Voting - What to do?
The following is from Bophan on Y, and reprinted by William48 on the WAMPQ board. This is also the same strategy I plan to follow with DIMEQ.
It's very good. She's to be applauded ... for doing the job that SG suddenly seems unwilling to do:
Re: DS Voting Procedures 14 second(s) ago
"A no vote may preclude you from sharing in any settlement."
That is not exactly correct. For preferred shares, a returned ballot that has the "opt out of granting releases" box checked will result in no distribution.
If a ballot is returned with that box left unchecked (ie not option out of granting releases), the voter will be "deemed" to have granted the releases and thus will be eligible for a distribution. In this case, ANY distribution, even one penny per share, will finalize the releases having been granted. Only if there is no distribution at all will the releases have not been granted (even though "deemed" on the ballot). No distribution = no release.
There is no way on preferreds ballot to vote on the Plan (yes/no) while abstaining on making a decision on the releases.
The preferreds conundrum: grant or not grant releases when you don't know the level of the distribution?
One way to go: don't vote, thus making no choice regarding releases. Wait to see how much the distribution will be, then decide. You have one year from the effective date to grant the releases and receive your distribution. The trustee must contact you every three months reminding you that you haven't yet granted releases.
Another benefit of this approach: your shares don't get locked up (if you return a ballot, regardless of how you cast your votes, your shares will be locked).
