The Shareholders were never given any input or authority with regards the Preferred Shares. The ability for the BOD to issue blank check Preferred Shares was in place when the corporation was capitalized and funded, back in the early 90s with Falk Sr and Norris and when insiders controlled the stock; long before redistribution to the public at large.

Preferreds have preference in corporate asset security/liquidation, and in any BK situation, receive preferential treatment and asset recovery priority over "common" shareholders.

Even in a non BK situation of a typical operating entity, Preferred holders receive a dividend Right (or a dividend first Right), and those dividend payouts could entirely deplete any funds that Common Shareholders may have gotten for themselves were it not for the Preferred shares being issued. I think you can see how this would/could make our Common Share interests basically worthless.

So, IMO, however you slice it, the issuance of Preferreds will be the end of common Shareholder's investment here.

The 2002 Admendment was for the authorized increase of the Common stock to 200M from 50M; as I recall. The mentioning of the Preferreds was simply a required rememorialization of the already existing 5M Preferred Shares authorization

That's the short answer.