(Chinese Version)

　　Le.com has published an official statement announcing Jia Yueting’s stepping down from the CEO role, and that Jia will remain as the board chair while Liang Jun will take over the position of CEO. Following the announcement, Jia Yueting has held a press conference for the management shift.

　　It has been pointed out in the article Sun Hongbin Aims For Control Over Leshi As Founder Jia Yueting Steps Downthat after Sunac China invested ￥15 billion in LeEco and saved LeEco from financial crisis, the listed Company Leshi’s new CEO arrangement and major management shift announcement weren’t made by Sunac China, but were revealed at the press conference of Sunac China in early May this year. At that time, Sun Hongbin had announced that Liang Jun will take over the role of CEO of Le.com.

　　Sun Hongbin had revealed LeEco’s strategy adjustments and future plans in details for several times at Sunac China’s press conference: changes of the independent board of the listed company; the retrenchment strategy of the listed company; the management shift of the listed company; the responsibility change of the listed company’s actual holder etc.

　　After researching on relevant requirements on listed companies in China, TMTPost learned that the law regulates that companies must make public announcements when having major management shift or personnel change that would have a profound impact on operation. However, Leshi did not follow the requirement and made an announcement.

　　Yesterday in the late afternoon, Leshi finally published an announcement of the management shift. “Jia Yueting has applied to step down from the CEO role and will remain as the company’s board chair, the director of the board strategic committee, member of the nominations committee, and member of the audit committee etc. Liang Jun will replace Jia as the new CEO of Leshi. He will be reporting the operation status to the board chair and the board,” the announcement reads.

　　Liang Jun has openly stated that Leshi will be separated from Jia Yueting’s personal plan. Leshi has made it one step further towards separating from Jia Yueting.

　　Liang Jun originally joined Leshi as the general manager and the manager of LeTV in March 2012. In 2014, he became the COO of LeEco’s smart terminal business and later became the president of Leshi’s global smart terminal R&D department and the CEO of Leshizhixin.

　　At present, Liang Jun holds 234,100 shares, accounting 0.01% of the total shares. Leshi also announced that the former CFO Yang Lijie will no longer be acting on any role, and that the board approved that Zheng Wei will be the new CFO.

　　Yesterday in the afternoon, Leshi held a press conference. Jia Yueting had stepped out with the senior executives of the company.

　　According to Jia Yueting, LeEco has had major improvements on its management structure. For the very first time, Leshi has its own full-time CEO ( the general manger in the announcement). “LeEco now has many business operations which are growing larger. I already have a lot of duties to tend to, and my energy is limited,” Jia said.

　　Jia believes that Leshi has entered a pre-mature stage, a fast-growing period, and therefore it needs the board to manage it and improve the structure. “The company should be run by a person with the fitted management ability.”

　　Jia also stated that every of the seven subsidiaries matter, and different tailored solutions will be applied to drive their development. Jia pointed out that the crisis LeEco encountered last year was caused by two facts: One is that the company was expanding too fast; another is that the company wasn’t strong enough.

　　Jia Yueting stated that the two main issues will be addressed and the listed company Leshi already has a clear path. “Other subsidiaries will reach their ecosystem form through appropriate approaches,” Jia added. “I will consider giving out part of my shares if it can help us meet the demands of innovation and business cooperation and satisfy the competence demand presented by the cooperation of the ecosystems.”

　　Additionally, Jia Yueting also answered at the press conference questions regarding Liang Jun, Sun Hongbin, LeSports’ layoff, the smartphone business, LeSEE and the pledge of stock right.

　　Liang Jun

　　On Liang Jun: Maximizing the value of the ecosystem is crucial

　　Leshi’s announcement yesterday states that Jia Yueting would step down from the CEO position and remain as the board chair while Liang Jun takes over the CEO role. Leshi also announced that the former CFO Yang Lijie will no longer be acting on any role, and that the board approved that Zheng Wei will be the new CFO.