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THE EXHIBITOR
Schenck, Skouras, Freeman on the Stand
Pre-Trial Information Revealed
New York City — Examination of Joseph M. Schenck in connection with the pretrial activity in the government equity action was a highlight last week.
Schenck, who is chairman of the 20th Century-Fox board, told of the company’s loaning policy, maintaining that the ability to exploit the picture is the “very last consideration” when loaning is discussed. This was in answer to a query which sought to show independent companies had little chance of borrowing. 20th Century-Fox rarely loaned, said Schenck, and when it did the director, story and part were important. What the borrowing company could give in return was deemed an important factor.
Factors in loaning, such as salaries, etc., were also discussed. The affiliation of 20th Century-Fox with National Theatres was also brought up, as well as his relationship with his brother.
The next day, Spyros Skouras, claiming that National Theatres was in competition with every other affiliated theatre company, answered the government charge that major exhibitors have divided the United States territory among themselves. Skouras named a large number of cities where National Theatres competes with other majors.
Skouras’ answer came at an examination held in conjunction with the current action, in response to questions directed by Special Assistant Attorney General Robert L. Wright.
Skouras also stated that one policy of his company is not to enter territories where other exhibitors have been established for a long time. “You probably don’t believe it, but that’s our policy,” he said. In addition to this, his company, after purchasing a theatre, often finds it has been paying more for film than the previous owner, Skouras asserted.
The Chase National Bank owns 58 percent of 20th Century-Fox stock, according to Skouras, while Skouras himself has 5,000 shares, plus some shares in radio and television companies.
Y. Frank Freeman, Paramount studio executive head, testified last week at a pre-trial examination in the government’s equity suit, maintaining that the producertheatre tie is essential. Every picture is a gamble, Freeman stated, and it is important for a production company to be affiliated with a group of theatres sympathetic towards its efforts.
Freeman also answered suggestions by Wright, who conducted the examination, to the effect that, in loaning players to other companies, Paramount considered the amount of exploitation the film would receive, the amount of money to be spent, and the possibilities of a reciprocal deal.
Freeman contended that the company was guided by five factors in loaning players: an investigation of the story, what other personalities were being used in the film, whether the script gave the actor an
Seldes on Television
NEW YORK CITY— Asserting that television will compete with motion pictures in much the same manner as movies compete with radio, reading, bridge, or any other form of entertainment, Gilbert Seldes, director of television programs for CBS, addressed about 75 persons in attendance at the AMPA meeting held in Jack Dempsey’s Restaurant last week.
“If we truly can compete with you,” he said, “it will have to be from the angle on which we’re best suited. Our chief production problem is what to put on programs. Up to now, the chief point in our favor is the immediacy with which we can transmit news into the home.”
Seldes claimed that he could not say how much television in the future would compete with movies or vice versa, but he stated that he knew of many methods of mutual co-operation between the two fields.
He intimated that the development of large screen television “may be the ways and means of solving the doublefeature problem.”
Columbia Surprise Awards
New York City — Special “surprise awards” on short subjects and serial sales have been set in Columbia’s “Montague 15th Anniversary Campaign” it was announced last week. Campaign is scheduled to end May 10 and the “surprise awards” will be given to the bookers of the six branch offices leading in billings on shorts and serials.
Quota established is based on total branch billings for the fiscal year ending June 30, 1939, and the awards will be made by bookers of the six branches showing the greatest improvement by May 10 as compared to the quota set.
Helprin in Production
New York City — Alexander Korda announced the appointment of Morris Helprin as his assistant in production. Helprin was for the past four years American publicity and advertising representative for Korda.
important part, who the director would be, and the importance of the story itself.
Denying that there was a fixed arrangement on price for the loanouts of players, Freeman said, “You simply pay each studio what they would have to pay the star for the picture.”
Freeman also stated that the various departments of Paramount have a definite rule not to interchange information on business relations.
A description of his service with the company was also given by Freeman during his day-long testifying.
Other film executives scheduled to testify are Neil F. Agnew, Paramount general sales manager; Metro’s Nicholas M. Schenck; J. Robert Rubin, and Louis B. Mayer.
Larger Field Staff Follows "Cyclops” Test
Agnew Announces Expansion in Field
New York City — Following the prerelease test engagements of “Dr. Cyclops,” Paramount has enlarged its exploitation staff to handle the picture in forthcoming key city engagements, Neil F. Agnew, vice-president in charge of sales, announced last week.
Under the new plan field men will be divided in two groups — the western division operating under Cliff Lewis, studio publicity and advertising manager, and the eastern group ,in charge of Alec Moss, home office manager of exploitation.
In the group under Lewis’ supervision will be Ben Hill, Carl Kreuger, Bill Lansburg and Leon Benson. Alec Moss will supervise the work of A. Maxwell Joice, Bud Getschall, Thomas Jefferson and two additional men.
Each of these men will handle a separate sales district working directly under the local district manager.
Alec Moss has made the following assignments of the men in his division: A. Maxwell Joice will cover Harry Goldstein’s territory with headquarters in Pittsburgh; Bud Getschall has been assigned to H. F. Wilkes’ district with headquarters in Atlanta; the New England territory under district manager William Erbb will be covered by an exploiteer to be selected later, and Thomas Jefferson of the home office staff has been assigned to Milt Kusell’s district with headquarters in New York City. Because of its size, an additional man will be assigned to this territory later.
New Guides Ready
New York City — Guides to the discussion of the following photoplays are being nationally distributed by Educational and Recreational Guides, Inc., it was announced last week.
“Northwest Passage,” “Gone With the Wind,” “Seventeen,” “Abe Lincoln in Illinois,” “The Blue Bird,” “Pinocchio,” “Harvest.”
In preparation are guides to “Pride and Prejudice,” “The Dark Command,” “Tom Brown’s School Days,” “Our Town,” “Flotsam,” “Edison the Man,” “House of the Seven Gables.”
Murray Silverstone Back
New York City — Murray Silverstone, chief of world-wide operations for United Artists, arrived March 22 from Hollywood.
"Virginia City” Starts Fast
NEW YORK CITY — Midweek openings of Warners’ “Virginia City” in Springfield, Worcester, Massachusetts, and New Haven, Hartford, Bridgeport, Connecticut topped “Dodge City” opening grosses in every spot, despite the Lenten period, it was reported last week end.
March 27, 1940