House of Blues has significantly downsized its Internet production, distribution and label divisions while focusing on its club venues and concert sector. As a result, 39 people were laid off.
House of Blues generated revenues in excess of $410 million in the United States and Canada in the fiscal year that ended on June 30th. Club profits increased by 34 percent over the past year; concert profits 5 percent.
The company has also delayed construction of five planned new clubs and sheds.
Last year, HoB tried to raise $100 million with an IPO but withdrew the offering when the economic markets started its current downslide.
HoB has also been in the rumor acquisition mill, but HoB executives have persistently denied that the company is currently for sale.