This document analyzes different models for transferring non-performing loans (NPLs) from state-owned banks to a proposed Public Asset Resolution Company (PARC) and compares the impact on capital needs, state budget costs, and cash flows under various recovery scenarios. The most cost-effective model is a "commission scheme" where the PARC earns success fees, but may face legal obstacles. The next best model is selling NPLs to the PARC for 1 Ukrainian hryvnia each, though this would require bank recapitalization. Applying the analysis to real data from three Ukrainian banks, excluding PrivatBank, yields similar results favoring the commission scheme or 1 hryvnia sale models.