I'd take it.
I got this letter from my brokerage account early in January, and I just got another identical letter today. This is the letter:
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CORPORATE ACTION NOTICE
JANUARY 24, 2014
Security Description: McWatters Mining Inc. Class A Preferred Shares
Corporate Action Event: Redemption Privilege
TERMS:
At the expiration of the fifth year following the effectiveness of the Arrangement, the Class A Preferred Shares of McWatters Mining Inc. will become redeemable at the option of the holders thereof for a redemption amount of $200,000 (in the aggregate), the redemption amount which is intended to be equal to the stated capital and paid-up capital of the Preferred Shares.
A holder of Class A Preferred Shares (the "Preferred Shares") of McWatters Mining Inc. who desires to exercise its right, pursuant to Section 2(c)(I) of the Corporation's articles, to require the Corporation to redeem any or all of the Preferred Shares, has the following option:
OPTION 1: Redemption - To receive a redemption amount (determined in accordance with Section 2(c)(I) of the Corporation's articles) of $0.000535 per Class A Preferred Share of McWatters Mining Inc. redeemed, which includes an accrued preferential cumulative dividend in the amount of $0.000178 per share, less any withholding tax.
HOLDERS WHO DO NOT WISH TO REDEEM THEIR SHARES NEED NOT SUBMIT INSTRUCTIONS.
IMPORTANT INFORMATION:
1. The proceeds of the redemption of the Preferred Shares represented will be paid to the Holder within 10 Business Days from the Redemption Date.
2. Surrender of the Preferred Shares for redemption shall be irrevocable.
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What does this mean for me?
What happens if I don't do anything?
I bought about 10,000 shares of this stock years ago, and I thought the company went out of business because the price dropped down to $0.00 and was never again traded on the market.
What should I do?
