China to Decide Agricultural Bank Restructure ‘Soon’

Western banks aren’t the only ones:

Agricultural Bank of China, saddled with $100 billion of bad loans, may receive regulatory approval for its restructuring plan “soon”, a sign the government is nearing completion of a decade-long industry cleanup.

A hundred billion in bad debts would sink many US financial institutions. But in China “restructuring” means the Industrial Bank and the Communications bank owe the Agricultural Bank the money, and the lender will just take more equity instead.