Convertible preferred stocks, which at  a pre-determined maturity/redemption date converts to equity (cash or shares of underlying stock). PERCS can typically be redeemed before the maturity date, but at a premium of the cap price. If an investor does not redeem the shares within a three year period, the shares are converted to common stocks and the dividends are reverted to those that would be paid on common stock.
Related information about preferred equity redemption cumulative stock (PERCS):
- What is preferred equity redemption cumulative stock (PERCS ...
 Definition of preferred equity redemption cumulative stock (PERCS): Convertible   preferred stocks, which at a pre-determined maturity/redemption date converts ...
 
- NERA: Client Experience - In Re: Avon products, Inc.
 ... was brought against Avon Products, Inc. on behalf of certain classes of holders   of the Company's Preferred Equity-Redemption Cumulative Stock (PERCS).
 
- An examination of mandatorily convertible preferred stock ...
 May 1, 1999 ... Preferred Equity Redemption Cumulative Stock (PERCS) appeared first, with   more than 16 issues marketed by Morgan Stanley between June ...
 
- TREASURY INFLATION PROTECTED SECURITIES ... - Ron D'Vari
 and preferred equity-redemption cumulative stock (PERCS). Such innovations   have received attention in the academic and business literature. However, one ...
 
- The Rjr Borden Deal: Is The Investor The Odd Man Out ...
 Oct 9, 1994 ... But only last April, RJR issued 250 million shares, or roughly $2 billion worth, of   preferred equity redemption cumulative stock (PERCS).
 
- Statement of Additional Information
 Aug 1, 2012 ... PERCS. Preferred Equity Redemption Cumulative Stock (“PERCS”) technically is   preferred stock with some characteristics of common stock.
 
- Advantageous Innovation and Imitation in the Underwriting Market of ...
 Preferred Equity Redemption Cumulative Stock (PERCS): PERCS are 3&year   mandatorily convertible preferred shares that pay a fixed dividend. The   conversion ...
 
- CHAPTER 10 Equity Derivatives - NYU Stern School of Business
 Preferred equity redemption cumulative stock (PERCS) is essentially preferred   stock that automatically converts into shares of common stock (unless called by ...