My understanding is, it can be done two ways:
1) You send your preferred shares certificate to Ameritrade together with instruction of what you want them to do, company phone number, ETCR stock transfer agent phone number and address. Ameritrade will process the paperwork ($30 fee is reasonable), they then contact the stock transfer agent or ETCR on your behalf to request the authorization for the shares to be converted. The agent/ETCR will then issue a new common shares certificate or wire the shares into your account. The process normally takes 4-6 weeks.
2) Basically, you can do the same thing on your own without involving Ameritrade (you save $30, be on top of it, and it will be faster). You first contact ETCR Investor Relation Dept, or CFO if this is a very small company and ask about the procedure, the time table, any fee involves etc..... Most of the time, the company will instruct you to send the preferred shares cert to the stock transfer agent (be sure to make copy, and send certified mail or Fed Exp), the agent will then communicate with ETCR for authorization. Once approve by ETCR, a new C/S cert will be sent to you or the shares will be wired to Ameritrade directly. If you receive the new cert by mail, send it to Ameritrade to be deposited into your account and the new shares will be available for trading within 24 hours. The key here is you need to be on top of it, follow it up with the stock transfer agent (they are just an independent firm working for ETCR), get the name of the agent who handle your cert and the name of the person at ETCR who authorize the conversion. If everything go well, it should take no more than 2 weeks. It can be frustrating if ETCR is stonewalling you. If you don't get your shares one week after the eligible date, there is nothing wrong with calling the person at ETCR everyday and scream. The louder you scream, the faster you will see the shares.
Hope it helps!
PS: the stock transfer agent does not like to see you sending in the cert too early if you are not yet eligible; in that case, it is best to send it 3-4 days before the eligible date, and expect you get the shares in your account or a new cert a week later. |
