Lenovo ousts chief executive

William Amelio out after company announces quarterly loss

William Amelio will remain at Lenovo in an advisory role until September

Lenovo has announced that William Amelio is no longer serving as chief executive at the computer firm, and that chairman Yang Yuanqing will take over the position.

Yang will hand over the chairman's role to Lenovo founder Liu Chuanzhi. Amelio will continue to work with Lenovo in an advisory role until September.

The shake-up follows Lenovo's first quarterly loss since 2006. The manufacturer credited a five per cent drop in global PC shipments, and a seven per cent drop in China, with contributing to the $97m (£66m) quarterly hit.

"Lenovo has grown successfully on the international stage, but at this important time we want to pay particular attention to our China business as it represents the foundation of our global business and growth strategy," said Liu.

"We have the particular benefit of naming Yang Yuanqing to the chief executive role since he built our China business. His in-depth knowledge of that market, and ability to execute there, are unmatched in the industry."

Amelio began his tenure as chief executive at Lenovo in 2005 when the company formally acquired IBM's struggling PC operation. Yang was his predecessor, having served as chief executive from 2001 until 2004.

"Our brand is recognised around the world, we have developed a solid reputation for quality and innovation, and our customer service is second to none," said Amelio. "I am pleased with what we have accomplished as a team."