How to restructure banking system in china has been discussed deeply and effectively in the recent symposium--China Stock Market & Financial Mechanism Reconstructing. In this essay, after examining the successful experience of Guangda Bank, and analyzing current status of state commercial banks—especially the reason of bad assets created in China, a conclusion has been drawn that the flaw of ownership structure and the weakness of organization management are the main causes of many banking problems in China in accordance with the bank management theory. And also by making use of the successful experience in Guangda Bank, this essay states that stock-sharing reconstructing in state commercial banks is the best method to improve the status and the competitiveness of the state commercial banks in China.