Yang Yuanqing Quotations

The process will take at least five months, so we can have a smooth operation in organising the management and a stable increase in our business in domestic and international markets.

Right now I want to tell our investors to calm down and give us more time to fully integrate to get better performance.

Our results validate the expectations we have when we acquired the business and reinforced our convictions that we have a model for ongoing profitability,

Our first priority has always been to provide highest-quality, innovative products to our customers. Working together with Microsoft, we have made it easy for our joint customers to get the reliability, service and support only available from genuine software, at great competitive pricing. As a global corporate citizen, we want to lead the efforts to make it possible for ordinary users to enjoy genuine software and to help foster the healthy and orderly development of the IT industry in every country in which we do business.

Our mobile handset unit delivered strong and profitable growth, and, more importantly, the acquired PC business was profitable worldwide,

The above strategies have helped to improve the gross profit of the group and helped to maintain average selling prices of products, further consolidating the group's leading position in the market.

The acquired business has now been profitable for three consecutive quarters, in line with the board's expectations, although regional performance has varied.

We have this potential, this opportunity to grow (at) twice the industry average growth.

We are not a (Chinese) government-controlled company. This didn't create a good image for us, and I want to clarify.

The decline in profit margin reflects an increase of market competition, and shows that we haven't optimized our cost and expense structure. We need to broaden our product portfolio and increase our market coverage.

When our stock price went down after the acquisition I told our investors: You should have more confidence in this company,

The partnership we sign today will further increase our cooperation in this area, as well as extending our partnership to include high-end PC product development and joint marketing in new emerging markets.

With our integration of IBM's PC division on track and our organizational integration complete, we are accelerating our planning for our next phase of growth.

We are very confident we can improve the efficiencies.

We are a new unified culture, more efficient, more profitable and with better service for our customers.

Our current cost structure and competitiveness has not been optimized and our product portfolio is not complete enough. We should have higher aspirations.

The board of directors are satisfied with the business results.