January 2010
 

Pricing Sheet dated January 25, 2010 relating to

Preliminary Terms No. 18 dated December 22, 2009

Registration Statement No. 333-155535

Filed pursuant to Rule 433

PRICING TERMS – JANUARY 25, 2010

Issuer:

JPMorgan Chase & Co.

ETF Shares:

Shares of the iShares^® Dow Jones U.S. Real Estate Index Fund

Underlying Index:

Dow Jones U.S. Real Estate Index

Aggregate principal amount:

$34,027,430

Stated principal amount:

$10 per security

Issue price:

$10 per security (see “Commissions and Issue Price” below)

Pricing date:

January 25, 2010

Original issue date:

January 28, 2010 (3 business days after the pricing date)

Maturity date:

January 27, 2012, subject to adjustment for certain market disruption events and as described under “Description of Securities — Payment at Maturity” in the accompanying product supplement no. MS-7-A-I

Payment at maturity:

• If the final share price is greater than the initial share price, for each $10 stated principal amount security,

$10 + upside payment

• If the final share price is less than or equal to the initial share price, for each $10 stated principal amount security,

$10 x share performance factor

This amount will be equal to or less than the stated principal amount of $10.
There is no minimum payment at maturity.

Upside payment:

$4.40 per security (44% of the stated principal amount). Accordingly, even if the final share price is significantly greater than the initial share price, your payment at maturity will not exceed $14.40 per security.

Initial share price:

$44.18, which is the closing price of one ETF Share on the pricing date, divided by the adjustment factor

Final share price:

The closing price of one ETF Share on the valuation date

Valuation date:

January 24, 2012, subject to adjustment for certain market disruption events and as described under “Description of Jump Securities — Payment at Maturity” in the accompanying product supplement no. MS-7-A-I

Share performance factor:

final share price / initial share price

Adjustment factor:

Set equal to 1.0 on the pricing date, subject to adjustment under certain circumstances. See “General Terms of Notes — Anti-Dilution Adjustments” in the accompanying product supplement no. MS-7-A-I.

CUSIP / ISIN:

46634E767 / US46634E7673

Listing:

The securities will not be listed on any securities exchange.

Agent:

J.P. Morgan Securities Inc. (“JPMSI”)

Commissions and issue price:

Price to Public⁽¹⁾⁽²⁾

Fees and Commissions⁽²⁾⁽³⁾

Proceeds to Issuer

Per Security

$10.00

$0.225

$9.775

Total

$34,037,430.00

$765,617.18

$33,261,812.82