This excerpt taken from the WMG DEF 14A filed Jan 17, 2006.
Cumulative Preferred Stock
WMG Holdings Corp. is authorized to issue 150,000 shares of Cumulative Preferred Stock, par value $0.001 per share (Preferred Stock), with a liquidation preference of $10,000. 40,000 shares of Preferred Stock, which rank senior to our common stock with respect to the right to receive dividends and to receive distributions upon the liquidation, dissolution and winding up of WMG Holdings Corp., were issued to the Investor Group in connection with the Acquisition. The shares of Preferred Stock have subsequently been redeemed in full.