The Walt Disney Company has announced that it will put the expansion of its Hong Kong theme park on hold after failing to reach an agreement with Hong Kong SAR government.
Disney says it will dismiss about 30 Hong Kong-based employees who have worked as Imagineers for the expansion projects as a result of this decision.
It is reported that due to a disagreement on fund allocation and equity holding, Hong Kong Disneyland has failed to reach an agreement with Hong Kong government on its expansion, which was supposed to consist of three themed areas covering 12 hectares and costing HKD4 billion.
According to Chinese media, the suspension of the Hong Kong Disneyland development has nothing to do with Disneyland Shanghai. Lu Bingsong, the vice president for public affairs of Hong Kong Disneyland, stated that the 30 employees affected were sent by Disney Company in the U.S. and they were not directly hired by Hong Kong Disneyland. Lu says that the expansion plan for the park will be implemented when the two sides reach.
It is understood that the Hong Kong SAR government has expressed its strong concern about Disney's decision and urged the company to reconsider.
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