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ducers pay an amount equal to 5% of the total actors' salaries (limited to $100,000 for any actor in any picture) into a SAG pension, health and welfare fund. This, the producers have reportedly accepted.
Second was the SAG demand for payments for the right to use post'48 theatrical films on television. This, the producers at first refused even to discuss, asserting that they had paid the actors in full for their work on these theatrical films and to pay them again when the pictures are shown on tv would be to pay twice for the same work. The solution to this dilemma was a plan whereby the producers would make a fixed payment into a pension fund to place the actors in a position comparable to the other guilds and unions which have been in the existing Motion Picture Industry Pension Plan since October 1953," to quote a joint SAG-AMPP statement.
Acceptable Plan • This plan was acceptable to both sides, but SAG figured that the amount of the lump sum payment should be $3.6 million, which the Guild calculated the actors would have received had they been part of the industry pension fund since its inception. The producers offered a lump payment of $1.5 million. The $2.1 million remained to be worked out in the negotia
Meet DAREN F. McGAVREN Co.
NEW YORK • CHICAGO • DETROIT SAN FRANCISCO • LOS ANGELES • SEATTLE
FOR FACTS ABOUT NATIONAL SALES
. . . ask the man who knows!
at the
EXECUTIVE HOUSE
DAREN F. McGAVREN, President RALPH GUILD, Executive V.P.
N.A.B. CONVENTION April 3rd thru 7th
Here are the next 10 days of network color shows (all times are EST).
NBC-TV
March 28-31, April 1, 4-6, (6:30-7 a.m.) Continental Classroom.
March 28-31, April, 4-6, (11-11:30 a.m.) Price Is Right, participating sponsors.
March 28-31, April 1, 4-6, (12:30-1 p.m.) It Could Be You, participating sponsors.
March 28 (10-11 p.m.) The Steve Allen Plymouth Show, Plymouth through N.W. Ayer.
March 29-April 5 (8:30-9:30) Ford Startime, Ford through J. Walter Thompson.
March 29-April 5 (9:30-10 p.m.) Arthur Murray Party, P. Lorillard through Lennen & Newell and Sterling Drug through Norman, Craig & Kummel.
March 30-April 6 (8:30-9 p.m.) Price Is Right, Lever through Ogilvy Benson & Mather and Speidel through Norman, Craig & Kummel.
March 30-April 6 (9-10 p.m.) Perry Como's Kraft Music Hall, Kraft through J. Walter Thompson.
April 1 (8:30-9:30 p.m.) The Bell Telephone Hour, AT&T through N.W. Ayer.
April 1 (9:30-10 p.m.) Masquerade Party, Hazel Bishop through Raymond Spector and Block Drugs through Grey Adv.
April 2 (10-10:30 a.m.) Howdy Doody Show, Continental Baking, Nabisco through Ted Bates.
April 2 (10:30-11 a.m.) Ruff and Reddy Show, Borden through Benton & Bowles.
April 2 (7:30-8:30 p.m.) Bonanza, RCA through Kenyon & Eckhardt.
April 3 (1:30-2 p.m.) Frontiers of Faith.
April 3 (9-10 p.m.) Dinah Shore Chevy Show, Chevrolet through Campbell-Ewald.
tions beginning last Thursday.
Third major impasse was the SAG demand for payments to actors of a share in the proceeds from the sale to television of theatrical films made after the signing of the new SAG-AMPP contract. AMPP, in a statement issued last Wednesday before the resumption of negotiations, called this "a demand which could have dire consequences on the future of our industry." Pointing out that SAG "seeks additional payment on all post-'60 theatrical pictures, even those which may not recoup their cost . . . we find it difficult to accept the principle of additional payments on loss product."
SAG, elated over the fact that the producers, who had formerly refused to accept the principle of any sharing of tv revenue for theatrical pictures with the actors, were now objecting only to these additional payments "on loss product," pointed out that the percentage being asked takes into consideration the fact that Universal-International agreed to pay SAG 7% on the tv revenue of post-'60 theatrical pictures (Broadcasting, March 21). This sum, it was noted by John L. Dales, SAG national executive secretary, is a substantial reduction for the original SAG demand of 17.5% which was made
"for the specific purpose of compensating for pictures which did not make a profit in theatres." It was also pointed out that an agreement on a flat percentage for all pictures would eliminate the need for SAG inspection of company books and also prevent endless wrangling over accounting procedures.
A little elementary arithmetic reveals that if, on the average, post-'60 pictures get $100,000 for tv rights, the actors' share would be $4,200 (7% of the gross less 40% allowed for distribution expenses), which SAG claims is not very much to ask from the $100,000 gross.
WGA, which has been on strike against AMPP and also against the Alliance of Television Film Producers since Jan. 1 6, and which called out freelance writers of material for network filmed programs to the strike list March 18, last week prepared to expand the scope of its strike range if necessary. Members of WGA's radio and tv branch were summoned to special membership meetings to be held in New York and Los Angeles on March 31 for the purpose of voting authorization to the Guild councils to call strikes against the networks for live tv, radio continuity and news writing and against some 50 producers of tv films not affiliated with either the major movie companies or ATFP.
WGA has been negotiating with networks in New York over a new contract for the news and continuity writers, whose present pact expires March 31.
Harry Ackerman, executive producer of Screen Gems, Los Angeles, predicted in Seattle last Wednesday that there will be more live than taped television network shows next fall because the strike of tv writers is rapidly depleting the supply of scripts and production is grinding to a stop.
Payola scare prompts ASCAP to cut royalties
The faint aroma of payola caused the American Society of Composers, Authors and Publishers last week to change the formula for payment of royalties for music performances on network shows. ASCAP announced it had reduced to 25% of maximum the credits for background and theme music used on network programs which run more than once a week.
The move was made, ASCAP explained, because it had learned that background and theme music on multiple shows was receiving far greater than normal use. "This suggested that such disproportionate use was the result of factors other than the needs of the programs or the merit of the musical works," ASCAP stated.
The Justice Dept. concurred.
130 (PROGRAMMING)
BROADCASTING, March 28, 1960