NU Online News Service, March 22, 3:25 p.m. – Conseco Inc., Carmel, Ind., says it has succeeded at negotiating modifications to an agreement with its bankers.

The changes include relaxation of financial coventants; reduction of liquidity requirements to $50 million, from $100 million; and permission to exclude goodwill write-offs from solvency calculations.

The bankers have also agreed to change the terms for handling of proceeds from asset sales, Conseco says.

Before, Conseco had to give half of any proceeds to the banks. Now, Conseco can retain the first $352 million of any proceeds. Conseco must give the next $313 million to the banks. Conseco can then keep half of the next $250 million, and 25% of any proceeds over $915 million or any proceeds raised between Dec. 31, 2003, and March 31, 2004.

Conseco says it has also received permission from the banks to go ahead with a previously announced effort to push back the maturity dates on some notes held by institutional investors.