Exhibitors Herald World (Oct-Dec 1930)

— 20 EXHIBITORS HERALD-WORLD November 8, 1930 Loew's Nets Three Million Gain In Profits Made Over Last Year Gross Income Increases Thirteen Millions Over Preceding Year And Operating Profit Before Depreciation and Federal Taxes Shows Four Million Advance Over 1929 (Special to the Herald-World) NEW YORK, Nov. 6.— An increase of $3,000,000 in net profits over 1929 is shown by Loew's, Inc., and its 100 per cent owned subsidiaries in the annual statement for the fiscal year ended August 31, 1930. Gross income increased $13,000,000 over the preceding year, while operating profit before depreciation and federal taxes jumped $4,000,000 over 1929. Profits increased $1.98 a share a snare in comparison with earnings for the preceding fiscal year. It is announced that earnings amounted to $9.90 a share on the average number of common shares outstanding, or $9.65 on the total number outstanding at the end of the fiscal year, August 31, 1930. Earnings during the previous fiscal year were $7.92 a share. The consolidated balance sheet of the company follows: ASSETS Current : Cash and Call Loans..$ 6,637,370.34 Cash Reserved for Construction 1,489,944.00 Receivables : Accounts Receivable..? 2,532,731.21 Notes Receivable 355,712.61 Due from Affiliated Corporations 1,462,120.66 $ 8,127,314.78 4,350,564.48 Inventories — At Cost: Film Productions in Process. Completed and Released (after Amortization) $26,952,236.81 Film Advertising Accessories _— 646,831.81 Theatre and Studio Supplies Advances : To Motion Picture Producers, Secured by Film Productions _ $ Mortgage and Interest Payments .. Total Current Assets _ Investments : Stocks and Mortgages Affiliated Corpora 261,283.43 765,538.35 256,001.04 27,860. 352.0S 1,021,539.39 $41,859,770.70 tions ...$12,365,821.18 Deposits on Leases and Contracts _.._ 844,622.84 Miscellaneous 1,611,375.16 Property — 100% Land Buildings and merit Leaseholds . Owned: $24,671,225.03 Equip Z.ZZ~2,25i',740.57 14,821,819.18 .... 55,249,371.04 Less Reserve preciation Deferred for De $82,172,336.64 13,233,637.54 68,988,699.10 3.513.072.81 $128,633,361.79 LIABILITIES Current : Accounts Payable $ 5,630,833.58 Notes Payable _... 193,296.28 Federal and State Taxes 1,427,483.33 Accrued Interest 716,911.17 Advances from Affiliated Corporations .... 230,267.93 Debenture Sinking Fund Payments, etc. (Net) _ _ 1,048,600.00 Subsidiary Corp. Dividend Payable Sept. 15th Accounts Payable — Long Term. Fifteen-Year 6% Debentures, Due 1941 Bonds and Mortgages of Subsidiary Corporations _ First Lien 6% Bonds of Subsidiary Corporation — Due 1947 ..._ _ Subsidiary Corporations' Stock Outstanding fMetro-Goldwyn, etc.. Preferred) Deferred Credits Reserve for Contingencies $ 9,247,292.2s 69,124.09 210,500.00 11,695,000.00 13,872,870.42 10,125,000.00 4,938,445.57 972,918.59 500,000.00 Capital Stock : Preferred Stock, No Par Value, $6.50 Cumulative: Issued and Outstanding, 146,763 shares _ 13,869,103.50 Common Stock, No Par Value: Issued _ 1,569,725 Shs. Less Held by Trustee for Holders of Stock Purchase Warrants 156,1511,4 Shs. Outstanding 1,413,573% Shs. 34,348,805.64 Surplus _ _ 28,784,301.69 $128,633,361.79 OPERATING STATEMENT Fiscal Year Ended August 31, 1930 Including All Subsidiary and Affiliated Corporations Gross Income: Theatre Receipts, Rentals, and Sales of Films and Accessories $121,706,159.27 Rentals of Stores and Offices 4,571,605.90 Booking Fees and Commisisons ..._ 1.286,293.39 Miscellaneous Income 1,956,973.16 Expenses : Theatres and Office Buildings $ 61,264,478.64 Film Distribution 14,744,161.25 Amortization of Films 23,872,047.50 Film Advertising Accessories _ 698,238.56 Producers' Share of Film Rentals 6,541,687.83 $129,521,029.72 107,120,613.78 22,400.415.94 5,363,710.83 Net Profit all Corporations $17,036,705.11 Minority Interests' Share, Affiliated Corporations 2,094,687.90 Operating Profit before Depreciation and Federal Taxes _ $ Depreciation of Buildings and Equipment $3,470,573.26 Federal Taxes 1,893,137.57 Loew's Incorporated Share after Federal Taxes _ „ $14,942,017.21 CONSOLIDATED SURPLUS ACCOUNT Surplus, September 1, 1929 _ $20,725,083.86 Operating Profit as above Less: Undistributed Share Affiliated Corpora ■ tions $ 770,029.52 Dividends Paid and Declared : Subsidiaries Preferred (Metro Goldwyn, etc.) 341,684.77 Loew's Inc. Preferred.. 