Variety (December 1954)

iVilnfxloyi December 29» 19i>4 PICTURES 7 FAN MAGS NOT STRIKING OUT Heavy Tax Load Motivates Germans; Seek Quick Mop-Up in Homeland; Gronich Also Sees Global Drive By FRED HIFT F.xtraordinary tax load being carried by the German producers is forcing them to focus attention on the domestic, rather than the export market, according to Fred Gronich. the Motion Picture Export Assn’s German rep. Gronich, who left N. Y. for Frankfurt over the past weekend, said in N. Y. last week that the technical and artistic standards of German production are high and still rising, and he expressed his conviction that the German indus- try was on the way to “turning out pictures that will be completely competitive in the international market.” Difficulty at the moment, he ex- plained. is that—with the tax load so great— the Germans are still pri- marily engaged in making films de- signed to pay off in the surefire domestic German market, with ex- port considerations secondary. This is changing rapidly, however, with the German industry becom- ing definitely conscious of the need to establish itself in the Conti- nental and overseas markets. Gronich. whose quickie U. S. trip was occasioned by the death of a brother, indicated he was aware of considerable German sen- timent for reestablishing the in- dustry abroad and of plans aiming towards that end. The govern- ment. he said, was aware of the in- dustry's need for an export mar- ket and it’s likely that in the year to come, the Germans will estab- lish themselves abroad, possibly in the manner of Italian Films Export which both publicizes and distrib- utes the Italo product. MeanwhHe, he reported, the Ger- (Continued on page 16) N.Y. CRITICS' CIRCLE PICKS BESTS OF 1954 Columbia’s “Pn the Waterfront” was named the best picture of 1954 by the New York Film Critics Cir- cle in their annual selection of motion picture honors. Choice was made on.the first ballot. Balloting yesterday (Tues.) of lb reviewers representing the metro- politan daily newspapers saw Mar- ion Brando cop the best actor award for “Waterfront'* and Grace Kelly the ,best actress accolade. Miss Kelly was named for her per- formances in three pictures—“Rear Window” (Par), “Dial M for Mur- der” (\VB> and “The Country Girl” (Par). “Waterfront,” produced by Sam Spiegel, was also responsible for winning Elia Kazan the nod as the year’s best director. “Gate of Hell,” the Japanese im- port being released by Ed Harrison, received the honor as best foreign picture of the year. The awards will be presented to the winners sometime in January at Sardi’s, N.Y. ^ Paramount Distributing Proxy A. W. Schwalberg insists that quality films aiona count and deprecates That Product Shortage * * * one ef tbe many byline pieces *" In tbe 49th Anniversary Number ef y^RIEfY OCT NEXT WEEK In IndanaDoodlings’ Grope for Axioms Governing Terms In a doodling mood, the Allied Theatre Owners of Indiana has jotted down “just for fun” some figures on sliding scales and how control figures on a theatre’s over- head might be established. While distributors may not be interested in a theatre’s overhead, the ATOI notes, “the fact remains that you must take your expenses into ac- count in order to know how much you can afford to pay in film rental. The “jottings” resulted in three different formulas. The first, based on profit equals film rental, is seen as applying particularly to the very small situa- tions. Citing, for example, an ex- hibitor who grossed $150 for Sun- day-Monday-Tuesday and paying $45 film rental, the ATOI says he cannot be satisfied with less than another $J5 for his profit. „ In this instance, the exhib org says he can pay 25% on a gross two times (Continued on page 16) PIG BIZ BOOM BUILDS READERS By IIY HOLLINGER Motion picture fan magazines, despite the ups and downs of the film business, have remained an in- tegral adjunct of the industry. The three major fan publications—Pho- toplay, Modern Screen, and Motion Picture—held on to their reader- ship even during the lull in film attendance. As one publisher ex- plained it: “Maybe our leaders didn’t go to the movies as often as before, but they still maintained their loyalty to the stars." George T. Delacorte Jr., publish- er of Dell’s Modern Screen, said that the fan books over the long pull “are tied up with the pros- perity and advertising of the mo- tion picture industry. If the down- ward trend of the film industry had continued, w'e would have suf- fered eventually." While the top, established film books held their own during the film biz’s recent “darkest hours,” some of the secondary and one- shot publications fell by the way- side or suspended operation tem- porarily. Some have now returned. The pattern of prosperity for the leading fan publications follows the trend of other national maga- zines rather than the vicissitudes of the film business itself. During the first six months of 1954 there was a general drop in magazine business of from 10% to 25%. The | Combination of CinemaScope, fan books, according to the leading