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 organisational structure; and
- to discharge other powers and functions conferred on it by the board.
The committee is chaired by Mr Xi Guohua, the chairman of the board, and other members are Mr Zhang Wenwu (being executive director, vice chairman and president of CITIC Limited, and serves as vice chairman of the committee), Mr Liu Zhengjun (being executive director, vice president of CITIC Limited), Mr Wang Guoquan (being executive director, vice president of CITIC Limited), Mr Zhang Shixin, Mr Cui Jun, Mr Fang Heying (being vice president of CITIC Limited) and Ms Zeng Qi (being vice president of CITIC Limited).
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
- improve and perfect the investment management system, responsible for the establishment and implementation of investment authorisation management system;
- based on the approved subsidiary development strategy, main business list, and negative list of investment by the CITIC group, review the investment and matters reported by the subsidiary, and provide decision-making recommendations to the CITIC group’s general office, party committee, and board of directors;
- review other major matters.
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.