The report says the Common Shares were raised by 1.109 billion shares by converting a small portion of Class C shares.  If only a relatively small number of Class C shares are converted each quarter going forward, HIMR's Common Shares will easily reach the 10 billion share limit.

Nothing says the increased number of shares are restricted, and I don't see why they would be since these Class C shares have been held for a long period of time already.