Zhang replaces incumbent CEO Wang, elected as new executive director of the company

Summary: People familiar with the matter told reporters that in the July 2 emergency Board of directors, more than 10 days ago, just selected board Zhang replaced incumbent CEO Wang, elected as the company's new executive director. Data show that the 64-Year-old Zhang graduated from Tsinghua University without

People familiar with the matter told reporters that in the July 2 emergency board meeting, more than 10 days ago, Zhang, who had just been elected to the board, replaced incumbent CEO Wang as the company's new executive director.

Data show that the 64-Year-old Zhang graduated from Tsinghua University Radio department, has served as vice Minister of the Ministry of Electronics Industry, and has successively acted as the director of Shaanxi Color kinescope plant, Rainbow Group chairman, Shanghai Huahong Group chairman and other positions, in the semiconductor and color picture tube industry has extensive experience.

June 23, Zhang was co-opted as non-executive director by SMIC's board of directors. People close to the situation said Zhang was co-opted as a member of the board, mainly by Jiang, chairman of the recently deceased president. Zhang is a classmate of the river on the boat, has been an official and a large semiconductor manufacturing company chairman, has a wealth of industry experience. Zhang is the best candidate for the position of chairman in Jiang's mind.

The sudden death of SMIC's chairman, Jiang, has sparked a scramble for control between the company's big shareholders and management. At the general meeting held on June 29, due to the opposition of large shareholder Datang Telecom, SMIC CEO Wang was removed from the Executive Director's post and was expelled from the board. There is a vacancy in the important position of the Executive Director and Chairman.

"I think it's likely to be a temporary agent," he said. "People familiar with the matter said that July 2 SMIC convened the Board of Directors, passed Zhang to become the Executive director of the resolution, but the chairman of the post remains vacant, this is the parties in the current state of emergency to make a compromise.

Zhang as Executive director, the person said, now appears to have at least three levels of benefits.

First of all, because SMIC's major shareholders are subordinate to different levels of government, factories are also located in various places, Zhang in the political network and background can help SMIC coordinate good Beijing, Shanghai, Wuhan and other places.

Second, the development of chip manufacturing related to the national overall strategy, so need to stand in a more macroscopic perspective on the layout of the industry, Zhang in the electronics industry experience can help SMIC to strive for better policy.

Third, Zhang himself has a semiconductor industry experience, to serve the public, conducive to stabilizing the core of the current turbulence in the international situation.

SMIC has a total of three presidents in its history. The first chairman of the Chang Department of the company founder. Ningwang, a member of the Chinese Academy of Sciences, has a number of titles, such as Academician of CAs, Peking University professor and dean of Beijing University Microelectronics Research Institute, and replaced Chang as chairman in 2005. Jiang, the third chairman of the Sanya, deputy mayor of the Shanghai Economic Commission, Deputy secretary of the Shanghai Municipal government, was still a full-time member of the Shanghai Decision-making Advisory Committee before his death. Wang Yangyuan and Jiang on the boat, is considered to be SMIC "localization" symbol.

People familiar with the matter said that SMIC would also convene a board this week to vote on the Chairman's position and that Zhang's election to the chairman is still unknown. Smic said it declined to comment.