Broadcasting Telecasting (Oct-Dec 1963)

BROADCASTING THE BUSINESSWEEKLY OF TELEVISION AND RADIO December 9. 1963, Vol. 65. No. 24 THE NEW LIFE IN OLD FILM ■ Newsreel footage gets reworked for series, documentaries ■ Owners find more profit in doing shows than in renting clips ■ Networks and stations eagerly accept new source of product The film-footage rental business, its base growing with each passing year of television's growth, has reached the point where it is creating a significant new business of its own — that of TV program production. This trend is particularly evident among those holding rights to the vast libraries of old newsfilm footage, who are finding there*s more money to be made by assembling their own clips into special documentaries than by leasing the same clips to others for the same purpose. Consequently the leasing or rental of footage is becoming more and more a sideline with many companies — although still an important sideline — while their new production ventures are adding more and more new programs to the syndication field and in some cases to the network schedules as well. Conservative estimates indicate that at least seven series and more than 40 specials will be turned out by these sources within the next 12 months. Attention was focused on the footage-leasing firms when material for spe cial TV features came into urgent and widespread demand immediately following President Kennedy's assassination. Self-Production Favored ■ The demand came primarily from networks and a relatively few stations and most of it was met. But at least two major library owners. 20th Century-Fox and Time Inc., had long since decided to use their newsfilm resources in selfproduction and lease nothing to outsiders. The thinking behind the trend was summarized in this way by an executive of a company with an extensive newsfilm library: '"We supplied about 60% of the footage for one series that grossed more than S3 million. Do you know what we were paid? About $30,000. Do you blame us for wanting to produce our own shows instead of giving them away for peanuts?" Two approaches are emerging in the "produce-for-yourself" gambit. The 20th Century-Fox Film Corp.. which owns the Fox Movietone newsreel li brary, has closed its footage to outside producers and is concentrating on its own TV film documentary projects. Producing organizations, such as David Wolper Productions and Sherman Grinberg Productions, are purchasing rights to newsreel libraries so that needed footage can be more readily accessible to them. When the upsurge in documentary programs in television — on both network and syndication levels — began about three years ago, newsreel companies shared in the windfall. Their payment was restricted to fees for the amount of footage actually used by the producer (see story below). The clients of the newsreel companies for footage are primarily the networks and independent producers who create documentaries for syndication. There is also a small market among agencies, which require modest footage from time to time for commercials, and stations which produce their own special programs. "'But except for major market stations." one supplier commented, "the $2.50 to $5 per-foot clips too expensive for most stations The price for newsreel or other stock footage can be fairly expensive and is the overriding reason that most TV stations cannot afford to buy such clips. One newsreel company made its price structure available, pointing out it is a basic list and can be modified. Based on a one-time use only. post-1931 newsreel film costs for one foot are: local TV, S2.50: network and syndication. S5.00: commercials. S5.00 and educational TV, S2.50. For pre-1932 segments, prices jump to S3 for local TV, S6.50 for network and syndication. S7.50 for commercials and S3 for educational TV. The prices for production shots (non-newsreel) are 30% to 50% higher per foot These costs do not include the laboratory costs for films, which can run from 10 cents to 20 cents per foot. A station, for example, will pay about S225 for a 35mm minute of film ( about 90 feet) and a network about S450. not counting laboratory charges. Most suppliers have a basic minimum fee of S75. If a client requires research services, the fee runs to S10 an hour. Several suppliers stated that for long-term clients, the fee structure can be revised downward. One company, for example, said it would charge S6 per foot for unlimited use of news clips it provided. Presumably, a station that utilized the library of a single supplier to produce a half-hour documentary could obtain a substantial reduction, but stock film executives noted that this was not likely to occur, since orders are overwhelmingly for short segments. Suppliers prefer to work with companies that can send representatives to their premises to inspect film through a view finder. Each company has hundreds of thousands of index cards to help it locate required footage. Out-of-town producers specify the type of film they need, giving as much detail as they can, and newsreel organizations attempt to locate the film through index cards. Clients are charged only for the footage used, although twice the amount required may be sent. Government agencies in the U. S. generally charge only lab and handling costs, but pricing arrangements vary with bureaus of foreign nations. BROADCASTING. December 9. 1963 27