Cherry Lane Alternative — the resident theatre company established by Fiordellisi in 1997 — will, however, continue to produce the Mentor Project at Cherry Lane's 60-seat Studio Theatre.

Also, Cherry Lane Alternative will no longer serve as the rental and managing agent for the theatre's two stages to other theatre companies and commercial productions, relinquishing those responsibilities to the newly established Cherry Lane Theatre Company.

Artistic director Fiordellisi said in a statement, "The numbers don't lie. It's imperative that we be fiscally responsible. At Cherry Lane our focus on the creative process distracts us from the business side, and the demands of maintaining a traditional Off-Broadway theatre have changed to the extent that we just can't keep up. It's time for us to stop and take a breath and explore our options. Strength, a disciplined approach and perseverance will help us overcome these obstacles. I am thrilled that the Mentor Project, which is my 'passion child,' will continue at Cherry Lane, perpetuating the theater's rich history of launching new voices for the American theatre."

Cherry Lane Alternative will present the 13th annual Mentor Project in early 2011 at the Studio Theatre, with playwrights Gretchen Cryer, David Henry Hwang and Jean-Claude van Itallie scheduled to serve as Mentors for three emerging writers, yet to be announced.

The Cherry Lane Theatre is located in Manhattan at 38 Commerce Street. Visit www.cherrylanetheatre.org for more information.