The company is authorized to issue up to (not fixed) 1 million shares of preferred stock. Each share is worth .01% of the companies outstanding common stock.
Their are 10,000 preferred shares issued to date, of which SP received 8,992 and an unnamed person received the balance. These 10,000 shares represent 10% of the compnies' equity, when and if they are converted at this time.
They are convertible on a schedule that ranges, based on a 20 day avg quote, from .20-1.00.
Simple math from here and understanding what motivatation SP has to do the things he does (including the uplist, RS and buyback discussion). Just remember, he is the one who is able to control these terms.
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