- Jakarta Post reported that more Singaporeans and Malaysians have been spending their weekends in Batam, Riau Islands over the past few months after the emergence of gambling-related recreation and gaming centres on the island. 

- According to the article, local authorities have denied that they have revived gambling in Batam although records show that officials have recently issued 14 licences for recreation and gaming facilities to revive tourism and provide entertainment facilities for foreign investors on Batam. 

- An official at the Batam Municipal Tourism Office denied that the recreation and gaming centres, which are located in shopping malls, have become gambling sites. 

- The arcades, some of which feature state-of-the-art slot machines are typically located in shopping malls. 

- Batam Island is accessible via flights from Jakarta and ferry via Singapore and Johor Bahru. The ferry ride from HarbourFront Ferry Terminal, Singapore takes about 45 minutes.  

- Impact of the 'gaming centres' on Batam Island on Genting Singapore PLC's (GenS) Resorts World Sentosa (RWS) is not expected to be significant. 

- RWS is much larger and offers more family-style attractions like Universal Studios Singapore theme park.   

- RWS' new attractions such as the Adventure Cove WaterPark and Marine Life Park are expected to lure more tourists. These attractions are part of the Western Zone, which is envisaged to be completed by year-end. 

- We maintain a BUY on GenS as the group is expected to resume its profit growth in FY13F underpinned by the completion of Western Zone.