A zombie bank keeps draining bailout capital from the government but doesn't respond with any meaningful lending that helps the economy recover. The prevalence of zombie banks made the long Japanese recession of the 1990s especially painful.
More importantly, what do you do with a zombie? Do you give it money so that it will get well again? No! You shoot it in the fucking face! I am glad that nationally there are finally economists realizing that these gargantuan financial institutions do not need more money. They need a head shot.