The Exhibitor (Nov 1939-May 1940)

14 THE EXHIBITOR Read BETTER .... MANAGEMENT An EXHIBITOR Service GREETING TO JEP CY FEUER Music Director Republic Pictures Regards to Lew Mentlik “RKO Wants Best Deal Under Fairest Conditions Andy Smith, Jr., Reveals Selling Principles New York City— “RKO-Radio Pictures has and never will hurt anyone — we want the best deal possible under the fairest conditions.” So spoke Andy W. Smith, Jr., eastern division sales head of RKO, in an interview last week — and thus he effectively provided an answer to rumblings against the RKO sales policy which had been heard in some localities. Smith pointed out that RKO was led by three men whose combined years of experience within the business totaled 81 years. President George J. Schaefer had 28; Ned E. Depinet had 27, while Smith had only 26. RKO’s Andy Smith He Answers Some Questions “You don’t suppose that men who have helped the industry grow as it has in that period could have progressed without fair play, do you?” he asked. “The men of our selling organization have been given a job to do — and they are doing it. They are selling RKO pictures at terms which some may consider high, but not when the production program is examined. Any company which can boast of such pictures as ‘Allegheny Uprising,’ ‘That’s Right, You’re Wrong,’ ‘The Hunchback of Notre Dame,’ ‘Abe Lincoln in Illinois,’ ‘Vigil in the Night,’ ‘Pinocchio,’ ‘The Primrose Path,’ ‘Swiss Family Robinson’ — all of which are completed or practically finished — must get certain terms in order to insure excellence of production. “Reports from 12 openings on ‘That’s Right, You’re Wrong’ reveal bigger grosses than ‘Gunga Din,’ and ‘Snow White,’ which proves that RKO is making money shows. “There is no secret to it. It’s a matter of dollars and sense — money invested must come from somewhere — and exhibitors everywhere have told us that they will back us to the limit — if good pictures will be the result. “You can tell the world this — RKO will deliver money-making pictures and it expects to earn, naturally, as much as it can, But there will never be an exhibitor who can truthfully say, ‘RKO hurt me’.” Admission Taxes Ahead, Government Report Shows October Receipts Past 1938 Mark Washington — The Internal Revenue Bureau reported last week that admission collections were running ahead, and that October saw $1,727,931 collected, compared with $1,596,367 during the same month in 1938. Collections showed a greater decline than was recorded a year ago, falling nearly $125,000 from the years’ high of $1,852,256 reached in September. Loss last year was less than $72,500. For the 10 months ended with October, the bureau reported collections aggregating $15,784,133, compared with $15,655,832 in the same period in 1938. There was a gain of $318,835 during the first four months of the government’s fiscal year, when collections were $6,627,905 against $6,309,070 a year ago. A report for the third New York district showed that October collections in the Broadway sector were $277,256 against $545,092 in September and $285,506 in October, 1938. Pletman Issues Statement New York City— A. W. Pletman, who acquired the interests of John E. Otterson and Jarold West in Radio Wire Television Corporation of America, last week announced that as president he will continue the development of the major company’s subsidiary, Wire Broadcasting Corporation of America. Pletman said, “We are immediately swinging into action in the branches already established, and we will open up new outlets until we have a nationwide network for the distribution of entertainment by wire.” Para Dividend Declared New York City — At a meeting of the board of directors of Paramount Pictures, Inc., November 22, the regular quarterly dividend of $1.50 per share on first preferred stock and the regular quarterly dividend of 15 cents per share on the second preferred stock were declared. These dividends are payable December 26, 1939, to stockholders of record at the close of business on December 8, 1939. Extras Lose in Court Hollywood — Judge Emmet Wilson last week denied without prejudice the petition of Class B members of the Screen Actors Guild, comprising extras, for a preliminary injunction directing officers of the Guild to give some 6,000 extras the right to vote on union matters. The petition was filed by Ed Heim, an extra. UA Theatre Profit New York City — Net income of $138,811.93 was reported last week by United Artists Theatre Circuit, Inc., for the year ended August 31, 1939. Net for the same period last year was $148,743.37. November 29, 1939