I heard about this last week and someone described the whole announcement as being "another" part of the OLC's aggressive 5 year cost-cutting plan. This person would know what they're talking about, and it's not the first time I've heard mention of TDR making cuts.
The Tokyo product is still leagues above anything we're seeing in the states, but I am a little concerned that 10 years from now, we might look back at right now (or a year or two ago) and view that as the "glory years" of TDR much the same way we look back at early-1990s WDW now.
Eliminating Mythica (one of the most gorgeous pieces of Disney entertainment) without an immediate replacement is a bit puzzling if it's not being done to cut costs. On the other hand, it sounds like Mermaid is receiving a nice upgrade and the projection show will fill a serious gap in the nighttime entertainment lineup.
Due to cultural pride and the guest demographic, I can't see TDR ever truly slipping, but it is a bit concerning to me...