The reform of SOE has accelerated as reflected in the establishment of state-owned asset management and supervision system and improved corporate governance. (1) The State Assets Administration and Supervision Commission has been established. (2) Rights and accountability of the board of directors, board of supervisors and shareholders have been defined in line with the requirements of modern corporate governance.
(3) On that basis, we have taken active measures to develop large enterprise groups which are competitive and further revitalize the small and medium-sized SOEs. Some SOEs have already established reputation in the world. Such well performing enterprises as China Mobile, SINOPEC, PICC Property & Casualty Co. Ltd and CASIC have successfully launched their IPOs overseas.