cnp agrees stabilisation plan with financiers, page-9

Below is the ASX info on hybrids. Essentially if Centro is able to pay off the debt in 7 years time by other capital injection at the time or sale of properties, then the hybrids would not be converted?

To me this all sound like very good news - except no dividends for 3 years will really affect the shareprice, but how can they do this if Centro makes a large profit in say 2 years time - doesn't the trust part of the business have to distribute?

http://www.asx.com.au/resources/newsletters/investor_update/20080909_hybrids_explained.htm


"Conversion risk - Issuers usually have control over how a hybrid is redeemed. At maturity/reset, depending on the terms, holders can be provided with the face value in cash, or provided with an amount of shares equal in value to the face value of the security, at the issuer's discretion. Most offer a conversion discount of between one and five percent to compensate an investor for sale costs should they wish to sell the shares received on the market."