The Department of Education in Australia is looking at a range of contingency plans in case ABC Learning collapses, leaving 100,000 children in the lurch.
ABC Learning taskforce manager Michael Manthorpe says the department is alert to the question of what would happen if the child care operator did fail.
But Mr Manthorpe would not speculate on the specifics of any contingency plan.
The ABC reports he also refused to confirm newspaper reports the Government has been approached by ABC Learning for an injection of emergency funds or a possible buyout.
ABC Learning's stock was placed in a trading halt on August 21 when it last traded at A54 cents.
The company is expected to resume normal trading after it issues its 2008 results later this month.
ABC Learning provides 25% of all long-day child care places in Australia.