I. XCMG Group hit operation revenue of 65 billion RMB, retaining the lead in China engineering machinery industry.
In 2010, thanks to all personnel who seized the opportunity and fought will all efforts, the operation of XCMG gained predominant performances. With full year operation revenue of 65 billion RMB and high promotions in taxation and profit, XCMG built a development miracle of >10 billion RMB year-on-year net revenue growth and tripled taxation and profit in consecutive five years during the “Eleventh Five-Year Plan”. Ranked the first place in market share for 9 categories of machinery and 3 categories of foundation components, XCMG retained the leading position in China engineering machinery industry and became the first enterprise with >60 billion RMB revenue within the domestic industry. Various secondary companies advanced shoulder to shoulder and all realized quick growth. The “Twelfth Five-Year Plan” strategic plan of XCMG Group explicitly defined the objective of realizing >100 billion RMB operation revenue and being listed as one of World Top 5 Engineering Machinery Manufacturers in 2012.
II. XCMG was listed as one of World Top 10 Engineering Machinery Manufacturers for the first time and was ranked at 125th place among China Top 500 Enterprises, up by 26 places compared with last year.
In April, in the list of 2010 World Top 50 Engineering Machinery Manufacturers released by the GB International Construction and China Engineering Machinery magazine, XCMG Group was listed as one of World Top 10 Engineering Machinery Manufacturers for the first time, which symbolized that the comprehensive strength of China’s engineering machinery manufacturers has strode onto one new step. In May, in the newly released list of China Top 500 Enterprises, XCMG Group was ranked at 125th place, up by 26 places compared with last year, and ranked at 55th place in China Top 500 Manufacturing Enterprises, up by 18 placed compared with last year, retaining the first place in the China’s engineering machinery industry. In September, in the released list of World Top 10 Crane Manufacturers, XCMG was ranked at 3rd place, up by one place compared with last year, retaining the lead in China crane industry. In March, XCMG was successfully listed as one of “World Top 10 Most Influencing Road Machinery Manufacturers”.
III. XCMG Group was awarded as “China’s Earthquake Relief Team Hero” by Central Committee of CPC, the State Council, and the Central military Commission of the PRC.
After the Qinghai Yushu earthquake, XCMG in the first place dispatched the equipment and rescue team for active disaster rescue and relief works and donated 6 million RMB to the disaster area. On August 19, Central Committee of CPC, the State Council, and the Central military Commission of the PRC held ceremoniously the Qinghai Yushu Earthquake Relief Conclusion and Commendation Ceremony in Xining, Qinghai and awarded XCMG Group as “China’s Earthquake Relief Team Hero”. In August, after the Gansu Zhouqu extraordinary mud flow disaster, XCMG Group donated 1 million RMB to the Zhouqu disaster area. In the “Warm 2010” activity, XCMG Group donated 3.5 million RMB for construction of 11 Hope Schools. In the Xuzhou “One-Day Donation” activity, the cadres and employees donated more than 880,000 RMB.
IV. XCMG finished private offering of additional A-shares, with 5 billion RMB capital raising project completed successfully.
On August 24, the application for private offering of XCMG A-shares was approved by China Securities Regulatory Commission. This time, the private offering for capital raising was targeted at 5 billion RMB, which would be mainly utilized for 9 investment projects including the promotion of R&D platform, and the technical modification and informatization integral promotion of machinery and components category. On September 29, the capital raised arrived at the company account. On October 13, the shares of this private offering of XCMG were listed in the Shenzhen Stock Exchange. Thus, the 5 billion RMB capital raising project of XCMG was completed successfully.
V. XCMG Group was determined as one of the China’s first batch innovation pilot enterprises and the foundation-laying ceremony of Jiangsu Xuzhou Engineering Machinery Research Institute was held ceremoniously.
In October, XCMG Group was determined as one of the China’s first batch innovation pilot enterprises by Ministry of Science and Technology, State-owned Assets Supervision and Administration Commission, and All China Federation of Trade Unions. In November, XCMG held the 3rd Technology Conference, in which 16 major technical innovation projects and 110 employees were commended and 66 enterprise-level technical experts were newly recruited. In November, 11 innovations of XCMG won the China’s Mechanical Industry Technology Progress Award, leading the industry in terms of total awards, of which the QAY500 all-terrain crane won the first prize. On December 16, the foundation-laying ceremony of Jiangsu Xuzhou Engineering Machinery Research Institute was held ceremoniously. With 730 million RMB overall investment, this project would build 10 system technical test and research rooms, comprehensive R&D bases, and high-tech talent training bases and high-tech product show centers. Once completed, this project would promote the independent innovation capability and poster XCMG to become one powerful competitor and leader in international engineering machinery industry.
VI. Speeding up the industry layout adjustment, XCMG built XCMG Foundation Engineering Machinery Co., Ltd. and XCMG Railway Equipment Co., Ltd. and established materials supply company. With 5 billion RMB overall investment, XCMG high-tonnage crane industry base was foundation laid.
