[Global Times reporter Yangsa Sha] ZTE announced on the 7th that the company has reached a settlement with the U.S. government on the US government's export control investigation case. As part of the settlement agreement, ZTE agreed to pay approximately US$890 million in criminal and civil penalties. In addition, the US$300 million fine for the Bureau of Industry and Security of the US Department of Commerce was suspended. Whether or not to pay depends on the company's compliance with the agreement in the next seven years and continues to be subject to independent compliance supervision and auditing. On the 7th, ZTE told the Global Times that ZTE's agreement with the U.S. Department of the Treasury’s Overseas Asset Control Office was effective. The agreement with the U.S. Department of Justice came into effect after being approved by the North District Court of Texas. The court's approval of the agreement with the U.S. Department of Justice is a prerequisite for the issuance of the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) with its ZTE reconciliation order. Zhao Xianming, Chairman and CEO of ZTE Corporation Zhao Xianming, chairman and chief executive of ZTE Corporation, stated that ZTE recognizes violations of US export control laws and regulations and is willing to assume corresponding responsibilities. The company will continue to actively commit to change, and has established new compliance procedures and major personnel adjustments. We have learned a lot of lessons from this experience and will strive to become a model for compliance control in export control and work hard to build a new compliance, health, and trustworthy ZTE Corporation." Zhao Xianming said: "Reconciliation with the U.S. government will enable ZTE to gain a more solid foundation for future development." On March 7, 2016, the U.S. Department of Commerce published a message on its website that listed Chinese companies such as ZTE Corporation in the “List of Entities†for breach of U.S. export control regulations, and adopted measures to restrict exports for ZTE. The Chinese Ministry of Commerce immediately expressed its strong dissatisfaction and firm opposition, saying that ZTE Corporation has been actively engaged in international operations and has conducted extensive trade and investment cooperation with hundreds of U.S. companies, contributing tens of thousands of jobs to the U.S. . The U.S. move will seriously affect the normal operations of Chinese companies. China will continue to negotiate with the US on this issue. Immediately, ZTE’s shares were suspended on the same day. Both sides fell into a period of 11 months of mediation.