Alternative Energy Partners Inc (AEGY)

[staypuft]

Can someone give me a breakdown of this? I feel pretty slow for asking, but I'm a little lost.

The Agreement provides that Acquisition Corp. will issue one new preferred share for each two preferred shares of each of Registrant and SK3 currently issued and outstanding, and will also issue a fixed number of shares, still to be determined) of its common stock, which will be allocated to the common shareholders of Registrant and SK3 at closing of the merger.

If I had 100 shares of each AEGY & SKTO, how exactly would the new shares be distributed?

I'm sorry if this is a dumb question. Thanks in advance for everyone's help, if I don't get back here for a while to reply.