XCMG Group speeded up the industry layout adjustment. In January, Xuzhou XCMG Foundation Engineering Machinery Co., Ltd. was founded to speed up and promote the scale and strength of trenchless engineering machinery products. In April, Xuzhou XCMG Railway Equipment Co., Ltd. was founded, with the operation scope covering the R&D, production, manufacture, sales, and after-service of products and components for engineering machinery and railway construction special equipment, urban railway systems, and ground transport vehicles. On October 15, Xuzhou XCMG Materials Supply Co., Ltd. was founded and put into operation to optimize the supply chain and reduce the operation cost via the central management on the purchase of bulk materials related to XCMG products. On September 25, with 5 billion RMB overall investment, XCMG high-tonnage crane industry base was foundation laid, which would be built into one world-class industry base with annual production volume of 10,000 cranes.
VII. XCMG was awarded as “Informatization and Industrialization” integration exemplary enterprise and China advanced enterprise with implementation of performance excellence model and the 2nd phase and 3rd phase of Informatization Integral Promotion Project and the 1st phase of Lean Six-Sigma Project were completed successfully.
In September, XCMG Group was awarded as “Informatization and Industrialization” integration exemplary enterprise by Ministry of Industry and Information Technology, China Machinery Industry Federation, and the authority of Jiangsu Province. The 2nd phase and 3rd phase of Informatization Integral Promotion Project were online successfully in January and October respectively. Currently, the project covers the Heavy-Duty Machinery, Science & Technology, Construction Machinery, Hydraulic Parts, Accessories, Excavators, and Headquarters and one unified, efficient, safe and stable full-value chain control platform is established initially. On May 19, the China’s first engineering machinery network application center cooperated jointly by XCMG Group and China Mobile was settled in XCMG. On November 17, XCMG Group and Microsoft ceremoniously held the informatization strategy launch ceremony in Beijing. On May 22, XCMG held the ceremony on conclusion and commendation for 1st phase of Lean Six-Sigma and on launch for 2nd phase of Lean Six-Sigma. Through the ordered introduction and implementation, the 1st phase covers 71 projects from 10 companies and 42 persons are qualified for Green Band Certificate via training and practices.
VII. XCMG Group made waves with wonderful debut in Bauma China 2010 and built multiple exhibition records
From November 23~26, XCMG Group took part in the Bauma China 2010 and gained great success. Its latest heart-shaking products not only attracted the strong attention from the engineering machinery transnational giants, but also exhibited the future-oriented development direction and predominant quality in the engineering machinery industry and built multiple exhibition records: the highest tonnage product - XGC28000 crawler crane, the product with highest technical content – QAY12000 all-terrain crane, 4th generation road machinery product with strongest complete set and most popular product "Iron Spiderman” – ET110 excavator, Asia's highest DG88 elevating platform fire truck, the biggest 1200K wheel loader, the technically most advanced hybrid loader, and the most influencing exhibitor, which sufficiently demonstrated the industry leading brand influencing power and comprehensive strength of XCMG towards the world.
IX. The building of skilled personnel team of XCMG Group gained outstanding performance and the team achieved excellent performances in the national, provincial, and municipal skill competitions.
In 2010, XCMG was actively building one highly skilled personnel team capable of supporting the quick enterprise growth and world-class 100-billion RMB target. The comprehensive skill level of the personnel was promoted continuously and this team achieved excellent performances in the national, provincial, and municipal skill competitions. In the China's first “XGMA Cup” occupational skill competition for engineering machinery repair personnel, 15 competitors from XCMG won the awards and grasped the top 5 prizes in the automotive crane group and the loader group, of which Liu Wensheng and Liu Bin were entitled as “National Technical Expert”. In the China’s youth occupational skill competition, Jiang Wei won the second prize in machinery repair benchwork and was entitled as “National Technical Expert” and “National Youth Station Expert”. In the provincial skill competition, 15 XCMG employees including Meng Wei and Zhao Rongxing won the awards, of which 11 employees were entitled as Provincial Technical Expert and Provincial May-Day Innovation Expert. In the municipal skill competition, 15 XCMG employees won the first prize in various work types and 44 XCMG employees were entitled as Xuzhou Municipal Technical Expert. 42 students from XCMG Technical School won the awards in the provincial and municipal skill competitions.
X. The “Loyalty and Faith” theme education activity expanded continuously in depth and XCMG core value was deeply rooted into the hearts of people. The 7th Personnel Art Festival “World’s XCMG and Passionate Me” was held successfully.
For a year, through the implementation of all personnel security confidentiality training, the perfection of security confidentiality system, the enhanced investigation and treatment strength on infringement of regulations for cadres and critical post personnel, and the striking of various illegal criminal activities that would infringe the XCMG interests, XCMG continuously expanded in depth the “Royalty and Faith” theme education activity. After 10 years of the implementation of “Royalty and Faith” theme education activity, the faith culture of XCMG has been deeply rooted into the hearts of all personnel and became the core of the XCMG culture, gained the high recognition from the society and users, promoted the rapid growth of enterprise revenue and the promotion of personnel cohesion, and attracted a great lot of various excellent talents. Last year, XCMG newly recruited 520 university graduates and more than 12,000 talents in all fields and at all levels. From September 25 to November 6, the 7th Personnel Art Festival of XCMG Group was held ceremoniously, in which more than 1,000 employees from various branch companies took part in various contests and performances to turn the art festival into one real stage for promotion of enterprise culture and presentation of personnel artistic talents.
