Replies to post #30440 on American Energy Production Inc(fka AENP)

[sillyunclekarl]

Preferred shareholders stand in front of the line.

Preferred stock has a claim on liquidation proceeds of a stock corporation, equivalent to its par or liquidation value. This claim is senior to that of common stock, which has only a residual claim.

As to conversion, that's what "poison pills" are. In the event of liquidation all preferreds are converted prior to liquidation.

That's the way things are, as a long I wish it wasn't.

Until I see it in a "legal filing" as an exception to the norm, I'm assuming it's the case here as well.

[man alive]

tharmon51.. Your "Apparently, yes, Charles can convert his 3.5 million preferred shares to 10.5 million common shares at any time, regardless of whether (or not) the R/S passes"

Not sure as there is not enough treasury shares (A/S) available unless it is increased with a proxy vote..

G/L anyway.