Broadcasting Telecasting (Jan-Mar 1956)

at deadline Threat of Anti-Aid Passage Spurs NARTB, Brewers Action GRAVE DANGER that House will enact bill (HR 4627) to ban all beer advertising on radiotv seen at weekend as NARTB and U. S. Brewers Foundation alerted memberships to Congressional situation. Legislators are said to be receiving tens-of-thousands of messages ascribed to professional dry agitators, with general public unaware of situation. NARTB President Harold E. Fellows called on broadcasters Friday to voice their opposition to senators and representatives. He said bill may be amended to ban only radio-tv beer advertising, dropping newspapers and other media from language. Brewers' group told by Clinton M. Hester, Brewers' Washington counsel, he believes bill will be enacted if brought to floor of House. He urged brewers to contact legislators. He said brewers had used commercial radio-tv time in North Dakota and Washington to acquaint public with similar legislation, leading to its defeat, and urged them to be prepared to contact public on national basis via radiotv if go-ahead is given. Los Angeles Agencies Merge MERGER of Jordan Co., Los Angeles agency, with Hixon & Jorgensen Inc., Los Angeles, effective April 1, announced Friday by principals Paul Jordan and Kai Jorgensen. Company billings exceed $500,000 annually. SALES AND PROFITS of CBS Inc. reached all-time highs in 1955 with net revenues and sales aggregating $316,572,766 for grain of 12.9% over 1954 high mark and consolidated net income (after taxes) amounting to $13,397,427 for 17.4% rise over preceding year, Chairman William S. Paley and President Frank Stanton disclose in annual report being released today (Mon.) They said CBS-TV's gross time sales rose 29%, maintaining position as "the largest advertising medium in the world," and that CBS Radio "continued to lead its competitors in gross volume of sales" and gave indications that "the downward trend in radio revenues, due to the incursions of television, may now, for CBS Radio, be halted" (example: earnings in last quarter of 1955 exceeded same quarter 1954). Gross billings of CBS Television Film Sales, part of CBS-TV division, were 85% higher than in 1954. Columbia Records enjoyed best sales volume in its history. Of other CBS Inc. divisions they said: "Despite an increased volume of business, CBS-Hytron (tubes) failed to be profitable in 1955, due to high developmental costs in color as well as to heavy price competition in picture tubes. CBS-Columbia (receivers) was faced with product difficulties early in the year and also failed to operate profitably. It is hoped that important changes in procedure made during 1955 will bear fruit in 1956 . . . CBS Labs continued to expand its activities . . . CBS International, set up to market CBS and allied products in foreign countries, successfully completed its first full year of operation." Broadcasting • Telecasting BEAUTY ON AD ROW "ADVERTISING'S Miss 1956" is Ann Fiorillo, assistant timebuyer, MacManus, John & Adams Inc., New York, says Assn. of Advertising Men & Women, contest sponsor. Miss Fiorillo is 21, brunette and from Bronx. Miss Fiorillo will officiate as reigning queen of association's Inside Advertising Week, April 1-6. Runnersup: Janey Allen, media department, The Shaller-Rubin Co., New York, and Barbara Eichbauer, assistant to media buyer, Atherton & Currier Inc., New York. Fms Oppose By-Laws Change, Ask Extension on Multiplexing NARTB Fm Radio Committee voted unanimously Friday to petition association's board to hold referendum on recent by-laws change that will remove eight at-large directorships from board next year. By-law was voted by membership recently in surprisingly close contest. Five percent of membership must sign petition to require membership vote. Committee decided to ask FCC to extend for one year effective date (July 2) of order requiring stations engaging in simplex operations to change to multiplex equipment. Group unanimously decided not enough satisfactory equipment will be available by deadline. In summary of 1955 highlights, they also reported "disappoinment" in public slowness to accept color tv despite expanded color programming, conceded set