Heather Haugen, on trapeze, in a Theatre Latte Da show at the Southern Theater in 2009. / Star Tribune photo by Tom Wallace.

In a letter sent Wednesday, the Southern Theater reports that it is operating under "serious financial constraints."

The letter also is posted on the Southern's website.The nonprofit Southern, in Minneapolis, is a hotbed for new music, modern dance and inventive theater. It has an annual budget of $1 million.

As previously reported in the Star Tribune, the Southern in recent weeks has been buffeted by a board shake-up, denial of a bridge loan and the loss of confidence of the McKnight Foundation, a major source of funding.

"In the very near term, we are dealing with budget issues on a week-to-week basis," says the letter, signed by new board chair Anne Baker and executive director Gary Peterson.

While no programming has yet been affected, the letter notes that the theater is reviewing all performances booked now and for next season, "to determine whether the Southern can stage them in a financially feasible manner. If not, they will be canceled."

The String Theory music festival last weekend was a success, according to the Southern.

The letter encourages contributions and attendance at a previously planned fundraising gala at the Southern on April 30.