A majority vote Saturday in the Osaka Municipal Assembly accepted a court-arbitraged bailout plan for three failed semipublic entities in a decision that highlights the city's 47 billion yen burden.

Given the result of the vote, creditor banks are also expected to agree to the bailout plan that calls for waiving 92.6 billion yen, or about 45 percent, of their loans to the three firms -- Asia and Pacific Trade Center Co., World Trade Center Building (Osaka) Inc. and Minatomachi Development Center Co., officials said.

The plan will likely be finalized at the next meeting of an arbitrage committee on Feb. 12 under the Osaka District Court, they said. The three will work to rebuild their businesses within 30 to 40 years.

Aside from the plan, the city and its related organizations are to pay a total of more than 218.5 billion yen to the three entities in rents, subsidies and other outlays during the rehabilitation period.

The city's 47 billion yen burden in the plan involves 10.4 billion yen in additional investment, 32.9 billion yen in loan securitization, which is effectively a debt waiver, and 3.75 billion yen for partially purchasing facilities as a form of substitute payment.

The plan includes a provision committing the city to compensate losses incurred by creditor banks if the three go bankrupt, meaning the city's burden will balloon if they fail to rebuild their business.

The city assembly also adopted an extra resolution to set up a panel to monitor the three companies' revival efforts.

Osaka Mayor Junichi Seki, who will be included in the panel, said he will accept a pay cut to take responsibility for the city having to shoulder the debts.