I think the bigger concern (as far as employees are concerned) in this particular case is that the board turned down multiple more lucrative acquisition offers.<p>In addition to all the other issues mentioned here, the preferred&#x2F;common split means that the preferred holders (ie the board) have much different incentives&#x2F;risks than common - they can afford to &quot;swing for the fences&quot; due to the downside of liquidation preferences.