Boxoffice (Apr-Jun 1939)

COLUMBIA SHOOTS TOP BRACKET FILMS FROM 4 TO 6 WITH PERCENTAGE RANGE OF 25 TO 40 Gov't Bending Effort to Link Columbia With Monopoly New York — Although Columbia does n6t operate any theatres and despite the fact attorneys for the company are acting independently of the other major defendants in the all-industry suit, the scathing sword of the government has not missed one allegation in attempting to link Columbia with the others in “an attempt to monopolize” and being a party to a combination to conspire and monopolize. Tire government, however, admits it does not know whether such alleged agreements or understandings were oral or in writing, but states the “attempt to monopolize” started in 1930 and continues to the present. Coercive selling by threats to build is among the allegations, the same charge as has been made against other majors. Specific citation of the facts is missing in the bill which states: “In order to compel independent exhibitors to pay higher film rentals for its product, or to purchase its films in situations where independent exhibitors do not purchase such films or to purchase a greater number of its films in situations where independent exhibitors already purchase some of its films, each defendant engages in one or more of the following coercive selling methods: Threatening to build a competing theatre: threatening to deprive an independent exhibitor of product; purchasing a theatre site or sites in the neighborhood of the independent exhibitor, either directly or through third parties, that the defendant in question intends to build and operate a theatre or theatres on such sites in opposition to the independent exhibitor; threatening to purchase an equity or interest in the independent theatre for the purpose of gaining control through reorganization or otherwise; or threatening to impose upon the independent exhibitor unreasonable clearance.” Other Charges Other allegations, similar to those charged against the other seven major distributors, include overbuying, onerous clearance and zoning, arbitrary designation of preferred playdates, placing of talent under contract to thwart independent producers, inposing harsh, onerous and unfair trade practices on independent exhibitors and not on affiliated circuits, arbitrary and unconscionable and discriminatory film rentals, prohibiting double featuring in independent houses while contracts with major circuits provide reduced rentals on the second feature of a twin bill and granting special favors to circuits and not to independent theatres. In the case of Columbia, much ado is made of the double feature clauses in its contracts with National Theatres, Loew’s and Warners. Eighteen instances are cited where independent exhibitors in Texas signed license agreements precluding double billing and further insisting on a 25cent minimum admission. Excerpts irom National Theatres’ contracts in relation to terms for pictures twin billed are mentioned, as follows: “Certain of the contracts for the exhibition of Columbia pictures in theatres owned, operated, managed or controlled by National, or its subsidiary or affiliated corporations, during the 1934-35 season, provide certain Columbia pictures which were to be exhibited at 20 per cent and 25 per cent of the gross receipts would be exhibited at a reduction of five per cent in conjunction with another feature. “Certain of the contracts of Columbia pictures in theatres owned, operated, managed or controlled by National, or its subsidiary or afiiliated corporations, during the 1936-37 season provided that in the case certain Columbia pictures which were to be exhibited at 25 per cent and 30 per cent of the gross receipts, the cost of the second feature could be deducted provided that said cost did not exceed the top price, flat rental terms; said contracts iurther provided that certain Columbia pictures which were to be exhibited at 20 per cent of the gross receipts would be exhibited at 15 per cent if shown in conjunction with another feature.” Contracts with Loew’s for 1934-35 and 193536 also are brought out. “Columbia pictures exhibited on double bills in Loew’s theatres in Greater New York territory during the 1934-35 and 1935-36 season were exhibited at 11 *4 per cent. Said pictures exhibited as single features, were exhibited at 15 per cent. “Certain of the contracts for the exhibition of Columbia pictures in theatres outside of Greater New York territory, owned, operated, managed or controlled by Loew’s, or its subsidiary or affiliated corporations, during the 1934-35, 1935-36 and 193637 seasons, provided that certain Columbia pictures would be exhibited at a reduction of five per cent if shown in conjunction with another feature.” Warner theatres in New England, Philadelphia and California are then discussed. “During the 1934-35 and 1935-36 seasons, Columbia pictures, except those served out of the Boston and New Haven exchanges, which were exhibited at 25 per cent of the gross receipts at theatres owned, operated, managed or controlled by Warners, or its subsidiary or affiliated corporations, were exhibited at a reduction (Continued on page 16) One Capra and Johnson Not Included Will Be Solo Pacted New York — Columbia’s sales policy for 1939-40 shows an increase of two pictures in the “A” group to be sold in the top bracket, as compared with the current season. In other words, there will be six "AA” films sold on percentages ranging from 25 to 40 per cent. This present season, only four pictures were in that category. The “AA” group does not include “Mr. Smith Goes to Washington,” the Prank Capra production which is being offered at 40 per cent on a special contract. “You Can’t Take It With You” was the Capra special this season, also at 40 per cent. The untitled Osa Johnson film to be released likewise will be sold separately. The second group is unchanged from the current season. The pictures are graded as “A’s,” of which there will be eight, at from 30 to 35 per cent. The third group will comprise 12 “BB” and the fourth listing of a round dozen films will be known as “B’s.” The fifth and last group will be the 16 westerns. There also will be four serials and 130 shorts sold separately. With the return of A. Montague, general sales manager, and Rube Jackter, his assistant, from Chicago and the coast where they conducted the final two regional sessions, it is learned the company’s policy of flexibility will prevail as heretofore and that terms and conditions outlined for major circuits cannot very well obtain for independents all along the line. Who Will Make What lor Columbia in 1939-40 New York — Star, featured and cast desiguations insofar as a breakdown of Columbia’s product lineup for 1939-40 reveals them, follow. Astrid Allwyn — “Mr. Smith Goes to Washington.” Edward Arnold — “Mr. Smith Goes to Washington.” Jean Arthur — Star in “Arizona;” Costar with James Stewart in “Mr. Smith Goes to Washington.” Joan Blondell — Co-star with Melvyn Douglas in one unnamed. Beulah Bondi — “Mr. Smith Goes to Washington.” Joe E. Brown — Star in “Give Me Liberty,” also in one unnamed. Ruth Donnelly — “Mr. Smith Goes to Washington.” Melvyn Douglas — Co-star with Joan Blondell in one unnamed. Bill Elliott — Star in six untitled westerns. Edith Fellows — Star in three untitled (Continued on page 13) 6 BOXOFFICE :: June 3, 1939