Independent Exhibitors Film Bulletin (1950)

IX e nvs and Opinion (Continued from Page 8) The first premise was promptly settled by Loew's general counsel J. Robert Rubin, who stated unqualifiedly that the company plans to appeal the decree to the U. S. Supreme Court. The basis of the appeal, it was expected, would concern Loew s suggestion that a review of the competitive situation in the industry after suitable divestiture at the end of three years be taken and the divorcement order be rescinded if the results revealed that competition had been restored. Appeals must be filed by April 8. Showcase Theatres Appeals by any of the other theatre defendants, it was believed, would hinge on whether they could arrive at a satisfactory divestiture arrangement with the Government and whether they would be permitted to have showcase theatres. The latter, it was argued, would be of invaluable aid in determining suitable rental figues for their product, as well as insuring a proper sendoff for their important releases. Both Warners and 20th-Fox were continuing their discussions with the Government in an effort to arrive at an equitable divestiture settlement. Warners, however, promptly withdrew upon expiration the option they had extended to the syndicate headed by the Lehman Bros, for purchase of the 25 per cent stock interest of the three Warner brothers in the new theatre company which will be formed following divorcement. "Cheap, Workable" Arbitration On arbitration, TOA executive director Gael Sullivan and general counsel Herman M. Levy announced that they would recommend to the TOA Executive Committee meeting March 1-2 that the exhibitor organization urge the defendant companies to initiate a series of industry public hearings designed to establish a "workable and inexpensive" arbitration system, as authorized by the Court. "Within the knowledge of TOA, all objections that have been made to an industry system of arbitration have been directed to its mechanics rather than to its sound basic philosophy," the joint statement declared. "In our opinion the major obstacle has been the absence of opportunity, possibly because of lack of initiative, for all segments of the industry to confer for the purpose of creating such a system. Now that the Court has spoken, and now that the idea has the sanctity and strength of judicial decree, an earnest, sincere and wholehearted attempt must be made by the entire industry to bring about this sorely needed remedy. To accomplish that end, all petty jealousies, deep-rooted prejudices, and arm's length negotiating must be discarded." The TOA proposal was given conditional approval by an Allied regional head. Wilbur Snaper, president of Allied Theatre Owners of N. J., said the industry had nothing to lose by holding a public hearing on arbitration and very possibly might set the stage for a system that would be of benefit to many industryites. He added, however, that any arbitration system meant to rule on exhibitor-distributor disputes should have film industry members on its panel of judges. Arbitrators not familiar with industry terms and procedure have been responsible for enormous loss in time as each industry peculiarity and verbiage required explanation and interpretation, he said. 20TH TO HOST THEATREMEN AT CHI SHOWMANSHIP MEET "Exhibitors need help, not criticism." In these five words Spyros Skouras, president of 20th Century-Fox, summed up his company's motive for inviting some 200 of the nation's exhibitors to be the guests of 20th Century at a huge showmanship meeting in Chicago, March 8-9, at the Drake Hotel. The company's action was in sharp contrast to Samuel Goldwjm's recent blast at theatremen for what he called their "disgraceful" lack of enterprise in exploiting the product that graced their screens. The 20th-Fox invitation was the third such move by the company designed to further theatre showmanship, and marked the first time a distributor-exhibitor meeting aimed at increasing theatre attendance has been called on such a large scale. Exh'b. Crosj-Section Exhibitors from all over the U. S. and Canada, representing a cross-section of both large and small theatre interests, SPYROS P. SKOURAS Succor, Not Slaps will be on hand as guests of the company. National and regional leaders of the principal theatre organizations and trade press representatives have also signified their intention to attend the unprecedented showmanship confab. Skouras will preside at the meeting, aided by Fox vicepresidents Al Lichtman, Andy W. Smith, Jr., and Charles Einfeld. Leading industry personalities, as well as N. Y. Times critic Bosley Crowther, and the Fox executives will address the meeting. Crowther, who spoke at the recent Fox Showmanship meeting in New York for theatre ad executives, made a profound impression at that conclave. Attendance Problems At a press conference in New York at which he announced plans for the meeting, Skouras revealed that not only showmanship techniques, but current industry problems affecting attendance, such as outside competition like television, would be discussed. Both exhibitor and distributor share the responsibility for tackling these problems, Skouras explained, and both can contribute to the solution. On the agenda are ideas for showmanship, including plans and problems evolving from the previous meetings for ex hibitor ad-men; merits of saturation bookings and institutional merchandising to benefit the individual exhibitor as well as* the industry as a whole. The decline in|l juvenile attendance will be accorded special attention and methods of attracting more youngsters, as well a., the potential moviegoers who seldom or never attend a movie house, will be presented. RISING FIRST QUARTER NETS MAKE ROSY PROFITS PATTERN The profit statement pattern as reports)! for the initial quarter of 1950 continued to come through was startlingly similar. Of the three companies which have issued first quarter financial statements, each, showed a small but very definite improvement over the preceding year's initial t period. Too, the increased net was accomplished despite a decreased gross, indicating a more efficient operation as the result of retrenchment in production and distribution with resultant economies. Latest of the first quarter reports came from Warner Bros., which showed a net profit of $3,189,000 for the three months1 ended Nov. 26, 1949, after provision of $2,200000 for federal income taxes and a provision of $250,000 for contingent liabilities. This compared with a net of $3,093,000 for the first 1949 quarter after) provision of $2,000,000 for federal taxes.1 Warner's gross for the current vear's : auarter was $32,712,000, a million-dollar' drop from the corresponding period last _ year when the company reported a gross of 333,734,000. The Warner statement followed quar-. terly profit reports from Loew's and Columbia. The former showed a net of $1,652,000, more than a half million rise over the corresponding quarter last year,' despite a half million drop in gross. Col-' umbia swept back into the black with a net of $337,000, compared with a net loss of $23,000 for the same period last year..' "KING'S MEN", "HEIRESS" 1 TOP OSCAR NOMINEE LINEUP It was Oscar nomination time again and Columbia's "All the King's Men" and Paramount's "The Heiress" topped the1 list with nominees in four of six principal categories. 20th Century-Fox led the field by far in most films mentioned in the chief divisions with four receiving two or more entries. Only M-G-M had. more than one film mentioned in the top. six categories. Candidates for the gold statuettes were : —Best picture: "All the Kings Men':| (Col.); "Battleground" (MGM); "The1 Heiress" (Par.); "A Letter to Three Wives" (20th-Fox); "12 O'Clock High' (20th-Fox). — Best actor: Broderick Crawford (All the King's Men); Kirk Douglas (Champion); Gregory Peck (12 O'Clock High); Richard Todd (Hasty Heart); John Wayne (Sands of Iwo Jima). —Best actress: Jeanne Crain (Pinky); Olivia de Havilland (The Heiress); Susan Hay ward (My Foolish Heart); Deborah Kerr (Edward, My Son); Loretta Young (Come to the Stable). Best supporting actor: John Ireland , (Continued on Page 14$ If) F I I M C U L L E T If