Star Entertainment: Qld govt could keep Queen’s Wharf running
The Queensland government could step in to keep Queen’s Wharf open if embattled casino giant Star Entertainment Group collapses, the Premier says.
QLD Politics
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The Queensland government could step in to keep Queen’s Wharf open if embattled casino giant Star Entertainment Group collapses within weeks.
Amid fears Brisbane’s newly opened $3.6bn gaming, retail and accommodation precinct could become a vacant white elephant, the state government is considering how it would provide protection for 3000 workers if Star – which owns 50 per cent of Queen’s Wharf and the casino licence – goes bankrupt.
Premier David Crisafulli said the future of Star Entertainment Group was not his concern, but the government would ensure the precinct continued to operate if the company ran into trouble.
“My focus is on the many thousands of people who work for them, and I make the commitment that we will be sending the clearest of clear messages, whatever happens, that continuity of employment is my number one, two and third priority when it comes to the future of that facility – not the future of Star,” he said.
“If something was to happen, there must be continuity of operation. I want the state to know that our whole focus is on making sure that operation continues in whatever capacity and we’ll be speaking to whoever is involved in whatever form is involved to make sure that those workers can get out of bed on a morning, go to work, go home, provide for their families.”
Star Entertainment Group chief executive Steve McCann, appointed in June, is expected to keep his salary and bonus if the company collapses.
It is understood Mr McCann is a secured creditor of Star – giving him a stronger chance at receiving his $2.5m salary and millions of dollars in bonuses if the company fails.
Mr Crisafulli said he was unaware of Mr McCann’s entitlements and whether taxpayer cash could be used to pay the executive.
“I’d come back to my underlying principle, which is it’s the men and women who work there that are my only priority,” the Premier said.
The former Labor government declined to provide a financial lifeline for Star unless the company committed to not pay executive bonuses.
Financial analysts say Star’s higher-than-expected cash burn in the three months to December 31 has put its future on a knife’s edge.
Star could secure a $1.6bn refinance of Queen’s Wharf, which it holds in a joint venture with partners Chow Tai Fook and Far East Consortium.
The two Hong Kong-based conglomerates could step in and take over Star’s equity holding if the refinancing fails.
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