Genting Singapore : 2021 Annual Report

ANNUAL REPORT 2021

GENTING SINGAPORE ANNUAL REPORT 2021

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Genting Singapore Limited ("Genting Singapore" or "Company") was incorporated in 1984 in the Isle of Man. The Company was converted into a public limited company on 20 March 1987 and listed on the Main Board of the Singapore Exchange Securities Trading Limited on 12 December 2005. Genting Singapore re-domiciled and transferred its registration from the Isle of Man to Singapore on 1 June 2018. Genting Singapore is a constituent stock of the Straits Times Index and is one of the largest companies in Singapore by market capitalisation.

The principal activities of Genting Singapore and its subsidiaries (the "Group") are in the development, management and operations of integrated resort destinations including gaming, attractions, hospitality, MICE, leisure and entertainment facilities. Since 1984, the Group has been at the forefront of gaming and integrated resort developments in Australia, the Bahamas, Malaysia, the Philippines, the United Kingdom and Singapore. Genting Singapore owns Resorts World Sentosa in Singapore, an award-winning destination resort and one of the largest integrated resort destinations in Asia, offering a casino, S.E.A. Aquarium (one of the world's largest Oceanariums), Adventure Cove Waterpark, Universal Studios Singapore theme park, hotels, MICE facilities, celebrity chef restaurants and specialty retail outlets.

Contents

• 4 Chairman's Statement

• 6 2021 Highlights

• 8 Board of Directors

• 11 Management & Corporate Information

• 12 Corporate Diary & Financial Highlights

• 13 RWS Management Team & Awards and Accolades

• 14 Year in Review

• 18 Corporate Social Responsibility

• 22 Sustainability

• 26 Corporate Governance

• 48 Directors' Statement

• 54 Financial Statements

• 112 Independent Auditor's Report

• 116 Statistics of Shareholdings

• 118 Notice of Annual General Meeting & Proxy Form

• 126 Group Offices

Chairman's Statement

Dear fellow Shareholders,

The negative impact of COVID-19 on our businesses continued into 2021, with unprecedented challenges to the global tourism industry. The steep decline of international travel and restrictions in many international borders, coupled with emerging new variants of COVID-19 rattled the recovery progress. As the world starts to learn to live in this environment of endemicity, we are optimistic of emerging slowly over the next year with a gradual return to pre-COVID levels. Meetings, Incentives, Conferences and Exhibitions ("MICE") events and business travel will precede leisure tourism. Our flagship Resorts World Sentosa ("RWS") performance will continue to be adversely affected as visitation will continue to be limited to only the domestic market.

For the financial year ended 31 December 2021, the Group reported a revenue of $1.1 billion, adjusted earnings before interest, tax, depreciation and amortisation ("Adjusted EBITDA") of $448 million and net profit of $183 million.

The protracted pandemic had spurred the RWS team to adapt and innovate to attract local and repeat customers, with strengthening of MICE and corporate businesses. Health and safety of our visitors and team members are our top priorities in managing our offerings. RWS was one of the first companies in Singapore to receive the 'SG SafeEvent Venue' certification accorded by the Singapore Association of Convention & Exhibition Organisers & Suppliers ("SACEOS"). The SG SafeEvents certification covers aspects such as risk management plans, documentation of identified hazards and necessary control measures to be implemented before and during events by organisers. With such measures, and also adhering to regulations relating to safe distancing, our capacity was considerably reduced which significantly impacted our income.

Meanwhile, RWS has been developing creative events and continuing to reimagine our offerings for local tourists. During 2021, we reopened the Adventure Cove Waterpark and welcomed guests back with new interactive water features. Under social distancing measures and capacity restrictions, we transformed our usual Halloween event into an exhibition. Guests were able to come to Universal Studios Singapore during the Halloween season with the debut of the first ever Universal Studios Singapore's Halloween Horror Nights Exhibition, and partake in a complete immersive experience.

We also launched our new restaurant, CURATE CUCINA PISANA, Singapore's first restaurant that specialises in Pisan cuisine, and will gradually be introducing more dining concepts in the new year.

We remain steadfast to walk the talk on our sustainability journey. Our efforts have borne fruit with the winning of accolades such as the Singapore Tourism Awards' inaugural Special Award for Sustainability this year. We are also honoured to be the first destination in the world to be certified as a destination meeting both the

Global Sustainable Tourism Council's ("GSTC") Destination Criteria and GSTC Industry Criteria for Hotels. GSTC is created jointly by United Nations agencies and prominent international conservation non-governmental organisations (NGOs) to develop global standards for sustainable travel and tourism covering sustainable management, socio-economic, environmental and cultural impacts.

The ability to implement sustainable business models and reduce environmental impact will be critical to the long-term growth of the MICE business in a post-pandemic world. As one of Singapore's largest and premium venue providers, we are privileged to have been awarded the SACEOS MICE Sustainability Certification (MSC) Intermediate Tier for Venue certification and will continue to work with our customers and supply chain partners to rethink the environmental and social impact of future events. To this end, we have launched our Eco-MICE packages to meet increasing demand for sustainable events. This paves the way for RWS to hold sustainable yet state-of-the-art events to shape the growth of eco-tourism in Singapore.

We are also working closely with Singapore Tourism Board and Sentosa Development Corporation to position Singapore as a sustainable tourism destination and to nurture an environmentally conscious workforce and community. As one of the founding members of the Sentosa Carbon Neutral Network in Singapore, we are committed to achieving carbon neutrality by 2030. Moving forward, we will also partner with other agencies and institutions to further the global and local sustainability agenda.

On the social front, we continue to provide a fair, diverse and inclusive work environment as well as explore opportunities to give back to the community. Some examples of our social initiatives include our work as Managing Agent for the Community Treatment Facility at the NTUC Health Nursing Home in Tampines for COVID-19 patients, and our support for community programmes like the Purple Parade, Children for Children and ChildAid.

We remain fully committed to Singapore for the long-term. We are making revisions to our $4.5 billion mega expansion plan (RWS 2.0) to ensure that the new expanded integratedresort takes into account the necessary health and safety protocols, as well as embarking on re-positioning RWS to be a destination for both families and premium customers. We continue to incorporate features that are in line with our journey towards 2030 carbon zero, in line with Singapore's green vision.

Even as COVID-19 had an unprecedented severe damaging impact on our finances, our strong balance sheet allowed us to weather a few weeks of severe "cash burn" followed by a prolonged restricted capacity and travel movement situation. The outlook for the tourism industry is still in a somewhat uncertain environment.

We value the support of all our loyal Shareholders through these difficult times, and the Board of Directors is pleased to recommend a final dividend payout of 1 cent per share.

While uncertainty remains going forward, we are encouraged as we see border restrictions gradually being relaxed. Many countries around the world have reported highly vaccinated populations and acceptance of living in an endemic state.

On behalf of the Board, I would like to express my utmost gratitude to our Shareholders, valued customers, business partners and the Singapore Government ministries and agencies for their unstinting support during these difficult times.

To my fellow Directors, thank you for your valuable guidance. To our Management and team members, I thank you for your diligence and dedication. Together, we have ridden this challenging wave and we will continue this journey to emerge stronger.

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