and more interesting choice of sub- - _ . - - . - _ _ • A A A % J _ 1 —.1 1 _ December s Best Grossers Include Repeaters, 'Desiree/ 'Paris/ ‘Xmas’; ‘Phffft’ Gets Into Scoring Pack Me Pub-Ad Veep V Howard Dietz tongue-in-cheek Manner detail! hi* own fonnela for The Practical Side of Show Biz e bright editorial feature In tbe 49th Anniversary Number ef OUT NEXT WEEK Jones Explains Exhibs’ Renewed Zest for Shorts least de- O' publishers, showed the cline, sliding about 10% to 12 ;o Fan mags are not dependent on the film distributors for advertis- ing. Only 20% of their paid space comes from the motion picture companies. This applies particular- ly to the three leaders—Photoplay, Modern Screen, and Motion Pic- ture—which obtain 80% of their advertising from cosmetic and fash- ion firms, with the former the prime source. This points up the predominantly femme readership of the publications, the majority being in the teenage bracket. Although one or two of the film companies are maintaining their fan mag schedules intact, the in- dustry as a whole Is currently spending about one-third less in space, according to Dell’s Dela- corte. The cosmetic and fashion (Continued on page 14) ject matter, is beginning to re-es tablish shorts as an important part of the theatre program, according to Lem Jones, 20th-Fox short sub- jects sales manner. Returning to N. Y. last week fol- lowing a two week trip to the w'est and northwest, Jones said he had encountered considerable evidence that exhibs are once again attrib- uting a ticket-selling value to the onereelers. ‘‘They’re asking for one-sheets and other promotional material,” he said. “In some places I found shorts advertised, something theatres haven’t done for a long time.” One of Jones' missions on the jaunt was to convince exhibs to run a C’Scope short along with trailers of forthcoming C’Scope attractions. Theatre running a 2-D bill and inserting a trailer to call (Continued on page 17) The boxofflee winners in Decem- ber in many instances were the same big grossers which scored in November, according to reports from Variety correspondents in some 24 key cities. This was a natural development as many ex- hibitors held on to the b.o. champs of November in an effort to weath- er the usual pre-Xmas slump. Oth- erwise, theatres brought in reissues or juggled their product to get by with any available fare until the year-end holidays heralded the usual upbeat. “White Christmas” (Par), the initial Vista-Vision production, did a full repeat of its November per- formance to easily cop the Decem- ber boxoflice sweepstakes. The Bing Crosby-Danny Kaye musical registered more than $1,000,000 gross in the first four weeks of the month, something of phenomenal nature for such season of the year and in view of the fact that most of the coin came from extended run dates. “Christmas,” which will get not only extensive playdating for the Christmas-New Year’s holi- days in this country but also in the foreign market, already has indicated just how terrific this money will be. Pic has been get- ting three to five times as much as what pictures- normally gross in a good week in keys of 50,000 to 60,000 population. “Desiree” (20th), a C'Scoper with the hypo of Marlon Brando’s name, is taking second place. “Cin- erama” (Indie) is finishing third, although sloughing off in recent weeks pre-holidays. Film was fourth in the previous month. “Last Time I Saw Paris” (M-G) is managing to take fourth spot. “Carmen Jones” (20th) is captur- ing fifth position while “Drum (Continued on page 14) ECONOMICS, LOCAL RIVALRY ARE BLURS IN 1955 CRYSTAL BALL ON PIX ABROAD U phold Karp Handling Of ‘Pop* Sherman Stock Hollywood. Dec. 28. District Court of Appeals, by unanimous decision, has upheld sale of California Studios stock by •Jacob Karp, administrator of es- lale oi late Hafry “Pop” Sher- rnan. The 15-page ruling held cioss-Krasne Inc. obtained stock •lie in accordance with procedures s , el , fffrth in Probate Court Judge Newcomb Condee. i A l . nan ' s daughters Theodora . ' i 1 Uvvynne Sherman had ap- Uu, Judge a decision, contend- k other bids for property weren’t onin! deied ’ In upholding sale. " I" f p P roved Karp’s action and Cl*? tf J at he "feced a crisis mmed aieiy upon qualifying. He mann _ in hold straightforward tiouslv 1 ’ j.^Pfditiously, conscien- Tl ad he not done so, judge by who is now criticized for his orders m 1 , 8ht already ^■ninistrator.’ have installed new Rising foreign distribution costs, coupled wth a threat of more in- tense competition from native pic- tures and the possibility of eco- nomic deterioration in some areas, are among the prospects ahead for the industry, internationally, dur- ing 1955, Year’s end traditionally is the time to do some crystalball gazing. Company execs charged with sell- ing the American product abroad on the whole are optimistic in their outlook for the coming year. Pri- marily there’s the feeling that the overseas b.o. is’still capable of ex- pansion via new theatres and the kind of better and bigger films Hollywood is now turning out. Point is made that one of the great positive factors in 1955 will be the spread of CinemaScope in Europe and elsewhere. As it has done in the U. S., CinemaScope at its inception is apt to produce ex- traordinary grosses and, as it settles down, grosses that are well above the average. It is a pattern that augurs well for the foreign market next year, execs believe. But even as they contemplate a better year at the b.o. abroad, foreign sales toppers are con- scious of a host of major and minor problems In the months to come. The problem of the socalled non- controllable costs, i.e. taxes, wages, etc., is but one of the many. Amer- ican outfits have tried hard to keep I controllable expenses down and imost of them have succeeded. However, the curve of other costs is rising at a worriesome rate. Japan and Brazil Of the major world markets, the two specifically concerning indus- try execs are Japan, which is in economic straits and trying to cut down on both imports and re- mittances, and Brazil where there has been a steady devaluation of the currency, forcing the Ameri- can distribs .to earn a lot more local coin to keep remittances at an even keel. They had a taste of this in Chile this year and the prospects of devaluation taking place in other spots—such as the Philippines, for instance—is not a pleasing one. To make matters worse, both in South America and elsewhere, governments have kept the lid on admission prices. Where on the one hand authorities have fought against allowing films to be put into an “essential” category, on the other hand they have insisted On keeping admissions to a fixed level for precisely the reason that pix are the only popular entertain- ment available and should not be priced out of the reach of the aver- age man and his family. Aboaf’s Estimate As for the overall economic pic- ture, men like Aqierico Aboaf, Uni- versal’s foreign .sales manager, take the view that it is still very closely tied to the volume of for- eign aid the U. S. will grant to any one particular country. Since this aid is gradually diminishing, the American pic biz is certain to suffer the consequences as dif- ferent governments tighten up on their dollar supply. “But,” commented Aboaf in N. Y. last week, “we do have a very powerful counter-weapon and that Is better pictures. There is no question that, just like the Ameri- can market, the foreign market also has already responded to this improvement in quality. Today, the ‘little picture’ means less abroad than ever. But there is no question that the ‘big’ picture can earn more than ever before.” There is a feeling that not only will 1955 see the French, Italian, German and British industries as tougher competitors of the Ameri- can imports, but the U. S. distribs w'ill have to compete more among themselves. This, it’s held, will be particularly true in the light of the still limited European and other overseas CinemaScope outlets. Asked last week whether he felt that somewhere there was a limit to the expansion of the foreign market as presently constituted, one of the foreign toppers replied that, in his view, there did exist such a limit. “When we reach it,” he said, “we’ll just have to do what we are trying to do at home all the time—take business away from one another.” This is a process which, some claim, has al- ready started. ARTHUR W. KELLY, 64, DIES IN NICE, FRANCE Arthur W. Kelly, 64, who died in Nice on Sunday (26), held a unique position in motion picture affairs. At various periods as exec vice- president of United Artists, he held complete rein over the company’s foreign operations which were be- yond the supervision of the presi- dent. He w'as eastern representative for and long time associate of Charles Chaplin. Yet, although Chaplin continued as an important UA stockholder, Kelly was eased out when the company a few years ago was shaken by an extreme shortage of product and w'as under- going management changes. He was among many UAites released when Paul V. McNutt and Frank Mc- Namee took over the helm in a deal with Chaplin and Mary Pick- ford that proved shortlived. At this point Kelly opened a pri- vate office in the, UA homeoffice building to function as sales rep- resentative on pictures made by Chaplin for UA release. Early in 1954 he moved to Paris where he intended to engage in the field of television production and distribu- tion. Born in London, Kelly began his film career in the U. S. in 1911 in association with Frank J. Gould Enterprises. He served with the British Army during World War I and following this joined UA as treasurer. He held various other posts, including an association with Eagle Lion, until 1947, when he was named UA’s exec v.p. Andrew Stone’s Company Hollywood, Dec. 28. New Indie film company, Andrew L. Stone, Inc., filed incorporation papers calling for permission to is- sue 100 shares of stock. In addi- tion to the producer, the directors are Virginia Stone and Gordon W. Levoy. . , Company’s first picture, recently completed for Columbia release, is “Terror In the Night.”