【正文】 repay the loan in cash either. Maybe after negotiation, the two parties (the bank and the borrower) or three parties (the bank, the borrower and the guarantor) can reach a consensus. In line with the consensus or the ruling by the court, the debtor or the guarantor can make inkind repayment of debts, which is one of the important means to dispose of nonperforming loans. 9. Writingoff Bad Loans In accordance with relevant state rules and regulation, if the principal of a loan is identified as unrecoverable, the bad loan can be written off. Writingoff of bad loans is the internal activity of a bank. So the bank still enjoys the recourse right and should continue to demand the repayment of the fund. 10. Conclusion Were analyzed by the nonperforming loans management recycling. Bad credit risk management, there are still many problems to be solved, how the lending business in the international financial place needs to be further research and continue to explore. In short, 濟(jì)南大學(xué)畢業(yè)論文 外文資料翻譯 6 the management of nonperforming loans of China39。s expertise is instrumental to increasing collection rates of these nonperforming loans. Investors39。 ? Improved internal bank system (early warning systems, collateral requirements, credit information needs). Workout units can make a significant difference in restructuring loan portfolios, particularly when supported by effective technical assistance. 4. Loan Restructuring and Loan Rollover Casebycase loan restructuring is mon in marketoriented economies, particularly 濟(jì)南大學(xué)畢業(yè)論文 外文資料翻譯 3 when borrowers are unable to meet the original terms of the loan agreement due to external factors. These restructuring invariably changes in the amount, terms and /or schedule of interest rates, principal repayment, and collateral values. Loan covenants ( ratios, report requirements) often change to facilitate pliance. In some cases, radical measures such as replacing management are involved. This approach is similar to what workout units attempt to do: recover portions of loan portfolios which have deteriorated and are nonperforming. However, workout units are often organized on the basis of sector, location or bank exposure. Casebycase loan restructuring is conducted on an individualized basis. The benefits of individual casebycase loan restructurings include: ? Reinforcement of the bankclient relationship. ? Retention of the loan by the bank on its balance sheet, even if provisions are made for possible losses. ? Preservation of the firm39。 Countermeasure 1. Introduction Under the fivecategory loan classification, substandard, doubtful and loss loans are defined as nonperforming loans. Because the reasons behind nonperforming loans formation are different, credit associates must take effective measures to manage, recover and dispose of these parts of asset according to their different characteristics. The bank should first find out the responsibilities of the guarantor and dispose of the security in ti me. Only when they confirm that the guarantor has lost the guarantee abilities and the security is not sufficient to pay off the loan, can they begin to dispose of the nonperforming loans. 濟(jì)南大學(xué)畢業(yè)論文 外文資料翻譯 2 2. Reasons There are many reasons why banks have poorly performing loan portfolios. Irrespective of these causes, banks have an obligation to shareholders, depositors and creditors to maximize cash flow from assets, the most troublesome aspect of which has been the poor record of banks in recovering loans. It is this factor that has contributed the most to bank insolvency, and liquidity constraints. There are several plementary options available to banks to restructure problem loans and portfolios, including: ? Exercise of collateral (liens against property, inventories) through judicial or extrajudicial means. ? Outofcourt settlement that may focus exclusively on debt negotiation, restructuring and repayment, or lead to the financial, physical and operational restructuring of the enterprise. ? Bankruptcy/liquidation procedures through formal court proceedings. T