Sino Agro Food Inc (fka SIAF)

[Lucky Loser]

The Series F-shares are preferred shares that were issued back in Sept. 2012, and carry a $3.40 per share dividend. Without getting into details, dividends on Preferred shares can be deferred, but dividends paid on Common shares cannot. Same with bonds; you can't defer payments on debt; otherwise you'd be in default.

Deferring dividend payments on Preferred shares is not a common practice, but it is one that the SEC allows for when it comes to a Company's ability to pay debt versus paying the preferred share dividend.

In other words, you cannot have dividends paid to preferred share holders while creditors go unpaid; that is unless you have no problem diluting the hell out of your stock to pay it.