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Management Committees

Executive committee

The Executive Committee is the highest authority of the management of CITIC Limited accountable to the board.

The functions and powers of the executive committee are:

  • to formulate CITIC Limited’s material strategic plans;
  • to formulate CITIC Limited’s annual material investment and financing plans (including reviewing material investment plans, feasibility studies, proposed disposals/divestments, mergers and acquisitions and other significant transactions of CITIC Limited);
  • to review CITIC Limited’s annual business plan and finance plans;
  • to review monthly reports of CITIC Limited, and to submit to the board before each month-end the monthly report for the previous month;
  • to manage and monitor CITIC Limited’s core activities;
  • to appoint and remove mid-level and above key personnel (other than personnel above the rank of assistant to general manager, and those appointed and removed by the board);
  • to approve internal rules on day-to-day operations of CITIC Limited;
  • to review and approve proposals to establish and adjust CITIC Limited’s management and organizational structure; and
  • to discharge other powers and functions conferred on it by the board.

The first three items and other matters within the authority of the board should be submitted for approval by the board, and thereafter implemented by the executive committee.

The committee is chaired by the chairman of the board (Mr Chang Zhenming served as chairman until 29 March 2020March 2020 and Mr Zhu Hexin was appointed in his stead with effect from 30 March 2020), and other members are Mr Wang Jiong (being executive director, vice chairman and president of CITIC Limited, and also serves as vice chairman of the committee), Mr Cai Huaxiang (serving as vice chairman of the committee), Ms Li Qingping (being executive director and vice president of CITIC Limited), Mr Cui Jun, Mr Liu Zhengjun (being vice president of CITIC Limited), Mr Cai Xiliang (being vice president of CITIC Limited) and Mr Xu Zuo (being vice president of CITIC Limited). Mr Huang Zhiqiang who was appointed as a member of the executive committee and vice president of CITIC Limited on 15 August 2019 subsequently resigned from both positions on 17 December 2019. Five committee meetings were held in 2019. The minutes of the meetings arekept at the executive office, which are circulated to the committee members after each meeting.

Strategy and Investment Management Committee

CITIC Limited has established the strategy and investment management committee as a sub-committee under the executive committee to enhance strategy management, to prevent investment risks and to promote high quality development. The principal responsibilities of the strategy and investment management committee are to

  • study and draw up CITIC Limited’s integral development, medium and long-term development plan and industries investment guideline, approve development strategies and plans of subsidiaries;
  • establish a mechanism of empowered operation and management, organise and implement it; and
  • organise and implement full life-circle management of investment activities within the group.

The committee is led by the chairman of the committee Mr Wang Jiong (being executive director, vice chairman and president of CITIC Limited), and the vice chairman of the committee Mr Cai Xiliang (being vice president of CITIC Limited), and other members of the committee include Mr Zhang Youjun (being assistant president of CITIC Limited), responsible persons of the strategic development department, financial control department, legal and compliance functions and treasury department.

Asset and Liability Management Committee

CITIC Limited has established the asset and liability management committee (the “ALCO”) as a sub-committee under the executive committee to be in charge of monitoring and controlling the financial risks of CITIC Limited. The principal responsibilities of the ALCO are to

  • monitor and control the asset and liability financial position of CITIC Limited on a regular basis;
  • monitor and control the following issues of CITIC Limited
    • asset and liability structure
    • counterparties
    • currencies
    • interest rates
    • commodities
    • commitments and contingent liabilities
  • review financing plans and manage the cash flow of CITIC Limited on the basis of the annual budget; and
  • establish hedging policies and approve the use of new financial instruments for hedging.

The acting chairman of the committee is Mr Cao Guoqiang (being Chief Financial Officer of CITIC Limited), and other members of the ALCO include responsible persons of the financial control department, treasury department, strategic development department, the office of the board of directors and legal and compliance functions.