This study was first conducted in the spring of 2011 when the first cohort of FTE students graduated and entering teaching profession.The study was conducted at Beijing Normal University—one of the six normal universities offering a FTE program.Using three types of data: 1) a survey of 470 graduating FTE students,2) interviews of 8 graduates,2 school principals and 3 teacher education curriculum designers,and 3) policy documents and administrative meeting minutes regarding FTE program of BNU.The analyses of the survey and interview data showed that the strengths of the FTE policy are: 1) it provides a great opportunity for western rural schools to employ high quality teachers and 2) it gives high-poverty students an opportunity to attend top-ranking universities and expand their future job opportunities.However,the analysis also revealed the weaknesses of the policy: 1) because the FTE programs cannot dismiss students for failing grades and their teaching positions are guaranteed unlike other teacher education students,some students are not motivated to study hard,2) the consequences for breaking the contact are too harsh: they will not only have to pay back 150% of all the expenses,but also the government will keep the negative record of breaking the contract,which could affect their future employment opportunities in public sectors,3) even if they return to their home provinces,they are usually hired by city schools,not rural schools,which does not solve the within-province inequality between city and rural schools,and 4) inconsistencies between the national FTE policy and province-level policy on accepting FTE students complicate the hiring process (e.g.some provinces accept FTE students from other provinces while the national policy require them to return to their home provinces).