Antidilution and the Convertible securit Conversion terms are not necessarily constant over time Example: The conversion price on 20-year convertible-debt might step-up?over time from $30 during the first 5 years, $35 the next 5 years, and $40 for thethe remaining 10 years until maturity The conversion price is usually adjusted for any stock splits or stock dividends to protect the convertible bondholder from antidilution (known as the antidilution clause) 22-722-7 Antidilution and the Convertible Security Conversion terms are not necessarily constant over time. Example: The conversion price on 20-year convertible-debt might step-up?over time from $30 during the first 5 years, $35 the next 5 years, and $40 for the the remaining 10 years until maturity. The conversion price is usually adjusted for any stock splits or stock dividends to protect the convertible bondholder from antidilution (known as the antidilution clause)