Showmen's Trade Review (Oct-Dec 1949)

SHOWMEN'S TRADE REVIEW, November 19, 1949 15 Furnish Proof, Asks Montague (Continued from Page 13) Convention, which had protested the "Jolson" sales policy and allegations that advanced admissions had been demanded. This week, the Pacific Coast Conference of Independent Theatre Owners took the same tack. (See separate story, p. 15). The TOA distributor-exhibitor relations committee, meeting Tuesday with its executive committee, devoted a whole day to the alleged sales policies of "Jolson Sings Again." Reportedly the exhibitor organization is not too alarmed over the alleged actions of Columbia but is worried lest high-bracket rentals spread to other top-bracket pictures. Unconfirmed reports indicated that the chiefs of the exhibitor organization had feared that Paramount had a similar idea with "Samson and Delilah" and hoped to force a showdown at once. Hear Gamble The all-day TOA sessions assumably moved to denounce the Columbia policy on "Jolson Sings Again" after it listened to an impassioned speech by Ted R. Gamble of Gamble Enterprises. The results of Tuesday's meeting were approved by the executive committee which met Wednesday and instructed Levy to pursue the conversations with Columbia. Indication that legal principles are involved was made plain when it became known that Levy will talk not with Columbia Sales Head Montague, but with Columbia Attorney Frohlich, who makes no bones about the fact that he does not think the protesting exhibitors have a legal leg to stand on. What Next? What TOA's eventual action will be is not known. One member declared that it definitely -did not include any direct action by the organization to invoke the assistance of the Justice Department, but it was noticed that the TOA statement on the subject practically shouted that Columbia was engaged in illegal practices and that it was assumed the Justice Department would see a copy of the statement. Further, TOA Executive Director Gael Sullivan at a press conference, refused to clarify what was meant by the committee's instruction to Levy "to seek other means" if his talks with Frohlich broke down and would not say whether TOA would submit any evidence it might get of admission-raising demands on the part of Columbia employes to the Justice Department. Against Rises "The committee took the further position," a formal release of the organization declared at conclusion of the meeting, "that over and above the legality of fixing minimum prices for admission, that, as a matter of general policy, looking to industry welfare, it should go on record as taking a definite stand against the advancing of admission prices for so-called mass appeal pictures. Admitting that there might be rare classic pictures, with special appeal, for which exhibitors might feel that so-called 'road show' treatment is indicated, the feeling is that the presentation of pictures other than such special productions should be presented at normal admission prices and that the advancing of admissions on mass appeal pictures should be discouraged as j a matter of policy. "The reasons assigned for this position were a re-statement of TOA's position on this subject, Private — Keep Off Protocol runs mighty high in diplomatic circles but if you can believe the latest Broadway story, it also is pretty important in motion picture business. The story says that a certain Hollywood studio chief not only has a special place to hang his hat when he visits the home office, but he also has a commodious and strictly personal privy which is kept locked at all times when he is not in New York. During his absences, however, other company officials, apparently on the theory that association produces greatness, pick up the key and make use of the off-limits privy. As would happen, the chief arrived unexpectedly from the coast one recent day to find his personal privy occupied. Pounding on the door, he imperiously disnossessed the subordinate and promptly took over himself. namely, that the advancing of admissions on normal good pictures is bad public relations, in that it imposes an additional cost on the theatregoing public that in many instances patrons could not afford to pay. Theatre goers who have been patient with usual product and re-issues should be given, as a natural right, the betterthan-good pictures. Also when the public is deprived of the privilege of seeing good pictures because of advanced admission prices it is poor public relations for the industry." Get the Goods, Harvey Advises Board Chairman H. V. (Rotus) Harvey this week called upon all members of the Pacific Coast Conference of Independent Theatre Owners to gather evidence on what they might consider allegedly illegal demands on the part of Columbia over sales of "Jolson Sings Again." The move presumably is directed against reports for demands for increased admissions, a report whose accuracy Columbia General Sales Manager A. Montague had previously challenged when Allied protested over the the same charge. Harvey further declared that he granted Columbia's right to ask what it wanted for a picture, but that if it were asking 60 per cent of the gross, as reported, the exhibitor should refuse. Big 3 May Ask S Years^ Time (Continued from Page 13) the U. S. Supreme Court has upheld. The Government has already filed a proposed decree. The Little 3 — LInited Artists, Universal and Columbia — this week filed their version of a proposed decree. They seek a separate decree which in all respects carries out the trade provisions made mandatory by the U. S. Supreme Court (no addmission fixing, separate picture selling, etc.) but seeking to avoid the rulings which apply to the theatre-holding Big 3. The practical effect of this separate decree, if granted, would be to allow the Little 3 to acquire theatres in the future without court consent and to point out in anti-trust suits filed against them by exhibitors, that the practices condemned by the statutory court and the high court against the theatre holding defendants did not apply to them. It would not enable them to escape the findings of fact in the suit as handed down by the lower court and the Supreme Court. The Little 3 proposed decree also includes provisions for voluntary arbitration. Skouras Seeks To Oust RKO (Continued from Page 13 j KKO blackjacked its interest in the Pelham, Castle Hill and Midway from Skouras by threatening other distributors with the loss of RKO circuit business if they sold the Skouras houses and thus shutting them out of product. As a result, the petition continues, Skouras had to take RKO in as a partner. Skouras was compelled to take an interest in the Proctor, the petition further states, as .a result of another product shut-off which forced the Skouras interests to give up the Terminal Theatre in Newark and join RKO as a partner in the Proctor. As a result of these alleged acts, the petition claims, the plaintiffs were damaged to the extent of $3,000,000, which when tripled under the provisions of the anti-trust laws, amounts to $9,000,000. Attacks Consent Decree The petition also attacks that clause in the RKO consent decree, which would give RKO the right to buy out MetropolitanSkouras, if it wishes, on the assertion that the clause was won by deceiving the Justice Department and that if such acquisition is permitted, it would increase monopoly and defeats the prime purpose of the consent decree. The suit specifically asks that RKO be enjoined: 1) From disposing of its interests in the contested house to anyone else but the plaintiffs, or from taking steps to dissolve the corporations controlling the houses ; 2) That the court declare the RKO holdings in the four theatres to be the property of the plaintiffs; 3) That RKO be directed to transfer its interests to the plaintiffs subject to "such reimbursement . . . in such amounts as may be determined by the court against damages inflicted upon the plaintiffs." Army to Pay MPEA $1,600,000 for Japan The Army has contracted with the Motion Picture Export Association to pay $1,600,000 in remittances for frozen film rental .earnings in Japan, it was revealed in Washington this week. The agreement covers out-of-pocket expenses and a portion of production costs. Army occupation authorities will continue to select the films to be shown in the occupied area.