Exhibitors Herald World (Oct-Dec 1930)

November 1, 1930 EXHIBITORS HERALD-WORLD 17 Declare Arbitration Decision Of No Consequence to Trade Say New Contract Conforms to Practices Approved by U. S. Final Rulings by Supreme Court on Credit Committee And Arbitration Expected Within Month This Player in Talker Read Audience's Thoughts [By Special Correspondent to the Herald-World] BERLIN, Oct. 24.— [By Mail.]— An uproar in the Ufa theatre, Universum, occurred at the premiere of a Max Glass-Terra production, with Michael Bohnen, the well known singer, in the leading role, when the audience became irritated by the scratching noises. The patrons stamped their feet, shouted and whistled, and when the hero on the screen had to exclaim, "I wish I had stayed at home!" laughter thundered through the house. WB to Install Own Wide Film System In All Its Theatres (Special to the Herald-World) NEW YORK, Oct. 30.— Vitascope, the wide film development of Warner Brothers, involving the use of a 65 millimeter film, is to be installed in the complete circuit of Warner houses. Installation of the necessary apparatus, which it is said can be put into operation in a half hour, will commence immediately. A new projector head, in which either 35 or 65 millimeter film can be used, is owned by Warner Brothers, and has been manufactured at the Brunswick plant in Muskegon in sufficient quantity to supply all theatres on the circuit. It is possible that the new type projector head, which will be distributed through the Continental Theatres Accessories Company, will in time be sold to theatres outside the Warner circuit. Clarke, Grainger See "Big Trail" at Chicago Opening Harley L. Clarke, president of Fox, and J. R Grainger, general sales manager, were among those who attended the popular preview of "The Big Trail" when the Fox picture opened at McVicker's in Chicago Tuesday night. Others who attended were John Wayne, a star of the film, and Paul Whiteman. So great has been the public interest in the picture that morning matinees are being shown every day at 9 o'clock. Deny R KO Plans Using RCA Studio in N. Y. with Trans-Lux Operating It (Special to the Herald-World) NEW YORK, Oct. 30.— A report to the effect that R K O plans to utilize the RCA studio on 24th street for production, to be operated by the Trans Lux Corporation, and under the supervision of Courtland Smith, was officially denied at the office of the latter by Jack Connolly of Smith's staff. (Special to the Herald-World) NEW YORK, Oct. 30. — The opinion prevails here that whatever the United States Supreme Court's decision may be in the producer-distributor appeal from Judge Thacher's ruling on arbitration, it will mean little or nothing to the industry. An earlier decision, said one higher-up, would have been of some consequence, especially if it had come when the former plan of arbitration was functioning. Now, however, it was pointed out, the new contract and arbitration regulations rob the decision of any real significance. This despite the fact that the new contract and rules of arbitration are awaiting ratification by the Motion Picture Theatre Owners of America and Allied. In formulating the new rules of arbitration every precaution was taken to have the regulations conform to practices approved by federal agencies. [By Washington Correspondent of the Herald-World] WASHINGTON, Oct. 30.— Final decisions in the Credit Committee and Arbitration cases are expected to be handed down soon by the United States Supreme Court, probably toward the end of November. Argument in the cases was presented to the court today. The Credit Committee case came before jority of independent exhibitors the supreme court on an appeal by the Government from the decision of Judge Thacher in the New York federal court, holding that the credit requirements of the distributors were not in violation of laws relating to restraint of trade. Credit Safeguard Argued The most important point developed by the Government was the requirement that persons acquiring theatres by purchase or otherwise be responsible for the consummation of exhibition contracts entered into by the previous owners of operators. The Government in its argument contended that this requirement was in restraint of trade, while counsel for First National Pictures, Inc., the respondent, asserted that the provisions were merely to safeguard the distributors from fraudulent transfers of houses to avoid completing contracts. The arbitration case was appealed by Paramount, on the ground that the arbitration clause of the uniform contract, held violative of law by the New York court, was not illegal but represented the best results of the industry's thought, arrived at after years of experience, as a medium for speedy and fair settlement of disputes. Say Independents Oppose Clause The Government contended that the ma were against the arbitration clause, but counsel for the company asserted that it had worked out well and that there had been a "significant" absence of complaints. Counsel for the defendant denied that an effect of the rules had been to reduce competition or that they had ever been enforced in a manner unjust to the exhibitor. Paramount Trying 65 mm. Magnafilm On Short Features (Special to the Herald-World) NEW YORK, Oct. 30.— Although Paramount will make no definite plans for wide film production until the width has been standardized, the company is now experimenting with production of short features on 65 mm. stock at the Long Island studio . Paramount's method is called Magnafilm. Working on Film of New Orleans NEW ORLEANS.— The Harcol Film company is now working on an educational picture of the city of New Orleans which is to be released by the state department of conservation. RKO Shows Nearly 100% Increase in Net Earnings for First Nine Months of 1930 (Special to the Herald-World) NEW YORK, Oct. 30. — Radio-Keith-Orpheum Corporation's net profits for the Grst nine months of this year, ended September 30, showed an increase of almost 100 per cent over the corresponding period of last year. For the nine month period net profits, after federal taxes, was $3,052,571, compared to $1,637,899.99 for the corresponding period last year. A report of earnings has just been made by Herman Zohbel, treasurer. Operating prohts for the third quarter totaled $1,006,437.62, and net of $976,437.62, as against net of $410,230.58 in the previous quarter. The net for the first three-quarters is equal to $1.27 a share on the Class A stock outstanding, as compared to 69 cents a share on the same share basis last year.