1.4. CONVERSION AND ANTI-DILUTION. (a) Each share of Series E Preferred Stock shall be convertible at par value $0.00001 per share (the “Series E Preferred”), at any time, and/or from time to time, into the number of shares of the Corporation's common stock, par value $0.00001 per share (the "Common Stock") equal to the price of the Series E Preferred Stock as stated in 2.6 of the Bylaws, divided by the par value of the Series E Preferred, subject to adjustment as may be determined by the Board of Directors from time to time (the "Conversion Rate"). For example, assuming 1000 shares of Series E Preferred are converted to common, and the common par value is $0.00001 then each 1000 shares of Series E Preferred shall convert to 100,000,000 shares of Company’s Common Stock. Such conversion shall be deemed to be effective on the business day (the "Conversion Date") following the receipt by the Corporation of written notice from the holder of the Series E Preferred Stock of the holder's intention to convert the shares of Series E Stock, together with the holder's stock certificate or certificates evidencing the Series E Preferred Stock to be converted.
With regard to their not being enough common shares - refer to this:
(c) The Corporation covenants that, within 30 days of receipt of a conversion notice from any holder of shares of Series E Preferred Stock wherein which such conversion would create more shares of Common Stock than are authorized, the Corporation will increase the authorized number of shares of Common Stock sufficient to satisfy such holder of shares of Series E submitting such conversion notice.