ann out, page-4

This was talked about at the 1/2 yearly presentation in response to an analyst question. It just means that Centro will have to make the repayment in the future and is unable to pay a distribution until it does.

The coupon is actually 5.5%, which is cheap for Aus but now expensive for the US, although I doubt Centro could raise any new funds at that level any more.

The 'distribution stopper' clause is common in notes issues.

A smart move IMO as it preserves much needed cash. Be interesting to see if the market agrees. What's the betting someone puts a negative spin on it?