1. U.S. Army John F. Kennedy Special Warfare Center and School The U.S. Army’s Special Operations Center of Excellence The overall classification of this brief is: UNCLASSFIED Briefer: Type of Brief: Date: Version: NON-OPERATIONAL STUDENT EXERCISE BRIEF SSG Venegas, Adrian Information Brief 22 APRIL 2015 2.0A MACAU SPECIAL ADMINISTRATIVE REGION OF THE PEOPLE’S REPUBLIC OF CHINA

2. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Purpose: Present a Macau Information Brief Agenda –PMESII-PT –Possible Economic Solutions –Questions and Comments Purpose and Agenda

3. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Peninsula with two islands –Taipa and Coloane Connected by reclaimed land forming Cotai (the process of creating new land from ocean, riverbeds, or lake beds) –Macau Peninsula used to be and island a until connecting sandbar gradually turned into a narrow isthmus –Macau lies on the western side of the Pearl River Delta across from Hong Kong –Bordered by Guangdong Province to the north –South China Sea to the east and south. –11.6 sq. mi, it is the most densely populated region in the world. –Humid subtropical climate –Average 84F/58F in January the coldest month Physical Environment

4. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Portuguese colony from 1557 - 1999 –Fishing village –Trading port –Chinese safety Qing dynasty and Portugal –Signed the Sino-Portuguese Treaty of Peking in 1887 Macau was the last extant European territory in continental (on-shore) Asia. History

5. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF “ One Country, Two Systems“ Special Administrative Region PRC's Central People's Government is responsible for the territory's defense and foreign affairs Highly Autonomous –Own legal system Chief Executive(President) Fernando Chui Sai –Police force –Monetary system 1 Pataca equals 0.13 US Dollar –Customs policy –Immigration policy Political

6. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Languages –Cantonese 85.7% –Mandarin3.2% –Chinese languages 6.7% –Portuguese 0.6% –English 1.5% –Others 2.3%. Religions –Chinese folk religion 30% –Taoism 10% –Confucianism 10% –Buddhism 10% –Christians 5% Second highest life expectancy in the world Social

7. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Social Structures –University of Macau University hospital –Hospital Conde S. Januário –Hospital Kiang Wu –Health Centers Free medical care Transportation –Traffic drives on the left like Hong Kong –Macau has a well-established public transport network Buses Taxis Ferry Light Rail Transit System 2015 Macau International Airport Social - Infrastructure

8. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Economic Chart

9. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF 2013 its GDP per capita by purchasing power parity is higher than that of any country in the world Biggest gaming revenue decline in history. –Gaming revenue 80% of income Things that may have lead to this. –President Xi Jinping's corruption crackdown Zhou Yongkang, former head of state security “Tigers and Flies” VIP’s Historical Events that may have had an influence –Transfer of Sovereignty 1999 Former Portuguese colony –Global Financial Crisis in 2008 –Smoking ban 2014 VIP ban 2016 Economy

10. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Chinese President Xi Jinping –The way of Hong Kong Democratic protests –Crackdown on Corruption –China tightens grip on Macau Dealers protesting Threats on politicians Forefront of Macau Gaming(FMG) –Aggravated disobedience Political - Economic

11. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Professor wrote: –Newspaper article criticizing Chief Executive –Academic essay criticizing the government of Macau Social activism Sprouts –Protests –Leaflets Political - Information

12. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF People’s Liberation Army –500- 600 stationed in Macau –A way to flex main lands power –No involvement in local matters Civilian attire Corruption General Xu Caihou The Chinese military's newspaper has warned officials against enlisting family members in corrupt practices –Former head of the mainland energy regulator –Su Rong, former Chinese People's Political Consultative Conference vice-chairman. Their family members had received bribes in exchange for favors, –Investigations into 14 other senior officials Military

13. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Build even more casinos, Different client focus –3,000-room Parisian Macau with Eiffel Tower. – Extract money from the mass-market Chinese, not VIPs The “Flies,” not the “Tigers.” Bridges to riches –Macau’s decline of VIP’s means less revenue. Economic Solutions

14. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Economic Solutions

15. UNCLASSFIED NON-OPERATIONAL STUDENT EXERCISE BRIEF Questions and Comments