Broadcasting (Jan - Mar 1950)

Closed Circuit commi WHILE IT'S PREMATURE to speculate on prospective new general manager of NAB, names are being bandied about. Foremost is William B. Ryan, vice president and general manager of KFI Los Angeles, elected only last week to new term on NAB Board (story, page 26). Committee to advise President Miller was to meet last week-end in Chicago at call of Chairman Clair R. McCollough, WGAL Lancaster, Pa. REPORTS WHISPERED last week that FCC finally had broken 3-3 tie on Drew Pearson-Bob Allen application for facilities of Hearst-owned WBAL Baltimore [Closed Circuit, Jan. 30] were denied by Commissioner reported to have switched vote in favor of Pearson-Allen. Lineup was. Coy, Walker and Webster for Pearson-Allen versus Hyde, Sterling and Hennock for WBAL renewal. Comr. Jones, whose appointment to FCC was unsuccessfully attacked by Mr. Pearson, abstained from voting. Fact that FCC has renewed WBAL-TV license believed to augur in favor of renewal of AM too. ON RETURN from month's Arizona vacation, expected C. E. Hooper will announce reorganization of his firm with Fred H. Kenkel, present executive vice president and treasurer, and W. Ward Dorrell, vice president, participating in ownership. WTAR-TV, which gets under way April 2 in Norfolk, Va., has primary affiliation with its regular NBC network but last week arranged for secondary affiliation with CBS-TV. Transaction was worked out by Campbell Arnoux, president and general manager, with William D. Schudt, CBS director of station relations. ANOTHER BASEBALL network sprouting in Washington, D. C, over weekend with WWDC there feeding its Senators games for Chesterfields to some 13 cities in Maryland, Virginia and West Virginia, according to tentative telephone plans. Final details this week, with possibility of expansion to other southern states. Chesterfields would be partial sponsor in cities outside Capital with remaining time open on co-op basis. Cigarette agency is Cunningham & Walsh, New York. PHARMACAL Inc. (Feen-A-Mint) preparing saturation spot announcement campaign in 15 markets beginning March 6 and March 13. Contracts for 13 weeks placed by Duane Jones Co., New York. DISCLOSURE OF FCC letter to House Radio Subcommittee Chairman Sadowski (see page 2.5, editorial page 36) which would torpedo McFarland Bill and allegedly evade administrative Procedure Act, expected to result in resolution to investigate FCC and directed at influence of its lawyers upon FCC actions. ZENITH'S industrirl film on Phonevision, Eugene F. McDonald Jr.'s project for dollar-in (Confinned ov page 90) March 6-8: Second National TV Conference, Chicago Television Council, Palmer House, Chicago. March 6-9: Institute of Radio Engineers national convention. Hotel Commodors, New York. March 10-11: Alabama Broadcasters Assn., Russell Erskin Hotel, Huntsville, Ala. March 12-14: Oklahoma Radio Conference, U. of Oklahoma, Norman. (Other Upcomings on page 41) Bulletins SEARS, ROEBUCK & Co., Chicago, for its American People's Encyclopaedia, 20-volume set published by education division, auditioning one-minute dramatic spots submitted by Ruthrauff' & Ryan, same city, and considering national spot radio for first time. FRIGIDAIRE Division of General Motors Corp., Dayton, to sponsor Easter variety show with Bob Hope as m.c. on NBC-TV April 9, 5:30-7 p.m. Budget estimated at $60,000 with 45 stations to be used, 18 by kinescope. New York is origination point. Agency, Foote, Cone & Belding, Chicago. RCA board of directors Friday declared dividend of 871/2 cents per share of $3.50 cumulative first preferred stock for first quarter of 1950, payable April 1 to stockholders of record at close of business March 13. BROADCASTmG SNTERSTATE, N, M. SUPREME COURT HOLDS WHAT MAY be complete radio victory in New Mexico radio occupation tax case appears to have been won in companion opinions by state Supreme Court. In one case (5237) state's appellate court affirmed lower court decision that all KOB Albuquerque broadcasting is interstate commerce and thereby not taxable (see Virginia tax story, page 28). In second case (5236) court, on rehearing, ordered to re-examine state taxes paid by stations, separating network and national spot from purely local revenue, and enter judgment whereby broadcasters are refunded sums paid on interstate broadcasts but not taxes paid on local advertising during period of litigation. Case carried to court by KOB. Sums involved are nominal and cover four-month period. Word of court's action transmitted by Don Petty, NAB general counsel, who participated in New Mexico proceedings. Cases originally lost when state court upheld tax and remanded to lower court to make allocations. Lower court then found its first concept of local broadcasting was "in error" and ruled all broadcasting in interstate commerce. After attorney general appealed, court held constitutional question not raised in case (5236) where taxes were levied but was raised in first case (5237). Attorney general has not indicated if decisions would be appealed. Supreme Court decisions were unanimous. KOB convinced court all its programs are heard interstate. Business Briefl KRAFT EXPANSION • Kraft Foods, C cago (cheese products), expanding Kraft ] Theatre on NBC to Memphis, Norfolk, Sy cuse, Johnstown and Binghamton between r and mid-summer and in October to 10 ot' cities. Now live on 26 NBC stations. Ki; to drop Marriage for Two on NBC, Mon-F 9:30-9:45 a.m. (CST), effective March Agency, J. Walter Thompson Co., Chicago. DURKEE CAMPAIGN • Meldurm & F smith Agency, Cleveland, lining up TV scheci for Durkee's margarine. Boston and > Haven may beused for TV spots. CALKINS & HOLDEN MERGES WITH NEW FIRM CALKINS & HOLDEN, 48-year-old agen and recently formed Carlock, McClinton Smith firm [Broadcasting, Jan. 23] will me as Calkins, Holden, Carlock, McClinton Smith Inc. Agency's billing will be appr mately $8,900,000. Merger negotiated by C. Z. (Jess) Bai, partner of Calkins & Holden since Jan. 1, 1: and vice president in charge of sales for Si before that. Partners beside Mr. Barnes are M. E. C lock, vice president and secretary of CM&S i before that vice president of Benton & Bowl James A. Clark, member of art department C&H since 1912 and president from 1931 1937; Ray P. Clayberger, secretary and tre urer of C&H since 1904; Harold L. McClinf president of CM&S and previously vice pr^ dent in charge of radio and television N. W. Ayer since 1929; J. Sherwood Sm partner and president of C&H since 1937, Paul Smith, vice president and chairman plans board of CM&S and previously head his own agency. New agency will service Prudential Life surance Co. account with approximately 800,000 advertising budget. Prudential J merly sponsored Family of Stars on CBS is currently sponsoring Jack Berch Show NBC. CBS ADVISORY ELECTIONS CBS Affiliates Advisory Board has re-elec three members to serve additional terms two years each. They are: I. R. Lounsbi WGR Buffalo, chairman; Glenn Marshall WMBR Jacksonville, Fla., and Richard Bo WBNS Columbus, Ohio. At same time CI Rembert, KRLD Dallas, was elected to succ Kenyon Brown, KWFT Wichita Falls, 1 Announcement was made last week by Will" A. Schudt Jr., CBS director of station r tions. JACK NORTH NAMED V. P. JOHN H. (Jack) NORTH, radio and sj buyer at Aubrey, Moore & Wallace, Chic; was named vice president in charge of m* at agency luncheon marking his 25 years service last week. Page 4 March 6, 1950 BROADCASTING Telecast!