Classified Common Stock
Preferred - A cross between a common stock and a bond. Holders receive dividends before profits are distributed to holders of common stock.
Cumulative preferred - Dividends, if not paid to stockholders, are accumulated and paid at a future date.
Non-cumulative preferred - The stockholder is paid dividends if they are earned, without any cumulative provision.
Participating preferred - The stockholder will receive a specified dividend. He or she may also be entitled to additional earnings generally available to common stockholders.
Classified preferred stock - 4.25 PFD, Class A PFD, Class B PFD, etc. This distinction usually relates to different dividend rates or voting privileges.
Convertible preferred - This class carries a provision giving a privilege to the stockholder to convert his or her stock into common shares.