Made in Germany | Bad Bank – why bad banks are good

Bad Banks are a controversial subject for experts and politicians. Their supporters say they are anchors in the current crisis,critics emphasize the risks associated with 'bad' banks.But how does a 'Bad Bank' work? At MADE IN GERMANY,we show you how banks can dispose of risky securities. How,without bad loans on their books,they are able to issue new credit again. And what role the state and shareholders play. But this bank rescue model also throws up questions. How can toxic assets be valued realistically? How long should the banks pay fees to the state? Won't taxpayers end up paying for the losses? The German Bundestag has until July to decide on the Bad Bank law. Bettina Meier explains the details.