Centro said after the market close yesterday that it had reached agreement in principle with its 23 financiers to achieve a long-term refinancing and stabilisation plan.

Australia's largest property investor said the interim extension gave it time to complete documentation for the refinancing and stabilisation.

Centro owes $3 billion to eight domestic banks, $US1.5 billion ($A2.23 billion) to five US banks, and another $A671million to 10 US insurance companies.

Commonwealth Bank is Centro's largest secured creditor, with $1billion of Centro's $1.2 billion debt to the bank being secured.

National Australia Bank has a secured exposure of $750 million, and an unsecured exposure of $200million, while Westpac has a secured exposure of $558 million.

ANZ Banking Group's secured exposure is $700 million and its unsecured exposure $680 million.

Centro can use a revolving working capital facility of up to $35 million under the new agreement.

Of the $5 billion senior secured debt owed to the Australian lending group and US private placement noteholders, $1.05 billion will be replaced by a hybrid security and $4billion converted into term debt loans. Goldman Sachs JBWere define hybrid securities as being a mixture of the characteristics of shares and fixed-interest products.

''The $1.05 billion hybrid security will be senior secured convertible bonds subscribed for by the Australian lending group,'' Centro said.

''The hybrid security will have a seven-year maturity date and the potential for conversion into ordinary stapled securities.''

Centro said the $4 billion of remaining existing senior secured debt owed to the Australian banks and US private placement noteholders would be converted into term loans maturing on December 15, 2011.

Stapled securities equivalent to 14.9 per cent of Centro's existing issued securities will be issued in mid-January to the Australian banks and US private placement noteholders on a pro rata basis at market value. The proceeds will be used for payment of outstanding lender fees and expenses.

Centro stapled securities are in a trading halt which is expected to be lifted today. They closed at 8.7c on Friday. Centro Retail Trust securities, also in a trading halt, last traded at 6.1c. AAP