OSAKA -- The virtual bankruptcy of three municipal public-private projects designed to attract international investment was the result not only of poor management and vague strategy but of a refusal by management to adopt to changing economic conditions.
These were the main conclusions of a final report from an independent commission set up by the Osaka Municipal Government to examine why three third-sector projects -- the Asian Trade Center, the World Trade Center, and the Minatomachi Distribution Center -- were forced to seek protection from their creditors in February.
Total accumulated debt for all three projects had climbed to nearly 1.85 trillion yen by the time they sought a bailout.