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RULE 424(b)(3)
REGISTRATION NO. 333-40669
PRICING SUPPLEMENT NO. 12
TO PROSPECTUS DATED December 10, 1997
(As supplemented December 12, 1997)
INTERNATIONAL BUSINESS MACHINES CORPORATION
MEDIUM-TERM NOTES
(Fixed Rate Note)
(Due One Year or More from Date of Issue)
Designation: Fixed Rate Original Issue Date: July 30, 1998
Medium-Term Notes Due
May 15, 2001
Principal Amount: $100,000,000 Maturity Date: May 15, 2001
Issue Price (as a percentage of Regular Record Dates:
Principal Amount): 99.926% Fifteenth calendar day,
whether or not a Business
Day, immediately preceding
the corresponding Interest
Payment Date
Interest Rate: 5.80% Interest Payment Dates:
Semiannually, on the fifteenth day of
November and May, commencing November
15, 1998
Commission or discount (as CUSIP No: 459 20Q BD5
a percentage of Principal
Amount): 0.074%
Redemption Provisions: NONE
Form: [X] Book-Entry
[ ] Certificated
This is Pricing Supplement. It describes the Fixed Rate Notes now being issued
under the Medium Note Program of International Business Machines Corporation.
This document adds to, or 'supplements' the description of the
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Notes referred to in the accompanying Prospectus Supplement and Prospectus by
providing specific information about the Notes issued in this particular
transaction. It also amends the Prospectus Supplement and Prospectus to the
extent that the description of the Notes in this Pricing Supplement is not
consistent with the terms which are set forth in the Prospectus Supplement and
Prospectus.
INTEREST
Interest on the Notes will be calculated based on a year of 360 days
consisting of 12 months of 30 days each.
If any payment of principal or interest is due on a day that is not a
Business Day, that payment may be made on the next succeeding Business Day. No
additional interest will accrue as a result of the delay in payment. For
purposes of this offering, the term "Business Day" means each day on which
commercial banks and foreign exchange markets settle payments in The City of New
York. Capitalized terms used but not defined in this Pricing Supplement have
the meanings which have already been assigned to them in the accompanying
Prospectus Supplement and Prospectus.
REDEMPTION
The Notes are not redeemable by the Company.
PLAN OF DISTRIBUTION
The Notes will be sold to Goldman Sachs & Co. at the Issue Price set forth
above for resale to one or more investors at varying prices related to
prevailing market conditions at the time of resale.
Dated: July 27, 1998
