Eschde quickly announced the decision to announce the Board's approval to appoint a new president today.

Absrtact: Eschde (002416, closing price 11.97 Yuan) announced today (January 30) The decision to announce the Board's approval to appoint a new president, following January 28 's announcement of the resignation of President Legaming. Compared with the previous high salary digger, the company selected an internal promotion, Vice Tung

Eschde (002416, closing 11.97 Yuan) announced today (January 30) The decision to announce that the Board agreed to appoint a new president, following January 28 's announcement of the resignation of President Legaming. Compared with the previous high salary digger, the company chose the internal promotion, Vice Chairman Zhou You will take over the CEO's position.

In addition, Eschde also disclosed that December 11, 2014, the company received a regulatory letter from the Shenzhen Regulatory Authority of the SFC, and was directly points out that the company has governance and standardize the operation of a total of 9 of the breakdown of problems, the company said, some of the problems have been completed rectification, the future will strengthen supervision.

Former Unicom group sales general Manager took office

Today, Eschde issued a board resolution announcement announced that the company nomination committee nomination, the Board of Trustees voted to appoint Zhou You Union for the company's president.

Data show that Zhou You is the recipient of the State Council's government subsidy, the general manager of China Unicom Group sales Department, China Unicom Guangdong Branch deputy general manager and other positions. February 28, 2014, Eschde through the provisional General Meeting of shareholders, to add Zhou You au as a non-executive director of the company, since then served as vice chairman of Eschde.

The daily economic news reporter noted that Zhou You's term is the same as that of Eschde's third board of directors, although it has now been nominated as President, but its remuneration is still subject to the remuneration of the vice chairman. In fact, 2012 years Love Strickland in order to dig up the former president Legaming cost a lot, the company for its annual salary of up to 6.64 million yuan, and plans to grant its corresponding value of more than 20 million yuan of incentive equity.

According to Eschde earlier announced the remuneration management measures, Zhou You Union adjusted fixed compensation interval between 1.5 million yuan ~170 million, floating compensation in the company's annual after-tax net profit as the basis for the performance bonus, that is, according to a certain proportion of after-tax net profit to extract performance bonuses.

There are many thorny issues ahead of Zhou You. The first task may be a stable and volatile management, as more than 10 senior executives Eschde in 2014. Second, is the operating performance problem, 2014 years ago three quarter, because of mobile phone product sales growth slowdown and other factors, the company only to achieve net profit of 50.4013 million yuan, down 90.7%.

Problems in governance, accounting and internal audit

At the same time, Eschde also unexpectedly issued a bulletin said: December 11, 2014, the Shenzhen Securities and Regulatory Bureau has issued a "regulatory concern letter", the company to deal with problems to make rectification.

"Daily economic news" reporter noted that the 2014 Eschde did not publish the above-mentioned "regulatory concern letter." In the letter, the Shenzhen Supervisory Authority of the SFC pointed to Eschde problems in the aspects of governance and normative operation, accounting and financial base work, internal audit, and so on, and asked the company to complete rectification work on 9 issues before January 31, 2015.

First of all, in the field of "governance and normative operation", the "regulatory concern letter" first clearly pointed out the issue of CEO remuneration, said Eschde October 16, 2012 Remuneration and Assessment Committee approved the new CEO Legaming remuneration package, but did not submit to the Board of Trustees for consideration, inconsistent with the "Guidelines for listed companies" The relevant regulations concerning the remuneration of the CEO shall be determined by the board.

Regulatory letter in the above areas also pointed out some of the directors resignation notice is not timely, insider information Insider registration is not perfect, foreign investment decision-making process is not standardized and so on.

Second, the second biggest issue that the regulatory letter points out is the accounting and financial fundamentals. For example, Eschde on the inventory price of the preparation for the lack of prudence, the value of the sum and the actual payment difference is large. In addition, the regulatory letter also pointed out the existence of some of the subsidiary accounts to deal with the lack of basis.

Third, the regulatory letter said that the internal audit part of the role has not been effectively played. Failing to carry out self-examination and rectification work as required, and failing to carry out audit work on major issues affecting the authenticity of financial statements.