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China National Building Materials Group Corporation Was Set up

2016-08-29


The Meeting for Re-organizing China Building Materials Group Co., Ltd. and China Sinoma Group Co., Ltd. was Held in Beijing.

                                               

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      On August 26, the meeting for re-organizing China Building Materials Group Co., Ltd. and China Sinoma Group Co., Ltd. was held in Beijing. The China National Building Materials Group Co., Ltd. (Hereinafter referred to as "CNBM") was officially set up, demonstrating that the large enterprise restructuring model for China's building materials industry was opened and structural reform for promoting the supply side had entered into a new stage.

Xiao Yaqing, Director of SASAC and Deputy Secretary of the Party Committee attended the meeting and made an important speech, and Zhang Xiwu, Deputy Director of SASAC and Deputy Secretary of the Party Committee, YanXiaofeng, Member of Party Committee and Secretary-general, Luo Han and Ma Liqiang, Chairman of the State-owned Key Large-scale Enterprise Supervisory Committee also attended the meeting. Song Zhiping, Chairman of China National Building Materials Group Corporation and Deputy Secretary of Party Committee delivered the speech and Liu Zhijiang, Secretary of the Party Committee and vice chairman presided over the meeting. Leaders from department and bureau of SASAC, external directors and members of leadership group of CNBM, Chief leaders from CNBM and China Sinoma Group Co., Ltd., leaders from China Building Materials Company Limited and China Sinoma Company Limited, as well as leaders from secondary companies in Beijing and the backbone enterprises and representatives of the media, a total of more than 160 people participated in the meeting of reorganizing and setting the news company.

Bai Yingzi, Director of Bureau of Reform of SASAC announced SASAC's Notice On restructuring China Building Materials Group Co., Ltd. and China Sinoma Group Co., Ltd. at the meeting. This Notice indicated that China Building Materials Group Co., Ltd. changed its name to China National Building Materials Group Co., Ltd., and became the parent company of reorganization and China Sinoma Group Co., Ltd. transferred into CNBM. Song Zhiping is appointed as Chairman and Deputy Secretary of the Party Committee of new company, Liu Zhijiang is appointed as Secretary of the Party Committee and Vice chairman, Yao Yan is appointed as vice chairman, member of party committee, Cao Jianglin is appointed as director, General Manager and member of party committee and Li Xinhua is appointed as vice chairman and member of party committee

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Xiao Yaqing first expressed warm congratulations on the successful reorganization of two enterprises onbehalf of SASAC and Secretary of Zhang Yi! He pointed out that it is of great significance to push forward the reorganization of the two enterprises, a major achievement of implementing policy decisions and arrangements of the central leadership and State Council and deepening, the reform of state-owned enterprises, the actual action and concrete manifestation of making the central enterprises with a competitive edge to grow bigger and stronger and havebetter quality, as well as an important measure for optimizing state-owned capital structure, accelerating the construction of world-class enterprises, promoting structural reform in the supply side, and implementing the "The Belt and Road" Strategy and international production cooperation and other national strategies. The reorganization of the two enterprises is conducive to solving the problems of decentralization and duplication of resources in the process of enterprise development and beneficial to promote the optimal allocation of resources at a higher level. It is helpful to draw on each other's strengths, share brand, channel, R&D and other resources, reduce the homogenization of development and repeated investment, and further enhance the scale of strength, improve the global market competitiveness; conducive to address the overcapacity in building materials, enhance industry concentration, integrate superior resources and innovation achievements towards high-end development; improve overseas building materials equipment, engineering, manufacturing, warehousing, logistics service system and build new brand for China's building materials production capacity and equipment in the process of implementing "Going Global" strategy.

Xiao Yaqing stressed that today's reorganization meeting indicated the initial results of reorganization of the two companies, but the future internal integration and reform and development tasks were still arduous. We should unify thinking, work together to strengthen leadership, implement responsibility, proceed the re-organization and integration in an active yet prudent, and solid and effective way to ensure that the effect of "1 + 1" is greater than 2.

Xiao Yaqing put forward five requirements on the new Group: First, Prioritize the strategy guidance. After the new Group is formed, the scale is bigger and the strength is stronger. We should aim at the market, plan the future, clarify the new strategy and new position and put forward the task, key areas, main direction and important initiative of enterprise development in the next period from the perspective of global vision and industry leader. Second, we must continue to deepen internal reform. We will continue to carry forward the excellent quality of pioneers and being eager to take on challenges, conscientiously implementation, and strive to achieve breakthroughs in a number of key areas and key links. Third, we must adhere to physical fitness, improve quality and efficiency. The new Group should take the reorganization as an opportunity to vigorously reduce the management level, actively and safely deal with "zombie enterprises" and inefficient and invalid assets, strengthen lean management, pay close attention to cost control, and continuously improve the profitability. Fourth, we must pay more attention to cultural integration. The two companies must learn from each other to form development vision, values, business philosophy and code of conduct of new Group, so that the majority of workers can enhance the value of identity, identity recognition, behavior recognition, thus laying a solid foundation for the business. Fifth, we must earnestly strengthen the party building. In the process of reorganization and reform of enterprises, it is necessary tosimultaneously plan the party building, establish party organizations and working institutions, arrange party organizations and party staff, as well as carry out the party work; organically combine the strengthening of board of directors and demonstration of party organizations' political core role to ensure that the role of party organizations is fully brought into play.

