Local performing arts company the Children's Theatre of Madison Family Theatre announced Wednesday the long-standing theater faces possible closure due to its increasing debt.

However, representatives from the board of directors emphasized closure is just one of the many possible decisions the board could make about the future of CTM.

"No definite decision has been made," Sandra Fernandez, president-elect for the theater's board of directors, said. "It's completely up in the air. Right now, we need to collect more information so we can have all the facts on the table."

While the 40-year-old company faces a debt of more than $300,000, Fernandez noted CTM has a "very supportive community" of donors and a "fabulous" summer drama program that features a variety of classes and drama programs for the city's youth.

According to Fernandez, CTM's summer drama program has already registered 40 participants, even without distributing publicity brochures.

Downtown Madison Inc. President Susan Schmitz, who deals with many downtown businesses, also emphasized the extensive support from the Madison community.

"They have long-time, good supporters," she said. "I'm confident they can find some way to bounce back."

Another opportunity to raise funds, according to Fernandez, will come from a future fundraiser in tribute of Nancy Thurow, the theater's co-founder.

Approximately half of the funds raised will go toward paying off debt to one of CTM's main creditors, and the other half will support Thurow's retirement fund.

Fernandez reiterated the board has not even motioned to shut down CTM and will continue to think of different ways to pay off the debt, as closing will be a last resort.

"I could not gauge what the board's final decision would be," she remarked. "We're still in the process of aspiring for solutions."

Such solutions include merging with another performance arts group in the city, obtaining further legal counsel to sort through financial issues and planning other intensive fundraisers, Fernandez said.

But if CTM is forced to close, Schmitz said it would be an "unfortunate" loss to the downtown area.

"It shows how expensive it is to run these organizations," she added. "When you think about all the different arts venues, it's amazing to see how a community our size supports as many as they do."

Fernandez also said closing the theater would be a "huge" loss of a company that provided a place for educational dramatic arts programming, which is hard to find in the public school systems.

She added even if the theater closes, Madison should continue providing opportunities for young performers interested in the dramatic arts.

"If it does come to a closure, I'm hoping some other arts group or conglomeration will pick up [our] mission," Fernandez remarked. "There's a lot of talent in Madison, [including] excellent teachers, and I'm sure they can meet a demand in the community."

Currently, the board will continue to develop solutions to the company's financial problems and will bring proposals to the next board meeting in April.

But the question of voting on any solutions remains to be seen, Fernandez said.

"Right now we're still continuing," she said. "At this point, there has been no determination made. … There are a number of things placed out there."