GRIEF HOTEL CASINO

Chief’s three-point plea to improve odds on saving FNQ economy and 400 employees

IT’S been empty for 11 gruelling weeks and faces another month before it can reopen but Reef Hotel Casino boss Allan Tan (below) is betting on a three of a kind to save the economy and his business which employs 400 people.

In charge of one of the city’s biggest employers, and perhaps one of the region’s most publicity-shy leaders, Mr Tan has given the Cairns Post a candid insight to the plight of the hotel and casino in Abbott Street.

Mr Tan believes his three wishes would give the casino and wider tourism industry a chance while admitting the establishment was “bleeding cash”.

“We will work hard, try our best, but we need those three wishes to come through,” he said.

REEF Hotel Casino boss Allan Tan has given a candid account of the lonely gambling house’s financial affairs and issued a three-point plea to save the Cairns economy.

The casino and its 127-room hotel have been empty for 11 gruelling weeks, with more than a month still to pass before they can reopen.

A skeleton workforce is aiming for a July 11 relaunch on advice from the State Government, but even that date is uncertain.

So are so many other variables critical to the operation’s viable comeback, and Mr Tan is acutely aware the business cannot stay in the red forever.

“Sadly, and it is very, very sad, most of my 400 staff have been stood down because there’s nothing for them to do,” he said.

“We are working on our COVID safety plan, so there is work to do with no income.

“We have to run our air conditioners otherwise the building will go mouldy inside, but there’s no income. We have to pay insurance, but there’s no income. It is bad.”

The Reef Casino Trust’s share price has tumbled from $2.65 to $1.86 since January 1.

It fell to $1.65 in April – on par with its lowest point in 2011 in the wake of the GFC. It has been as high as $4.37.

Mr Tan said governments could give tourism a chance by granting three simple wishes.

Firstly, he said a fair balance must be found between medical safety and financial reality when assessing businesses’ COVID-safe plans.

“It won’t be skewed towards us being profitable. We can accept that because we are in a COVID-19 situation,” he said.

“But if it’s skewed completely towards zero risk – I take the extreme case just for illustration – then I think that’s not the right balance.

“There are shades of grey.” Mr Tan’s second wish was to get flights back to Cairns, and fast. Qantas and Jetstar’s decision to reopen routes from Brisbane was just a start.

“It’s fine saying we are open for Queensland but it’s a big state,” he said.

His final wish was one the vast majority of tourism entities in the Far North could relate to – the need to reopen the state’s borders.

“We have to manage it, I can accept that, but Cairns has no chance if we don’t open the borders,” he said.

“I remain hopeful but my three wishes must come true, otherwise my hopes may be dashed.”