I found this while checking the first petition we created. Someone name Len Green signed and added these comments :

I worked on the first one. The best film I've worked on. One reason the film didn't make it. Amblimation was shut down and employees transfered to LA to Start Dreamworks. Since Steven S started DW it became Universals release and Universal was also sold that year. BAsicly the film was lost in the shuffle. At least that's the way we all felt about it. Only animated film finished on time and under budget. Thanks to a great director Simon Wells.

I checked if this was true, and...yes, this Len Green REALLY worked on Balto :

http://www.linkedin.com/pub/2/a1a/6a9

He even worked on a LOT of animated films, and yet he says it's the best film he's worked on! Isn't that the most beautiful thing that we can expect?  :)

He says the film was "lost in the shuffle", which is pretty much what we all knew already. He mentions that Universal was sold, I didn't know about this though...I will have to check this. But it seems that Balto was REALLY unlucky when it was released, then...