No they won't. They could get sued. The preferred ONLY exist as a result of the designation filed with the State. A company can vote to establish a preferred series of stock but the actual stock doesn't exist until it's designation is filed.
The same holds true for amendments or changes to the designation.
The TA, Clearing House, brokers, etc. are ONLY going to go by what is filed with the State.
That would go for FINRA corporate actions as well.
So at the moment no one can assume they are doing or can do conversions at the lower ratio.
The company needs to get the amendment filed...
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