Paullie, you really should call the company for precise details, but in my experience with this type of procedure, I have seen companies literally call in the certificates. . .in this case they call in the preferred certs. . you order your broker to convert. . .your broker [or you] literally sends them to the company. . .then the company tears up the pfds and issues the new commons [in this case 6 to the 1 pfd] and sends them to your broker or you.
Now this is how I understand the procedure from watching similar procedures, but again, if you want to know exactly how PLCO does it, you should call the company directly. . .they are in PST so you may want to wait to call. . .
Your broker may also shed some light on this for you.
Downside? Well I guess if the common were to drop to a quarter, then the preferreds would still be worth 1.50. . .tho with this new PR firm putting out such excellent PR, I would not count on that happening.
Can they back out? This company has been reporting regularly to the SEC for what? 10 or 15 years? If they were to break their word and pull a fast one, it would be instant suicide. If this were a boiler room operation, I would think I would know about it by now. . . I am very sensitive to that sort of thing. . .
But again, please call the company and report your findings either on the Fishing thread or on the PLCO thread.
Thanks and best wishes,
Rande Is
Rande Is |
