The Exhibitor (May-Oct 1945)

THE EXHIBITOR 7 RANK, SELZNKK ANNOUNCE PRODUCING DEAL New York — Announcement was made jointly last week by J. Arthur Rank in London and David O. Selznick in Hollywood that arrangements had been completed for their association in a new English producing company, Selznick International Pictures, Ltd., of England. Negotiations, which were pending for a long time and developed during Rank’s recent visit to Hollywood, were concluded by cable. The creation of the new company will in no way affect Selznick’s production activi¬ ties or interests in the United States, in¬ cluding Vanguard Films, the Selznick studio, and Selznick’s interest in United Artists, and these will continue to function as completely separate entities. Rank will be named chairman of the board of the new company, with Selznick in complete charge of production activities. Present plans contemplate the production in England of three pictures during the first year, with the first picture to go before the cameras next year. Selznick will go abroad to produce the first picture, “Mary Magdalene,” which will be filmed in the United Kingdom and in the Holy Land under Selznick’s personal supervision. He will designate other pro¬ ducers for the succeeding films, “Mary Magdalene” will be filmed in Technicolor on a budget of more than five millions, with an all-star cast, including Ingrid Bergman and Joseph Cotton. The new company will build an AngloAmerican organization, with personnel furnished by both Selznick and the Rank group. It is planned to use British tech¬ nicians, but Selznick will bring and send to England American directors and stars from both the free-lance field and those under contract to him and his enterprises. Vivien Leigh, presently in England, and recently loaned by Selznick to Rank for “Caesar and Cleopatra,” is a member of the Selznick contract group, which also includes Bergman, Jennifer Jones, Cotten, Gregory Peck, Joan Fontaine, Shirley Temple, Dorothy McGuire, Alan Marshal, and many others. The directors and producers under con¬ tract to Selznick include Alfred Hitch¬ cock, William Dieterle, and Dore Schary. Polio Leads To Ban TRENTON, N. J. — Spread of in¬ fantile paralysis last week led to the issuance by City Council of an order banning the attendance of children in theatres, stores, churches, Sunday schools, parks, etc. Parents of children violating the ordinance are subject to $100 fine. In Jenkintown, Pa., suburb of Phila¬ delphia, the Hiway, a Stanley-Warner house, was ordered to refuse admit¬ tance to children under 18 because of the polio spread. TESTIMONY HEARD IN VOCAFILM SUIT New York — Sherman D. Warner, Federal referee in bankruptcy, heard testimony last week at a hearing in the Jamaica Postoffice Building, Jamaica, L. I., to the effect that a $65,000,000 triple-damage suit was settled for $41,750 without proper authorization. The $65,000,000 action was brought in 1933 by the Vocafilm Corporation of America against the American Telephone and Telegraph Company and two of its subsidiaries, the Western Electric Com¬ pany and the Electrical Research Products Corporation. It alleged that the defend¬ ants had created a monopoly in the use of sound equipment with motion pictures, and had forced the Vocafilm Corporation out of business. The witnesses last week were called by Archibald Palmer, Brooklyn attorney, representing the creditors of David R. Hochreich, one of the organizers of the Vocafilm Company in 1927. Palmer seeks to have the settlement set aside, and the $65,000,000 suit restored. Hochreich, in a bankruptcy petition filed in Federal Court last November, listed lia¬ bilities of $460,000 and as his only asset a one-third interest in the original Vocafilm suit. According to Palmer, Hochreich was president of the Vocafilm Corporation when the triple damage suit was filed, and the late W. Harry Williams, Sr., Pitts¬ burgh, was vice-president. Palmer said Williams, a former associate of Edward L. Doheny in the oil business, invested $680,000 in the Vocafilm concern. The attorney introduced testimony to prove that Hochreich was ousted as presi¬ dent without his