Will apple replace my faulty power button

I am under contract with Optus (australia), the power button on my iphone 5 (64gb) has started working intemittently. Sometime it does some it doesnt, but i know from experience this will get worse till it cease's to function at all.
I took my phone to optus who wanted to send it off for repair (minimum 3 weeks till it gets looked at) and when i said thats not acceptable the 16yr old member of staff i was dealing with gave me a seat and put me on the phone to optus support! (thanks). She was less helpful and offered to send me a 16gb iphone 5 as a loaner, they would charge me $200 for the pleasure.
I called another optus store and an emplyee told me that the apple shop will swap this phone for me, for a refurbished iphone 5 64gb. I am skeptical because in the past i have thought this is only true if you are uner the 12mth warrenty, of which i am in month 14 (coincidence).
Can anyone shed any light on this.
Thanks
Ian

Thanks for your reply, I found an optus store near the apple store in the Sydney CBD that asked me questions, checked water damage and replaced the phone with a refurbed iphone 5 64gb so im happy. Didnt have to bother the genius bar thank god.
Anyone having the same problem, its about finding the right optus store with the right member of staff, the guys n the CBD store (280 George St) were Brilliant and could not be further from the poorley trained staff at warringah mall. Any way all well that ends well.

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    Thanks for your reply, I found an optus store near the apple store in the Sydney CBD that asked me questions, checked water damage and replaced the phone with a refurbed iphone 5 64gb so im happy. Didnt have to bother the genius bar thank god.
    Anyone having the same problem, its about finding the right optus store with the right member of staff, the guys n the CBD store (280 George St) were Brilliant and could not be further from the poorley trained staff at warringah mall. Any way all well that ends well.

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