The Exhibitor (Nov 1939-May 1940)

EDITORIAL I H [ f Vol. 23, No. 13 February 7, 1940 A Jay Emanuel Publication. Covering the film territoriei in the Metropolitan East. Published weekly by Jay Emanuel Publications, Incorporated. Publishing office: 1225 Vine Street, Philadelphia, Pennsylvania. New York City office, 1600 Broadway. West Coast office, 1119 Poinsettia Drive, Hollywood, California Representatives in Washington, D. C.; Albany, Buffalo, Boston, New Haven. Jay Emanuel, publisher; Paul J. Greenhalgh, business manager; Herbert M Miller, managing editor. Subscription rates: $2 for one year; $J for three years. Address all communications to 1221 Vine Street, Philadelphia, Pennsylvania. Just In Passing RKO FINALLY EMERGES Seven years is a long time, any one will tell you, and it is no exception in the case of RKO-Radio, which emerged from its reorganization January 26, thus ending a period which began January 27, 1933. It is a tribute to those who had charge of the company during that period that it functioned as it did. Despite the financial cloud, some of the industry’s biggest money-makers came from the company during the seven years. So now, it is full -speed ahead, with George J. Schaefer at the helm, and for the benefit of the industry we hope it will be clear sailing from now on. U IN THE BLACK The financial world has already brought the news about Universal, that the company is showing a profit for the first time in three years. Exhibitors who have been playing Universal product must have sensed it through their box-office returns. It has been a long climb for popular Nate Blumberg and Bill Scully, but they must have the satisfaction of knowing that hard work and experience pays dividends — in the form of financial statements, and credit from their customers. THAT APPEAL ANGLE AGAIN We do not have to remind theatres that February 17-18 have been designated as Finnish Relief Days at which time funds for Finland will be solicited in theatre lobbies. Such a worthy cause deserves the utmost of support. WE REACH THE TURNING POINT Inasmuch as February marks the turning point in the industry’s year, we now follow the custom of this department, examine the record and speak of the future. The state of the business at current writing is not something to encourage optimism. Grosses are down, turmoil within the industry has not subsided, threat of governmental regulation comes closer, and the equity suit, which may have far reaching consequences, begins within a few months. On the ledger we have recorded significant developments, chief among which is “Gone With the Wind.” “GWTW” has awakened in the public greater interest in motion pictures, effectively demonstrating that there can be something new. It also answers the complaints of those who say that the movies are slipping. Other pictures, “Abe Lincoln in Illinois,” “Grapes of Wrath,” “The Blue Bird,” “The Fighting 69th,” “His Girl Friday,” to mention a few, can also currently be credited with a rebirth of interest in the films. On the basis of the first half of the year, the most important money-making product seems to have come from MGM. “GWTW” insured first place, but, picture by picture, it was quite evident that the studio is clicking. Well UP in the front rank is Warners, which may not have yet hit its 1938-1939 mark, but the signs are pointing toward a strong second-half rush. Twentieth Century-Fox, UA, Paramount, and a vastly improved Universal also contributed important pictures, with RKO and Columbia apparently now getting into stride. Another item of importance was RKO’s emerging from receivership. From the independent market, not much was heard, and in the ranks of the states right producers there was a letdown because of financing and release problems. In the intra-industry picture, there was little change. No code was formulated and arbitration was not resumed despite good intentions demonstrated by some bodies. In the second half of the season, two big items are scheduled, the Neely Bill and the government suit. The trade will also analyze evidence on how the drop in foreign revenues and domestic grosses will affect “big pictures” in the months to come. All in ALL, there is not much reason for optimism. But this business being what it is, over night events may entirely change the present complexion. QUAD