Question-and-Answer Session
Operator
Thank you. (Operator instructions) Our first question comes from Ken Zerbe of Morgan Stanley
Ken Zerbe – Morgan Stanley
Thanks. Could you just review the terms a little bit of the preferred stock conversion? I calculated the conversion price including the 2.5 million share kicker is at about $4.80. First of all, is that roughly correct? And also if you could address how much more of this that you would reasonably expected to do in the relatively short-term?
James Gordon
Good morning, Ken. This is James. Your calculation is roughly right. I mean the way we look at, the underlying conversion went out, you know based on those terms. The additional 2.5 million shares replace the dividends and represents roughly 1.65 years of remaining dividends versus a 2.25 remaining contractual period on the dividends. But your calculation is right. As far as the future transactions, we are not sure what the availability in interest would be into that. And again from an overall capital perspective, we would be opportunistic based on market conditions or legal conditions surrounding that.
Ken Zerbe – Morgan Stanley
Meaning that if you could, you would essentially?
James Gordon
Yes.
Ken Zerbe – Morgan Stanley
Okay. And then I guess one just a follow up. Do you feel are you getting any regulatory pressure or rating agency pressure that would lead you to do these conversions or with a 6.4% tangible common, you are not at the low end of range by any means, but I guess or is it just –?
Lynn Harton
Ken this is Lynn. Now, we really view this as I mentioned as a win-win. We would not – this was not any kind of pressure from anyone. We do obviously know that tangible common is what everyone is focused on. We do believe we already got strong tangible common ratio. But in this environment and some of the holders, this provides as I mentioned liquidity benefits for them and if we can get a better deal by paying out less then we would otherwise pay out dividends we think it’s good for both parties. So, that’s our approach to it.
Ken Zerbe – Morgan Stanley
Great. Okay. Thank you very much.
Lynn Harton
Thanks.
Operator
Adam Barkstrom of Sterne Agee, you may ask your question.
Adam Barkstrom – Sterne Agee
Yes. Good morning, by the way, everybody. Just wanted a follow-up on that and James the other piece of that 14.5 million. Could you explain that a little?
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