From Longman Business Dictionarypreference shareˈpreference ˌshare (also preferential share), preferred share [countable]FINANCEone of a class of shares on which, if a company is in financialdifficulty, DIVIDENDs may still be paid even if they are not paid on ordinary shares. Dividends on preference shares are usually paid in the form of fixedinterestpaymentsPreference shares will usually rank ahead of ordinary shares for dividends and a return of capital. →share