953,963.34 Loew's Inc. Common.. 4,817,121.75 14,942,017.21 $35,667,101.07 6,882,799.38 Surplus, August 31, 1930. .._ $28,784,301.69 Ben Benjamin Is Made Manager of Columbia Middle States Division (Special to the Herald-World) NEW YORK, Nov. 6.— Ben Benjamin, formerly with Universal in Kansas City and R K O in Chicago, has been appointed manager of the Middle States division for Columbia. In his new capacity, Benjamin will have jurisdiction over exchanges in Omaha, Kansas City and Des Moines. His headquarters will be in Kansas City. He has been connected with the sales end of the business for 14 years. Independents' Optimism Doubles F N Sales Over '29 (Special to the Herald-World) NEW YORK, Nov. 6.— "The optimistic frame of mind of the independent exhibitor" is assigned by Ned E. Depinet, general sales manager of First National, as the reason for twice as many sales as last year by company. Depinet, in commenting on the record, stressed the point that trailers are one of the most important elements of his sales campaign, declaring they are splendid advertising not only for the company but for the exhibitor as well. Another reason for the First National leap in sales, according to Depinet, is the method employed in the sale of Vitaphone shorts. "We don't sell them as shorts," he said. "We sell them as vaudeville acts, bill them exactly as star acts over the big time are billed, and the results are surprising." The general sales manager predicts that First National is going to have the best year in its history, by reason of the quality of the product the company is offering. Phil Goldstone Looks For "Third Alarm9' to Be Box Office Success (Special to the Herald-World) NEW YORK, Nov. 6.— Phil Goldstone, chief studio executive for Tiffany on the Coast, has informed Grant L. Cook, executive vice president that he believes "The Third Alarm," first of the Big Ten productions of the 1930-31 season, will be one of the biggest box office draws of the year. The film is scheduled for a Los Angeles preview within a short time. Hobart Bosworth, James Hall, Anita Louise, Jean Hersholt, and other stars are included in the cast. "The Little Divorcee" another of the Tiffany Chimp comedies, and "One Punch O'Toole," first of the Paul Hurst comedies, have been completed and are due to reach New York next week. The Ken Maynard Western, "The Midnight Stage" has already gone into production, with casting completed on "Caught Cheating," a Charlie Murray and George Sidney comedy, which is next in line. "The Single Sin" and a story with the tentative title "Crime Pays," are ready for early shooting. "Check and Double Check" Breaks Record in Omaha (Special to the Herald-World) OMAHA, Nov. 6.— Breaking all past records for attendance, the Orpheum in Omaha enjoyed capacity houses for nine successive days during the showing of Amos 'n' Andy. The week day program was increased from three to four shows daily and five shows instead of four were presented on Saturday and Sunday. The following week's picture will run for five days instead of a full week. Frank Farrington Dies; Built 10 Detroit Houses (Special to the Herald-World) DETROIT, Nov. 6.— Frank Farrington, said to have built the first motion picture theatre in this city, died here at the age of 63. Farrington, a building contractor, erected the old Casino theatre, his first project here, for John H. Kunsky and the late Arthur Kaile.