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Song Zhiping stresses in his speech that the implementation of reorganizing the two Groups is to meet the objectives set by CPC Central Committee and the State Council to "Strengthen And Empower State-Owned Enterprises and Continuously Strengthen The Vitality, Control, Influence and Ability to Withstand Risks Of State-Owned Economy", and is an important measure to deepen reform of state-owned enterprises, carry out adjustment of structure of the state-owned economy, and create internationally competitive world-class enterprise. This is of great significant and also a milestone event in the development history of China's building materials industry. Subsequently, he put forward five requirements on the restructuring and development of new Group: First, set a clear strategic position to create a world-class building material industry group. The strategic vision of the new Group is committed to becoming a world-class comprehensive building material industry group, and the strategic positioning is committed to becoming the industry leader in integration, innovator in industrial upgrading and a pioneer in the international capacity cooperation. The headquarter for new Group will strive to become a national strategic industry development platform, optimize the operating mode and control structure, improve the competitiveness of enterprises, economic and risk control ability. Second, worked in an orderly way to implement the re-organization, and provide dividends of reorganization. The new Group will focus on the main enterprises and set the goal of listing the large company on the basis of optimization of resource allocation, and integration of similar business resources, adhere to the principle of avoiding competition in the same industry, regulating related transactions, and implement specialized reorganization, focus on building six business platforms, such as industry platform, international production cooperation platform, new materials, new energy, new housing platform, national materials research institute platform, national material resources development platform, financial operation platform. Third, make co-ordination arrangements and strive improve quality and efficiency and reduce the cost. The new Group should complete the restructuring task and also do a good job in production and management, as well as maintain stable growth of key indicators and ensure the completion of stable growth target. Fourth, deepen the reform of state-owned enterprises and inject development of power into the enterprise. In the pilot reform of the SASAC, we are the pioneer of carrying out merger and reorganization, implementing the board of directors and developing mixed ownership economy, and shall take this pilot as an opportunity to boldly explore, took proactive steps to become the pioneer andpaving stone that can grasp the initiative in the reform of state-owned enterprises. Fifth, carry forward the advanced culture, and achieve inclusive development of unity and integration. The new Group will continue to vigorously promote the good culture of condensing positive energy. In the process of reorganization, we must work together, closely unite, advocate inclusive culture, be solidarity and friendship, mutually respect, draw each other's strength, give full play to the advantages and learn from each other.

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Liu Zhijiang represented the Party Committee of new Group and made four requirements. We must unify our thinking, unite and work closely, and push forward the reorganization and other work. Leaders at all levels, all cadres and employees should bear in mind the economic, political and social responsibilities of the central enterprises, and fully implement the requirements of the CPC Central Committee, State Council, SASAC and Director of Xiao Yaqing, integrate the organization, internal resources and external market, work solidly to carry out production and management, ensure the completion of the annual objectives and tasks, strive to reduce the cost and improve the quality and efficiency. Second, we must firmly grasp the political direction, and earnestly strengthen the party building. We must always pay attention to upholding and strengthening the party's leadership, adhere to the "Four Simultaneous" and "Four Alignments". We must strictly implement the responsibility system for Party building, fulfill the "dual responsibility for one post." We should continue to implement "Two Studies and One Action", uphold political integrity; make party members and cadres become more aware of the need to uphold political integrity, keep in mind the bigger picture, and provide ideas and organizational guarantee for reorganization and integration. Third, we must strengthen the Party's style of work, strictly implement "Two Responsibilities." Party committees at all levels should earnestly shoulder the main responsibility of building a clean government, and persist in reform and development and fight against corruption. We must strengthen the party spirit, the rule of law and awareness campaign, and guide party members and cadres to establish the correct ideals and beliefs and properly fulfill their duties. Commission for Discipline Inspection of the Group must seriously fulfill the monitoring responsibility to create a good environment. Fourth, we must adhere to the people-oriented and ensure harmony and stability. The majority of cadres are the main body of business executives. We must set a high standard in management and requirements and care, and fully mobilize the enthusiasm, creativity and subjective initiative. We must care for grassroots employees, and earnestly safeguard the legitimate rights and interests of employees. We must attach great importance to complete our tasks in public opinion monitoring, petition and stability, safety production work, thus creating a good external environment. Liu Zhijiang stresses that the convening of the meeting marks a key step in the reorganization of the Company. We must continue to maintain the spirit of working hard, recognize the situation and tasks facing, keep in mind the major responsibilities of state-owned enterprises and developing and growing state-owned economy, never forget the beginning of the heart, work hard to build CNBM into an internationally competitive world-class enterprise.

Subsequently, Director Xiao Yaqing, deputy director Zhang Xiwu, Secretary-General Yan Xiaofeng, Chairman Luo Han, Chairman Ma Liqiang, Chairman Song Zhiping and Secretary Liu Zhijiang inaugurated the China National Building Materials Group Co., Ltd.

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The asset of new reorganized Group totaled more than 550 billion yuan, becoming a veritable China's largest comprehensive building materials industry Group, and also an aircraft carrier and leading enterprise in the field of world's building materials. In the industry, the cement clinker production capacity of new Groupreached 530 million tons, commercial concrete production capacity reached 430 million cubic meters, gypsum board production capacity reached nearly 2 billion square meters, glass fiber production capacity reached 1.78 million tons, wind power blade production capacity reached 16GW, which areranked first in the world; in the international cement engineering market and waste heat power generation international market, the leading position in the global industry will be further consolidated. After the reorganization, the new Group will further enhance the overall competitiveness in the international market.

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