prices might still be deterrent, said "CBS will continue its work in 1956, and watch the market carefully, keeping itself at full alert to take advantage of any upsurge in consumer demand as rapidly as it becomes manifest." On subscription tv: " . . . CBS could doubtless prosper even if pay television were successful, but it opposes pay television as contrary to the public interest." On Washington climate: "Increasingly in 1955 broadcasting has been the object of attention from legislative and administrative bodies ... it Avas often difficult to discern what future legislative or administrative intentions might be, and thus what effect they might have upon the business of broadcasting. On 1956 outlook: "This cloudy climate in Washington must be taken into account in assessing the outlook for CBS in 1956. Formal legislation or administrative law could, if given thoughtless direction, hamper the service broadcasting today renders the American public. Offset against this possibility is the great natural strength and vigor of CBS in the present. Television broadcasting is also a 'new' business, still; so new that growth factors for a leading company in broadcasting still operate very strongly. Considering all factors, and given general conditions of stability, we believe ourselves justified in reaffirming, for 1956, the conservative optimism for the success of CBS operations that we expressed a year ago." • BUSINESS BRIEFLY FLIT GUNNING • Esso Standard Oil Co., New Jersey, launching flexible summer radio spot campaign for Flit insecticide middle of next month to run through September, starting in "early summer" in areas of Louisiana, and other southern states second week of April, and "late summer" areas, viz., New England, in June. Campaign, which will cover 18 states, will be supplemented by tv announcements on firm's Esso Reporter news programs. Agency: McCann-Erickson, N. Y. GE ON ABC-TV • General Electric, through Young & Rubicam, N. Y., expected to sign shortly for sponsorship of half-hour Tuesday, 9-9:30 p.m. period on ABC-TV. Type of program not determined, it's understood. General Electric also sponsors ABC-TV's Warner Bros. Presents and will continue next season. RED GOOSE LOOKING • Red Goose International Shoe Co., St. Louis, through D'Arcy Adv., St. Louis, understood interested in sponsoring three "kiddie spectaculars" for next fall. TIME FOR TWINE • Coincident with beginning of season when hay is bundled, Plymouth Cordage Co. (twine) is launching 10week spot radio campaign in 25 midwestern markets, starting in Texas and reaching northward. Agency: Fuller & Smith & Ross, N. Y. ROOT BEER CAMPAIGN • Charles E. Hires Co. (root beer), Philadelphia, set to begin 26week spot radio campaign in mid-April in 13 metropolitan markets, including New York, Los Angeles, San Francisco and Washington. Agency: N. W. Ayer & Son, N. Y. DATES ON RADIO • Dromedary Div. of National Biscuit Co. (Dromedary dates), N. Y., starting radio spot announcement campaign end of March for four weeks on 12 stations in five markets. Lennen & Newell, N. Y., is agency. PRODIGAL RETURNS • Electric Auto-Lite Co. (batteries and sparkplugs), Toledo, Ohio, returning to tv sponsorship for first time in two years (after dropping Suspense on CBS Radio and CBS-TV in 1954) with sponsorship of syndicated 30-minute film programs in New York, Philadelphia, Chicago, Minneapolis and St. Paul, starting early next month. Agency for Auto-Lite is Grant Adv., Chicago and New York. TV FOR CEREALS • National Biscuit Co. launching six-week introductory tv participation campaign in 13 markets in New England and upstate New York for Shredded Wheat Juniors (children's cereal), April 16, using 16 stations. Firm also is buying nine-week tv spot campaign for Nabisco Wheat Honeys and Rice Honeys in 20 markets located in Ohio, Michigan and Indiana, placed on approximately 20 stations. Both campaigns will utilize children's programs. Agency for Nabisco is Kenyon & Eckhardt, N. Y. RISE PLANNING • Lever Bros. (Rise shaving cream), N. Y., reportedly preparing spot television campaign to break shortly. Agency: Sullivan, Stauffer, Colwell & Bayles, N. Y. March 26, 1956 • Page 7 CBS HITS ALL-TIME SALES, EARNINGS HIGH