Earlier today, Quasar Aerospace Industries announced that in a meeting of the majority of Series A Preferred shareholders, a motion to amend the certificate of designation was approved. As a result, the Series A Preferred shares will be amended so that a majority of the Series A Preferred shareholders will represent a voting majority, but the economic value of each share will convert at one hundred dollars per share ($100.00) and accrue an interest rate of twelve percent (12%) starting on July 1, 2012, until converted.
The prior conversion feature has been a source of concern for current and potential investors, as well as an open deficiency in the company's capital structure. Prior to this action the common shareholders represented only one-seventh of the company after the full conversion of the Series A Preferred shares.
According to today's release, the company will consider further reducing its authorized shares in the near future. As of today there are no changes in the common share structure. Quasar told the investment community that the company will continue to update shareholders as events unfold.
Quasar and its subsidiaries are involved in aviation and aviation related businesses. The company is the only certified Cessna Pilot Center (www.cessna.com/learn-to-fly.html) in Jacksonville, FL. Through its subsidiaries, Quasar is also an FAA Part 141 flight school (faa.gov). The company offers flight training and accepts VA benefits under the GI bill (www.gibill.va.gov/). Flight students also benefit from its onsite RedBird Full Motion Flight Simulator FMX1000 (www.redbirdflightsimulations.com).
For more information, see the company Web site at QuasarAero.com
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