RE:RE:RE:RE:RE:Preferred Series 2+3 MAY be in play Series 2: +24.24% from Jan 17 $8.25 to today Jan 31 $10.25
Really, I have no idea if whatever they end up doing with the Preferreds. After all the decades they existed (Series 2 issued 1997. Series 4 issued 2002), they don't appear to have halted/cancelled the preferreds' dividends and only halted the common share's dividend. (Partly why I bought the preferreds in the first place). I don't know why BBD never bought back/redeemed/halted dividends of the preferreds since it just keeps draining BBD's cash.
If Series 4 gets converted into BBD.B shares @ $2 I'm not sure how it will impact BBD.B shares, but this is what could happen:
Forcing conversion of the 9.4MM Series 4 into 117.5MM Class B ($25/$2=12.5 BBD.B *9.4MM Series 4) will save $14,687,500 of dividend payments annually and avoid paying out $235MM cash for redemption. Yes, that's a potential ouch for holders of BBD.B as 117.5MM shares would be issued as a result of this, but maybe net it will be balanced by the elimination of Series 4. Plus, the investor will get ONE vote per share (yay...). Current outstanding number of BBD.B: 2,066,356,118 = 5.68% dilution.
Series 4: $16.30 * 9,400,000 shares = $153,220,000
Series 4 --> BBD.B: $2 BBD.B * 117,500,000 shares = $235,000,000
Maybe I am interpreting this wrong, but at the current prices conversion injects $81,780,000.