syxxpakk wrote:He didn't. He stepped down as CEO but is still a board member.
Being a board member doesn't equate to his having an everyday role in the running of the company.
Here's the press release.
NEW YORK, July 12, 2013 /PRNewswire/ -- YOU On Demand Holdings, Inc. (NASDAQ: YOD) ("YOU On Demand" or the "Company"), the first national Video On Demand (VOD) platform in China, is pleased to announce that Mr. Weicheng Liu, in conjunction with the recently announced closing of the strategic investment from Chinese mobile video service provider C Media ("C Media"), was appointed as the Company's Chief Executive Officer. Mr. Shane McMahon, who voluntarily stepped down as CEO of the Company, will continue to serve as YOD's principal executive officer of and Chairman of the Board.
Commenting on the announcement, Mr. McMahon said, "Weicheng has been instrumental in YOU On Demand's initial success and has done a wonderful job as the Company's China-based CEO. As our operations and footprint continue to expand throughout China, it is essential that the role of the CEO be located within the PRC for both strategic and operational reasons. Weicheng is both a remarkable person and leader and I look forward to continuing to build the YOU On Demand brand with him. With Weicheng's new role, along with C Media's strategic investment in the company and their expertise in the market, I am very excited about the future for YOU On Demand."
Mr. Liu stated, "I am very excited and appreciative to have been named as CEO of YOU On Demand. Along with many others in the Company, Shane and I have worked very hard over the past three years in creating YOU On Demand and I am very optimistic about our future success. We have tremendous potential to continue our creation of a unique, multi-tiered distribution platform that will deliver a wide array of entertainment content. The Chinese media market is changing quickly and we are focused on continuing to adapt in order to best serve its consumers."
I get the impression that Shane's new title is more or less a BS one, and things are going to be run inside China from now on. That happens all the time in business. Boards in many cases are just yes-men for the CEO and rubber-stamp his decisions.