Cirque du Solayoffs

Cirque du Soleil announced 400 layoffs, mostly at its Montreal headquarters, Jan. 15 but insists it is still a viable business that just capped a record year of revenue and ticket sales.

Increased production costs, the strong Canadian dollar and the global economic downturn were all cited as reasons for the decision, company spokeswoman Renee-Claude Menard told the Canadian Press.

Cirque du Soleil, with 19 productions currently running and new ones in the works in Las Vegas and Montreal, employs about 5,000 people worldwide.

The company was founded by street performer Guy Laliberte in 1984 and has enjoyed several years of rapid expansion. While it is preparing two new shows, production on four others is being shut down.

Cirque du Soleil initially received financial support from the Quebec government, but that ended in 1992. Laliberte has become a multibillionaire, and Cirque has been able to provide to other arts organizations over the years.