Boxoffice (Jan-Mar 1962)

A. C. E. FILMS , INC., NOW READY TO ENTER PRODUCTION FIELD Sidney M. Markley to Take Over President's Office Starting March 12 NEW YORK — With Sidney M. Markley, veteran exhibition executive, at the helm, A.C.E. Films, Inc., is a reality and will move immediately into the field of production as the first film company in more than 40 years to be financed, owned and directed by exhibitors. Markley, vice-president and board member of American Broadcasting Paramount Theatres, was formally elected A.C.E. president at a meeting of the directors on February 16, although his selection and acceptance of the post had been an ill-kept secret for more than a month. He will take over his new duties on March 12, resigning his theatre affiliation in the meantime. An oddity of the project is that the five major circuits which made the initial investment in the enterprise cannot be represented on the A.C.E. board of directors because of consent decree restrictions. The members of the board are Harry Arthur, E. D. Martin, Milton V. Freeman, Adolph Goldberg, Sumner Redstone, John Stembler and Mitchell Wolfson. At the same meeting Adolph Goldberg of Detroit was elected treasurer of the new company and Milton Freeman of the Washington law firm of Arnold, Fortas & Porter was elected secretary. The list of investors was revealed for the first time following the meeting. They were Harry Arthur, St. Louis and Los Angeles; Myron A. Blank, Des Moines; George Dembow, Ned Depinet, Max A. Cohen, Charles Moss and Leslie R. Schwartz, New York; Cooper Foundation, Lincoln, Neb.; Carl Floyd, Haines City, Fla.; William Forman, Los Angeles; Adolph Goldberg, Detroit; George Kerasotes, Springfield, 111.; M. A. Lightman jr., Memphis; E. D. and Roy Martin, Columbus, Ga.; Sumner Redstone, Boston; Sheldon Smerling, Newark, N. J.; E. G. Stellings, Charlotte, N.C.; John H. Stembler, Atlanta; E. G. Thalheimer, Richmond, Va.; Theatre Owners of America; Fred G. Weiss, Savannah, Ga.; Sam Weiss, Stamford, Conn.; Mitchell Wolfson, Miami; Arthur Lockwood, Boston; R. N. Kennedy, Birmingham; Ted Solomon, McComb, Miss.; David Milgram, Philadelphia; Richard Smith, Boston; American Broadcasting-Paramount Theatres, Loew’s Theatres, RKO Theatres and Stanley Warner Corp. National Theatres & Television, which was an original investor, and then withdrew, is reported to be returning to the company. In making the official announcement of the company’s existence, S. H. Fabian, former chairman of the American Congress of Exhibitors and prime mover in the formation of a production company, said: “Mr. Markley’s election represents an outstanding achievement on the part of organized exhibition to stimulate the creation of an adequate feature supply and relieve the prolonged booking crisis. “I have participated in every effort in the last 20 years to organize an exhibitor controlled source of feature production as a protection for the theatres, but this is the only time since the birth of sound pictures that such widespread exhibitor support has been rallied to the formation of an exhibition production company. “We exhibitors look upon this unique event with the greatest satisfaction knowing that the organization of such a production company will have the solid cooperation of the entire theatre industry throughout the country. “This cooperative effort by exhibitors to offset the radical reduction of feature supply will help to restore an ample product market and create a firm base once more for a healthy, prosperous theatre industry. The success of A.C.E. Films will energize the whole production industry. And I will not be surprised if this initiative by exhibitors to help themselves sets off a chain reaction resulting in moi’e film from all production sources.” It is understood that the next step will be to open the books for more investors of smaller amounts than the original mandatory $25,000. The necessary registration with the Securities and Exchange Commission is now being completed and immediately after its submission and approval, all exhibitors will be eligible for investments. Mich. Allied Fights Legalizing Bingo DETROIT — As a result of action by Allied Theatres of Michigan, it appears that Michigan theatres will be spared the financial disadvantages of competition from legalized bingo. Following presentation of economic evidence to the effect that legalized bingo would be unfair competition to established businesses in a community, the committee on legislative powers at a constitutional convention, now in the process of rewriting the Michigan state constitution, has recommended that the present Article V, Section 33, which prohibits bingo and lotteries, be retained without change in the new constitution. These factors were presented by David Newman, general counsel of Allied Theatres of Michigan, before a subcommittee headed by Stanley M. Powell, delegate from Ionia, and were supported by moral arguments in opposition to bingo and lotteries presented by representatives of S. H. Fabian, former chairman of ACE, told Boxoffice that A.C.E. Films now was “in being” and that its progress would be a “step by step” progress. As to when the company would be in full operation, it would be difficult to predict, he said. It was expected that developments would be rapid after Markley was officially in office but no definite date for actual start of operations or launching of the first picture could be designated. Shortly after the announcement that Markley had been elected president of A.C.E. Films and that the company was on the way, scripts began to be submitted, five having been received the first day. One of the scripts represented a package with star, director and producer. Goldenson Pledges A.C.E. Support; Commends Markley for His Work NEW YORK — Leonard H. Goldenson, president of American Broadcasting-Paramount Theatres, pledged the support of AB-PT to A.C.E. Films, Inc., under the helm of Sidney M. Markley. Goldenson issued the following statement: “Although we are very reluctant to see Sidney Markley leave our company, we are very pleased with the excellent choice of the board of directors of A.C.E. Films, Inc., in electing him as president of its new film producing organization. “We have fully supported the creation of A.C.E. Films and will cooperate to make it a most successful company under the very able leadership of its new president, our friend and close associate. “Sidney Markley has contributed much to the progress and success of our theatre operations over the period of years he has been with us and we shall miss him.” church and civic groups. Counsel Newman had prepared an extensive brief containing a number of exhibits which Allied Theatres of Michigan sent to each of the constitutional convention delegates. In view of this action by the committee, it is doubtful that the convention will consider any further change in the constitutional prohibition against lotteries in the state of Michigan despite pressure by veterans’ and other organizations to legalize bingo. Ira Teller Quits 20th-Fox For Embassy Ad Dep't NEW YORK — Ira Teller has resigned from the advertising staff of 20th CenturyFox to join the advertising department of Embassy Pictures, according to Robert R. Weston, Embassy advertising head. Teller will edit the Embassy pressbooks and will coordinate special advertising projects beginning with Joseph E. Levine’s forthcoming “Boccaccio ’70,” “Boys’ Night Out” and “Madame Sans Gene.” He entered the industry in March 1951 with 20th-Fox. 4 BOXOFFICE :; February 26. 1962