I used a dbx unit (designed to edit out noise in playback situations, it did not actually remove the noise permanently) in the early 80's before CD's came along, and it worked quite well. After the arrival of CD's, I replaced most of my music collection with the new magical discs and sold the tape decks and dbx unit. Looking back, that was a BIG mistake!
As for the operating principles of the dbx unit, it was my understanding that the dbx unit would first expand the musical signal, then remove the unwanted frequencies, and finally, compress the remaining signal back to it's previous level. Some of the highs in the music would be lost, but not much, and most people could not tell the difference, except that the noise was gone. Only a good, experienced ear would notice the missing highs, and as I stated before, it was only a minor loss.