to consult
with their own tax advisors with respect to their particular circumstances.
Based on Canadian tax counsel’s understanding of the Canada Revenue
Agency’s administrative policies and having regard to the terms of the notes, interest payable on the notes should not be considered
to be “participating debt interest” as defined in the Canadian Tax Act and accordingly, a Non-Resident Holder should not be
subject to Canadian non-resident withholding tax in respect of amounts paid or credited or deemed to have been paid or credited by the
Issuer on a note as, on account of or in lieu of payment of, or in satisfaction of, interest.
Non-Resident Holders should consult their own advisors regarding the
consequences to them of a disposition of the notes to a person with whom they are not dealing at arm’s length for purposes of the
Canadian Tax Act.
SUPPLEMENTAL
PLAN OF DISTRIBUTION (CONFLICTS OF INTEREST)
CIBCWM will purchase the notes from CIBC at the price to public less
the underwriting discount set forth on the cover page of this pricing supplement for distribution to other registered broker-dealers,
or will offer the notes directly to investors. CIBCWM or other registered broker-dealers will offer the notes at the price to public set
forth on the cover page of this pricing supplement. CIBCWM may receive a commission of up to $4.00 (0.40%) per $1,000 principal amount
of the notes and may use a portion or all of that commission to allow selling concessions to other dealers in connection with the distribution
of the notes. The other dealers may forgo, in their sole discretion, some or all of their selling concessions. The price to public for
notes purchased by certain fee-based advisory accounts may vary between 99.60% and 100.00% of the principal amount of the notes. Any sale
of a note to a fee-based advisory account at a price to public below 100.00% of the principal amount will reduce the agent’s commission
specified on the cover page of this pricing supplement with respect to such note. The price to public paid by any fee-based advisory account
will be reduced by the amount of any fees assessed by the dealers involved in the sale of the notes to such advisory account but not by
more than 0.40% of the principal amount of the notes.
CIBCWM is our affiliate, and is deemed to have a conflict of interest
under FINRA Rule 5121. In accordance with FINRA Rule 5121, CIBCWM may not make sales in this offering to any of its discretionary accounts
without the prior written approval of the customer.
We expect to deliver the notes against payment therefor in New York,
New York on a date that is more than two business days following the Trade Date. Under Rule 15c6-1 of the Securities Exchange Act of 1934,
trades in the secondary market generally are required to settle in two business days, unless the parties to any such trade expressly agree
otherwise. Accordingly, purchasers who wish to trade the notes on any date prior to two business days before delivery will be required
to specify alternative settlement arrangements to prevent a failed settlement.
The Bank may use this pricing supplement in the initial sale of the
notes. In addition, CIBCWM or another of the Bank’s affiliates may use this pricing supplement in market-making transactions in
any notes after their initial sale. Unless CIBCWM or we inform you otherwise in the confirmation of sale, this pricing supplement is being
used by CIBCWM in a market-making transaction.
While CIBCWM may make markets in the notes, it is under no obligation
to do so and may discontinue any market-making activities at any time without notice. The price that it makes available from time to time
after the Original Issue Date at which it would be willing to repurchase the notes will generally reflect its estimate of their value.
That estimated value will be based upon a variety of factors, including then prevailing market conditions, our creditworthiness and transaction
costs. However, for a period of approximately three months after the Trade Date, the price at which CIBCWM may repurchase the notes is
expected to be higher than their estimated value at that time. This is because, at the beginning of this period, that price will not include
certain costs that were included in the initial issue price, particularly our hedging costs and profits. As the period continues, these
costs are expected to be gradually included in the price that CIBCWM would be willing to pay, and the difference between that price and
CIBCWM’s estimate of the value of the notes will decrease over time until the end of this period. After this period, if CIBCWM continues
to make a market in the notes, the prices that it would pay for them are expected to reflect its estimated value, as well as customary
bid-ask spreads for similar trades. In addition, the value of the notes shown on your account statement may not be identical to the price
at which CIBCWM would be willing to purchase the notes at that time, and could be lower than CIBCWM’s price. See the section titled
“Supplemental Plan of Distribution (Conflicts of Interest)” in the accompanying prospectus supplement.
The price at which you purchase the notes includes costs that the Bank
or its affiliates expect to incur and profits that the Bank or its affiliates expect to realize in connection with hedging activities
related to the notes. These costs and profits will likely reduce the secondary market price, if any secondary market develops, for the
notes. As a result, you may experience an immediate and substantial decline in the market value of your notes on the Original Issue Date.
THE
BANK’S ESTIMATED VALUE OF THE NOTES
The Bank’s initial estimated value of the notes set forth on
the cover of this pricing supplement is equal to the sum of the values of the following hypothetical components: (1) a fixed-income debt
component with the same maturity as the notes, valued using our internal funding rate for structured debt described below, and (2) the
derivative or derivatives underlying the economic terms of the notes. The Bank’s initial estimated value does not represent a minimum
price at which CIBCWM or any other person would be willing to buy your notes in any secondary market (if any exists) at any time. The
internal funding rate used in the determination of the Bank’s initial estimated value generally represents a discount from the credit
spreads for our conventional fixed-rate debt. The discount is based on, among other things, our view of the funding value of the notes
as well as the higher issuance, operational and ongoing liability management costs of the notes in comparison to those costs for our conventional
fixed-rate debt. For additional information, see “Additional Risk Factors—The Bank’s initial estimated value of the
notes will not be determined by reference to credit spreads for our conventional fixed-rate debt” in this pricing supplement. The
value of the derivative or derivatives underlying the economic terms of the notes is derived from the Bank’s or a third party hedge
provider’s internal pricing models. These models are dependent on inputs such as the traded market prices of comparable derivative
instruments and on various other inputs, some of which are market-observable, and which can include volatility, dividend rates, interest
rates and other factors, as well as assumptions about future market events and/or environments. Accordingly, the Bank’s initial
estimated value of the notes will be determined when the terms of the notes are set based on market conditions and other relevant factors
and assumptions existing at that time. See “Additional Risk Factors—The Bank’s initial estimated value does not represent
future values of the notes and may differ from others’ estimates” in this pricing supplement.
The Bank’s initial estimated value of the notes will be lower
than the initial issue price of the notes because costs associated with selling, structuring and hedging the notes are included in the
initial issue price of the notes. These costs include the selling commissions paid to CIBCWM and other affiliated or unaffiliated dealers,
the projected profits that our hedge counterparties, which may include our affiliates, expect to realize for assuming risks inherent in
hedging our obligations under the notes and the estimated cost of hedging our obligations under the notes. Because hedging our obligations
entails risk and may be influenced by market forces beyond our control, this hedging may result in a profit that is more or less than
expected, or it may result in a loss. We or one or more of our affiliates will retain any profits realized in hedging our obligations
under the notes. See “Additional Risk Factors—The Bank’s initial estimated value of the notes will be lower than the
initial issue price (price to public) of the notes” in this pricing supplement.
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