High stakes in power play over leading magazine

Caijing magazine is known for its astute untangling of complex economic and business issues. Now the magazine itself has become the story, as the fate of the mainland's most influential business publication hangs in the balance.

The magazine's parent company has moved swiftly to appoint a senior executive to head Caijing's business operations, as its managing editor and founder Hu Shuli and the management made last-ditch efforts to strike a deal, according to several staff members.

Dai Xiaojing, manager of media operations at the Stock Exchange Executive Council, Caijing's owner and publisher, has taken over business operations after the resignations of general manager Daphne Wu Chuanhui and most of Caijing's top business executives.

About 70 out of 110 employees at Caijing's business operations have resigned or plan to submit resignation letters after Wu and eight out of nine business directors quit.

Dai will have a tough time rebuilding because Wu and her team were credited with expanding Caijing's revenue streams and building the Caijing Annual Conference into one of the most respected forums on the mainland, attracting the nation's top officials to deliver keynote speeches.

Before her resignation, Wu was an executive director of the Hong Kong-listed SEEC Media Group, the advertising arm of SEEC whose portfolio included advertising revenues of Caijing and other magazine titles owned by the group. SEEC Media has not made a public announcement of Wu's resignation.

For Caijing staff and many advertising clients, Wu and Hu were seen as a dream team, with Hu responsible for the editorial content and Wu for the business side. Wu's departure has put Hu in a difficult situation.