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For our group͛s survey and research on Genting Group ,we found that the strengths of it is that
Genting Group is Malaysia͛s leading multinational corporation and one of Asia͛s best-managed
companies. They have over 27,000 employees, 11,000 acres of prime resort land and more than
80,000 hectares of plantation land.

The Genting Group is the collective name for Genting Berhad and its subsidiaries, which
comprise the following three listed entities, with a combined market capitalisation of about
RM47 billion (US$14 billion). (*as at 30 September 2008)

The Genting Group was founded in 1965 by the late Tan Sri (Dr.) Lim Goh Tong with the
development of a beautiful highlands resort, named Genting Highlands Resort. Located at 2,000
metres above sea level and 58 kilometres from Kuala Lumpur in Malaysia, Genting Highlands
Resort is now one of the world͛s leading integrated entertainment resorts, attracting 19.6
million visitors in 2007 (see History for further details).

Under the leadership of Tan Sri Lim Kok Thay, the Genting Group continues to grow from
strength to strength. His commitment to excellence, innovation and growth has resulted in the
birth of premier global brand names.

Genting Berhad is the investment holding and management company of the Genting Group. The
principle activities of the Group are leisure & hospitality, power generation, oil palm plantation,
property development and oil & gas.

The Group is committed to continue to grow strongly as a leading Asian multinational

corporation.

  

Genting broke its uptrend line .Genting reported its results for 1Q2008 ending 31/3/2008 on
May 29th. The net profit declined 14.6% q-o-q or 33.1% y-o-y to RM439.4 million. Turnover of
RM2.164 billion was 6.6% higher than the same quarter last year, but 3.8% lower than the
immediately preceding quarter.

The 33.1%-drop in net profit, when compared to the same quarter last year, was attributable to
one-off gain recorded previously, such as the RM510.7 million net gain arising from the dilution
of its shareholdings in Resorts World and Genting International PLC as well as a gain on dilution
of RM63.2 million arising from Resorts World's investment in Star Cruises.

The 14.6%-drop in net profit, when compared to the immediately preceding quarter, was
attributable to lower profits from the Leisure & Hospitality Division (due to lower visitors arrival
in Genting Highlands Resort & its UK casinos) as well as the Plantation Division (due to lower FFB
production).

Genting expects its results for the rest of its current financial year to be satisfactory due to
anticipated increase in visitors to Genting Highlands Resort (in line with the Visit Malaysia Year
promotion) as well as positive contribution from its Plantation Division. In its opinion, these
should offset any negative impact from its Power Division (due to higher fuel prices) &
continued weakness in its UK casino operation.

Technically speaking, Genting has broken below its immediate uptrend line support of RM6.15
about 4 weeks ago. The next supports are at RM5.20 & RM4.50 .


 





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Genting maintains a conservative capital structure and a consistent healthy financial
profile, due to its strong cash flow generation. Coupled with a measured approach
toward acquisitive growth, Genting's funds from operations (FFO) to debt averaged 64%
in the past three years, which compares favourably against industry peers. With the
proportionate consolidation of financially weaker associate, Star Cruises, cash flow
measures, while low, remained adequate, with three-year average FFO to debt at 32.4%
and EBITDA interest cover at 10x.

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Genting's gaming
operations are exposed to single-site risk, as most of its facilities are located at Genting
Highlands in Malaysia. The country's largely Muslim population imposes added risk to
regulatory environment, although such risk has been lessened with the more moderate
National Front Coalition in power. 

Nonetheless, Genting has diversified over the years from its single-site operation
through acquisition of gaming business in the UK and is bidding in one of the two
integrated resorts to be constructed in Singapore.
In the other hand ,Genting also faces increasing competitive threats from an expanding
gaming market in the region, e.g., Macau and Singapore. If Genting fails to win a bid for
the Singapore integrated resort, it could present a potential threat to the group as
Genting may lose patrons from Singapore and some in Johor, Malaysia. Nevertheless,
Genting derives most of its revenue from the steady grind market at home, which is
more resistant to competition.