Baoshan Iron & Steel : Baowu group hold the briefing external board of directors

In October 31, The Baowu Group hold the briefing external board of directors, Bei Kewei, Li Guoan, Shen Xiaowu and Lin Jianqing will be held as the external board of directors of Baowu Group. The secretary of first enterprise cadre bureau of State-owned Assets Supervision and Administration Commission (SASAC), Song Yachen, the section chief of second department of first enterprise cadre bureau of State-owned Assets Supervision and Administration Commission (SASAC), Yan Yandong, the members of the board of directors of Baowu Group, members of Baowu Group and all principle leaders of each section in headquarter of Baosteel Group and Wuhan Steel Group attended to the meeting, the chairman of Baowu Group, the secretary of the party committee, Ma Guoqiang conducted this meeting.

Song Yachen announced the engagement decision of the external board of directors of Baowu Group made by the State-owned Assets Supervision and Administration Commission (SASAC). After careful study, the party committee of SASAC decided to appoint Bei Kewei, Li Guoan, Shen Xiaowu and Lin Jianqing as the external directors of Baowu Group, tenure for 3 years from Oct 2016 to Sept 2019. The pervious external directors of Baosteel or Wuhan Steel will be auto discharged. SASAC believes that the four directors have rich experience and suitable candidate for this position, SASAC hope that base on the new strategy of the new group, the four directors will familiar with the situation as soon as possible, getting into the role, continuing to play the advantage from their personal profession, playing the well capability of international operation, management in state-owned enterprise and capital operation capacity, improving the level of decision making and overall working performance in order to make the contributions of reformation and development for Baowu Group. SASAC hopes that the leadership of Baowu Group will support the external board of directors actively, promote the board of directors in accordance with the rule of the board of directors, transition smoothly, operate effectively, explore and perfect the corporate governance structure in practice to provide dynamic support and organizational guarantee for enterprise reform and development. SASAC hopes Baowu Group will study conscientiously and implement the conference spirit of the party of state-owned enterprises, study and implement the spirit of 3 Plenary Session of 18 CPC central committee, study and implement the evaluation methods and relevant requirements of the state Council SASAC, in order to contribute and develop a modern enterprise. Under the leadership of the new board of directors, SASAC hopes that Baowu group will have a fresh start based on strategic recombination, work hard to become an international competitiveness world class steel producer.

On behalf of external directors, Li Guoan said that it is a great honor to serve as an external director of Baowu Group. He will conscientiously study and implement the spirit of the relevant meeting of the CPC Central Committee and the SASAC, doing the external board of directors job diligently and conscientiously, playing the important role on strategic decision making, risk control etc. so that he can make a new contribution to Baowu Group. He also said that as an external director we must firmly carry out the relevant requirements of the probity and self-discipline of CPC Central, practice the relevant requirements of the Organization Department of the Central Committee of the CPC and the SASAC in order to make a contribution to the development of Baowu Group.

Ma Guoqiang appreciated the SASAC empowered to the session of board of directors of Baowu Group and welcomed the entering of the four external directors. He indicated that Baowu Group bore the important mission of stated-owned enterprise reformed and restructuring, transformation of the steel industry and the transformation development. The board of directors will be concerned about the process of stated-owned enterprise and enhance the research to systematic planning and top design for the future development of the company as well as open a new situation for state-owned investment company. The board of director of Baowu Group will further improve the system of the board of directors in accordance with the relevant laws and regulations and 'the interim Measures for the Standard Operation of the SASAC Board of Directors of a Central Enterprise in the Pilot Program on Board of Directors', fully draw on the management experience of external directors, further clarify the different responsibility of board of directors, Organization of the party and management, providing the effective organizational and system guarantee for the party committee to participate the important decision making of the enterprise. It gives fully play to the unique advantage of stated-owned sole proprietorship governance and the advantage of combination of external directors and internal directors to make the board of Baowu Group truly become the decision-making centre and the main body of reforming and development. Ma Guoqiang also pointed out that by under the leading of SASAC, the board of directors of Baowu Group will work hard and diligently and cooperate closely with other parties in order to make unremitting efforts to build the corporate governance structure with Chinese characteristics .

Source:Baosteel News Centre