AdPads inc. (fka APAD)

[buschboy]

From the latest 10Q, (Jan 03)

The Series A Convertible Preferred Stock and the Series B Convertible Preferred Stock (the "Preferred Stock") are convertible into shares of the Company's Common Stock at the rate of one share of Preferred Stock for 120 shares and 400 shares, respectively of Common Stock. The Company has less then 700,000 shares of authorized and unissued Common Stock and therefore, the Preferred Stock cannot be converted unless and until the number of authorized shares of Common Stock is increased significantly or unless there is a significant reverse split, both of which actions require shareholder approval. The Company intends to seek shareholder approval of a one for 40 reverse stock split as soon as the Company can prepare proxy materials and have them reviewed by the Securities and Exchange Commission. If and when the shareholders approve the one for forty reverse stock split, the holders of the Preferred Stock will be able to convert their shares of Preferred Stock into Common Stock at the rate of three to one and ten to one shares of Common Stock for shares of Preferred Series A and B, respectively.