Looks like the last Phish tour is putting the hurt on everybody else...or maybe Perry needs to get some better bands? Citing poor ticket sales across the board, Lollapalooza has cancelled its 2004 summer tour. Despite a lower ticket price and two-day format, Lollapaloozas brand name proved unbankable for the second year in a row, leading to this mornings surprising announcement. Fans who have already purchased tickets will receive a full refund. Initially, this summers Lollapalooza looked to be the traveling festivals most adventurous outing since the alternative era. Spreading its wings out over two days, the 13-year-old festival featured its most eclectic lineup yet, including Wilco, Morrissey, Polyphonic Spree, Sonic Youth, PJ Harvey and the Flaming Lips. Blending jam acts such as String Cheese Incident, Spearhead and STS9 into the festivals grassroots-styled second day, Lollapalooza also reached out to a generation of fans too young to attend the original incarnation of Perry Farrells traveling festival. "It's too bad--we were really encouraged by Perry's vision from the festival," String Cheese Incident bassist Keith Moseley says. "We were also really excited about his involvement with HeadCount, Amnesty International and Solar Village--all that was going on besides the music." Perry Farrell, tour organizer, commented on the Lollapalooza website, "My heart aches along with the bands, and all of our employees, whose hard work developed one of the most exciting and important tours that this nation was to see. My heart is broken." Farrell also had to cancel his Madison Square Garden New Years Eve performance with Janes Addiction after ticket sales proved sluggish. Alex Hodges, Executive Vice President of HOB Concerts, commented, "In real terms, it's been a tough summer. Ticket sales have been mixed and often inexplicably soft. There are a number of contributing factors, and, as a result, many tours have been cut back, rerouted or cancelled." "We were such supporters of the vision that Perry had for this festival," says Madison House Publicity's Carrie Lombardi. "But the String Cheese show must go on. We will be booking a complete String Cheese summer tour." Though tour logistics had not been worked out at press time, Lombardi says, "certainly there are a lot of great artists looking for something to do now." Though this summers concert season has seen sluggish ticket sales, jam-branded gatherings such as Bonnaroo and Phishs Coventry Festival both reached capacity. Many hoped that Lollapalooza would age into a traveling version of these multi-day summits. Lollapalooza seemed to cement a blossoming relationship between Jam Nation and a legion of independent rock bands flourishing outside of the mainstream. In his Relix feature, rock critic Richard Gehr tracked this blending of genres. Writes Gehr, Festivals like Bonnaroo and the odd-coupling Jammy Awards showed there was a market for the many vital live acts flourishing outside the mainstream. At Lollapaloozas Colorado stop, Farrell had already announced that hed join String Cheese Incident for a series of Janes Addiction live staples. "We had enough of a connection with Perry that something will happen," Moseley says. "The band's been rehearsing some of the Jane's songs. I am sure that is an idea that will happen at some point." "Though obviously we've got some egg on our face--since we put the tour on our current cover--I also wonder if the organizers weren't a little premature in pulling the plug," says Relix editor-in-chief Aeve Baldwin. "Bonnaroo was able to sell 90,000 tickets on the strength of its eclectic lineup--clearly, people are hungry for this kind of music and anyone who saw the Jammys this year can attest to what a great show the Perry Farrell Incident is. On the other hand, she concludes, maybe now we know what the saturation point is."