Centro Properties Group extracted more cash from its US and Australian banking syndicates, agreed a debt for equity swap with its Australian lenders and US noteholders over a fifth of its Australian bank debt, extended the term of the remainder of its bank debt, and will pay the lenders the fee it owes in its own, almost worthless, scrip.Centro late yesterday outlined the terms of its agreement (which is still in principle and subject to documentation with its bankers).The first element is some extra cash: an additional US$370 million loan from its US lenders and a A$35 million revolving working capital facility from the Australian syndicate. The US lenders will receive additional security in order to release certain guarantees. There was no mention of any additional security for any Australian lender.The second is the debt for equity swap: $1.05 billion out of $5.05 billion in term debt will be converted to a hybrid security with a seven-year term.The third element is an extension of the remaining $4 billion in term debt owed to the Australian bank syndicate and US noteholders to a three-year term loan. The interest margin payable on this facility was not made clear.The fourth element is the issue to lenders of stapled securities equal to 14.9 per cent of Centro's existing securities in payment of lender fees.Centro said that if the hybrid securities were converted, which seems likely, lenders would own 90.1 of the Centro group (taking into account the issue of stapled securities right away).Australian and presumably US banks must already be well provided for their loans to Centro, a problem credit since at least December 2007.What's interesting in the work-out of this problem loan (and also that mooted for Babcock & Brown) is that debt for equity swaps are clearly on the table from the banks' point of view.This is in contrast to what now looks like a very brief phase of banks reacting to the judgement of the Western Australian Supreme Court and pushing, for example, Allco Finance Group into administration.