I may quit as CEO, says Richard Li
Friday, May 18, 2001
BEN KWOK and REUTERS
Richard Li Tzar-kai says he will consider relinquishing his chief executive's duties at Pacific Century CyberWorks next year.
Mr Li told Reuters last night he would think about making the move after the embattled telecoms firm's next full-year results announcement next spring. He said he would remain as chairman. He was putting off a decision on his chief executive role until 2002 because he wanted to complete the company's integration after its purchase of Hong Kong Telecom.
Asked if he thought his high profile was a distraction, Mr Li said: "I think to investors, yes. And that is undesirable, because what we would like investors to focus on is our cash flow, our customer growth, our cash flow/interest coverage ratio. Too much personality is not good, I believe. But that is not the reason why I would consider getting a CEO."
He said: "We just had one transition, and right now I just have to stick with it and get it done for the first year, because we've merged the two companies and now we're fine-tuning it, and to make another transition right now is really not wise."
Shares in CyberWorks - like many in the global high technology sector - have taken a battering over the past year. They have fallen from $28.50 early last year to $2.725 yesterday.
Mr Li is CyberWorks' executive chairman and chief executive officer, putting him in charge both of running the sprawling company and plotting strategy - roles he said could each be full-time jobs. He said it had been his plan all along to divide the two duties once CyberWorks was big enough, if the right person could be found for the chief executive role. He said finding this person would be a challenge. "This is a precious company to me. I would not just stuff any CEO in."
CyberWorks has denied a Financial Times report that it had asked headhunters to find a replacement for Mr Li, 34. But it confirmed it had employed agencies to look for high-level executives for the company.
Mr Li had told the Financial Times: "There are a couple of agencies looking for new people to join the board; we are always on the search for new talent.
"I have no intention at the moment of standing down, but, as a shareholder, if I feel someone else would be better at putting it [CyberWorks] in the right shape for the long term, I would not hesitate. I cannot see this will come this year."
Since CyberWorks shares peaked last year, Mr Li and the company have faced several setbacks. The firm posted a year 2000 loss of US$886 million (HK$6.91 billion), and Mr Li suffered personal embarrassment when he was forced to admit he had not earned a degree from Stanford University, as the company had stated.
Cartoon.
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Published in the South China Morning Post. Copyright © 2001. All rights reserved.http://news.scmp.com/cgi-bin/gx.cgi/AppLogic+FTContentServer?pagename=SCMP/Printacopy&aid=ZZZ1R65UTMC |
