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The state bought $2 million in Lehman preferred shares in April and $120 million of common shares and $60 million in preferred shares in June.
Preferred shares occupy a clear niche.
Instead, it took the preferred shares into the dark.
Evidently, few saw any value in the preferred shares.
Leucadia would invest $250 million in new convertible preferred shares.
In exchange, the banks issued preferred shares to the government.
Celanese, $200 million of perpetual convertible preferred shares.
The capital may either be in common shares, preferred shares or convertible preferred shares, Mr. Lockhart told Bloomberg.
At that meeting, the preferred shares are to be stripped of their rights, and the directors elected by the preferred shares are to be kicked off the board.
Emmis now had the votes to amend the terms of the preferred shares, which otherwise required two-thirds of the preferred shares.
The companies' common and preferred shares will remain outstanding, but will be junior to new preferred shares that the government will receive.
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CEO of Professional Science Editing for Scientists @ prosciediting.com