China Orient Asset Management Corporation (Orient AMC) Tuesday announced its purchase of about 130 billion yuan (some 15.7 billion US dollars) worth of non-performing loans from China Cinda Asset Management Corporation (Cinda AMC).

A spokesman for the Orient AMC said that the transferred NPLs are part of a larger package peeled off from the China Construction Bank, and the Cinda AMC acts as a wholesaler of the whole package. The Orient AMC beat other competitors to buy this sub-package and the two sides signed on Monday an agreement on transferring the creditors' rights.

He said the Orient AMC promises to effectively handle these NPLs in accordance with relevant regulations and make its best to minimize losses of these NPLs.

Official statistics show that by the end of last September, China's four financial AMCs had handled NPLs of 587.62 billion yuan (71.05 billion US dollars) in total, recovering 120.21 billion yuan (14.5 billion US dollars) in cash.

Source: Xinhua