knowledge while the $65,000,000 suit was pending, and that in February, 1940, a settlement was made in which Williams received $31,500 and Fred¬ erick C. Houston, a Pittsburgh attorney $10,250. Hochreich himself testified that he had no knowledge of the settlement at the time it was made. Hochreich also testified that he had re¬ ceived no money from the settlement. It is his contention, according to Palmer, that the settlement, having been executed without his consent as president of the corporation, was unauthorized. At the close of the session, the hearing was adjourned to Aug. 14 in the same office. The Season’s Hit: The Service Kit Daughters Change Minds ATLANTA — The local chapter of the United Daughters of the Confederacy last week withdrew its previously an¬ nounced support of David Loew’s UA release, “The Southerner,” and its sponsorship of an award to a South¬ erner of the Year. The move follows the banning of the film by the Memhis board of censors. Cohn Dinner List Grows New York — More industry leaders are joining the already notable list of spon¬ sors of the dinner being given in honor of Jack Cohn, executive vice-president, Co¬ lumbia, on Sept. 27. The event will serve as the springboard of an Anti-Defamation League-American Jewish Committee fund-raising campaign. Among those figures who have recently added their names to the sponsors’ roll are Nate Blumberg, Harry Brandt, Billy Rose, Charles Schwartz, Harry Thomas, S. H. Fabian, and Harry Kalmine. "Bond Caravan" Due Hollywood — Marking another contribu¬ tion of the industry to the war financing program, Paramount studios will produce a two-reel all-star subject, “Hollywood Bond Caravan,” for Canada’s Ninth Vic¬ tory Loan and the Eighth War Loan, it was announced last week. Arrangements were made with Para¬ mount by Don Henshaw, Canada’s War Finance Committee, and Tom Baily, repre¬ senting WAC and the War Finance Divi¬ sion, Treasury Department. Larry Lapidus Appointed New York — Larry Lapidus, son of Jules Lapidus, eastern division sales manager for Warners, last week received appointment to the Navy Signalmen’s School at the Great Lakes Training Station, Chicago. SEC MAKES REPORT ON SHIFTS IN STOCK Washington — Industry stock activities revealed by the Securities Exchange Com¬ mission last week in its monthly report indicated the following changes: Columbia — Jack Cohn made a gift of 29 shares no par value, retaining 32,396 shares personally and 10,871 in trust. Monogram — W. Ray Johnston disposed of 1,500 shares of dollar par common, re¬ taining 18,991. George D. Burrows disposed of 600 of his 633 shares, while Paul Porzelt bought 1,000 shares of this stock. Trans-Lux — Harry Brandt disposed of 6,000 shares of dollar par common, retain¬ ing 52,915 plus 2,500 to the account of Helsel, Inc., 1,000 to the account of Broad York, Inc., 1,400 to the account of Harday Operating Company, and 14,700 in his wife’s name. Warners — A revision of the May, 1945, report showed Major Albert Warner selling 9,000 shares of $5 par common, retaining 210,000 shares. RKO Radio — A revision of the April, 1944, report, showed Ned Depinet acquir¬ ing 100 shares of six per cent convertible preferred, all of that stock that he owns. He held 1,000 shares of RKO dollar par common at the time. Loew’s, Inc. — David Bernstein dropped 2,000 shares of common no par value dur¬ ing June, retaining 55,150 shares. William Parker dropped 800 shares of the same stock, retaining 1,000. Consolidated Film Industries — Herbert J. Yates, through Associated Motion Pic¬ ture Industries, purchased 1,200 shares of $2 cumulative par preferred during May. AMPI holds 30,050 shares of this stock, 154,173 shares of the $1 par common, and jointly another 900 shares of the preferred and 4,200 shares of the common. Bell and Howell— H. W. Remerscheid, Hollywood, sold 400 shares of $10 par com¬ mon, retaining 4,500 shares. Other holding of this stock was listed as follows: Joseph H. Booth, 850; Charles V. Clark, 250; Fred M. Hall, 5,000; Albert S. Howell, 675, plus 59,490 in trust; J. H. McNabb, 99,730; Charles H. Percy, 1,925, and B. E. Stechbart, 1,000. August 8, 1945 quin.