The Film Daily (1928)

mv THE ■JX0^ DAILV Thursday, February 16, 11 Circuits Seen Ready to Act Soo^ N. Y. Independents Plan Buying Go-op. {Continued from Page 1) made by Sapiro, whose legal and organizing reputation came into national prominence through his libel suit against Henry Ford some months ago, was that the combined annual buying power of charter members would total at least $2,500,000 per year. The 11 chains now parties to the plan buy over |3,000,000 worth of film per year. Mass Meeting Saturday Sponsors are so certain of consummation of the deal that arrangements have been made for a general meeting at the Plaza on Saturday at which time Sapiro will meet the group behind the plan and potential members. No fight with producer-distributor circuits in the New York territory is contemplated. Behind the move, which has been the subject of a number of serious conferences is the desire of the independent theater owner to improve his business. It is maintained that, while profits are being made, the general tendency of theater business today is downward. Contributing Causes The independent group ascribes the condition to several causes. Perhaps, the most important is overbuilding. "Bootleg" theaters are continuing to spring up all over the city. In many zones, which independents assert are now properly theatered, building operators with sharpshooting proclivities are erecting houses solely to seek to force a sale to the established exhibitor of the zone. Several ex-theater operators, thoroughly familiar with the exhibition conditions, are included as the worst offenders. This recklessness in construction is one evil which organizers of M.P. Exhibitors' Ass'n., hope to eliminate. For instance, by-laws of the new organization will provide that no member will acquire or build a theater in any zone for a period of three years unless the board of 18 directors of the M.P.E.A. passes on the transaction. It is felt that this will prove sufficient deterrent to the "bootleg" builder and while, it is admitted that this may not prove sufficiently strong to stamp out the evil, it is believed an understanding can be reached with the affiliated circuits to the end that overbuilding which hurts all theater owners, regardless of ownership, can be eliminated. Would End Practice Second primary reason for formation of the new co-operative, is the alleged practice of "playing a picture to death," downtown, so that by the time the neighborhood run is reached, the picture has lost the major portion of its drawing power. Facilitation of new financing for members, in their expansion programs, is a third major purpose of the organization. Exhibitors claim they have difficulty in obtaining loans, because they have no assurance of a consistent supply of quality product, due to the competition, or threatened competition of affiliated circuits. Disturbed by Overbuilding Sapiro believes that, when the M.P.E.A. begins to function its buying power will assure its exhibitor members a source of pictures which can be depended upon from year to year, making financing considerably easier. Insofar as the overbuilding situations is concerned, the independents realize that there is no relief through legislative channels, but that the adjustment will have to be made within the trade. Several of the advocates of the plan are prone to believe that the affiliated circuits will finally consent to cooperate. They also feel that distributors will help generally, basing this opinion on the fact that exchanges lose business rather than otherwise when a zone is overcrowded with theaters, thus making it impossible for any one exhibitors in that section to pay high prices for pictures since keen competition makes it impossible for any one operator to show real profits. Line-up of Circuits The 11 circuits which have been considering the move are declared to control 95 per cent of the theaters in their respective zones. Those interested include: Harry and Billy Brandt and Rachmil and Rinzler in Brooklyn and East New York; Joelson and Suchman, Lawrence Bolognino and Grob and Knobel in the Bronx; Mayer and Schneider, Charles Steiner and Leo Brecher in the East Side and Harlem; Hamburger and Springer and Leo Brecher in the Broadway district (above 72nd St); Henry Siegel, Small & Strausberg and the Brandts in Brooklyn; and Arthur Hirsch in the Bronx. The latter is chairman of the board of directors of the T.O. C.C. The M.P.E.A. will insist upon a binding agreement from all members. Not only would each chain take stock membership therein, but each chain would vest in the M.P.E.A. power of attorney to act along agreed lines, such as have been previously outlined. Each member will sign a three year contract which is the length of service to which Sapiro will commit himself. Sapiro will be president and chairman ex-officio of all committees. He will sit in on all matters and give his personal attention to every problem. If the contract is signed today the organization for which membership papers have been prepared, will begin functionmg Monday. 18 on Directorate Direct decisions will be made by a board of 18 directors, divided as follows: Six, representing circuits of eight theaters or more; six, representing circuits of three to eight theaters; six representing exhibitors with holdings of one or two theaters. There also will be a functioning committee of four to work with Sapiro. There will be no "pulling out" for members who sign on the dotted line. An indication of how carefully the plan has been developed may be gleaned from the fact that final de cision has been delayed because five circuit operators had to refer the plan to their own board of directors from whom the circuit head must secure approval before Sapiro will consent to head the association. Threatens To Restore Ontario Amusement Tax Toronto — Threat to restore the amusement tax on theaters was made by Premiere Ferguson prior to the opening of the legislature, because he had been advised exhibitors of the province have not passed the reduction in tax to theater patrons, he claimed, but were charging the old scale of prices. The matter was formally brought to Ferguson's attention by a deputation representing 12 prominent women's organizations of the province. The delegation also asked appointment of women inspectors for Ontario theaters for enforcement of the juvenile law, claiming male inspectors did not enforce the regulations governing children under 16 years of age. Goldburg Reorganizing First Division Pictures Jesse J. Goldburg, of First Division Pictures, has arrived from the Coast for the reorganization of his company and to arrange for an affiliation with a production company with the object of covering both producing and distribution of the company's product. Plans are being made to produce 18 feature productions for 1928-29. Goldburg stjjes he expects to be in a position within a week to announce the name of the producing organization with which he is negotiating. He has bought out Jack Lustberg, former secretary in charge of the eastern division of the company. Baltimore Clergy Called Divided on "Blue" Fight Baltimore — Opinion of the clergy here is divided on the subject of Sunday shows, which is causing a fight here. A rally was held recently when the pro and con of the subject was discussed. Meanwhile, John G Callan and Charles F. Mules, president and vice president of the Religious Liberty League, are awaiting trial on a charge of violating the "blue" law, for presenting a show last Sunday. They were indicted by the grand jury, which previously hac' refused to return a bill against , ^m Boothby Back from Abrof W. C. Boothby, First N; comptroller, has returned to York from Europe. na 'W Reopen Royal, Friscc San Francisco — The Rov^l and California Sts., has rei ter improvements costing I Row on at Rochester 0' Saturday Midnight Sl| Rochester, N. Y. — Local sh(rt are at odds following action ci; Rochester Theatrical Managers',' in demanding the Rochester ca' its scheduled 11:30 showing S day of "The Gaucho." William A. Caliban, of the.,'L man staff, president of the aSiP tion, called up other —'embersM carried their compla of thl* leged Sunday law violation t(; police. A. A. Fenyvessy, g( manager of the Rochester, only,] ter member of the association, drew the -midnight show he'll resign from the associatfeil The show would have lasted shortly after miv^night, Fen)i claimed, but said New York thi have shows of this kind weeklv Eastman now changes its bill days, but the show is over 11: The Rochest' ' seats 4,500 ar first runs on ''-'^d Artists i here. The F ,an has a si, smaller capac Fay's theatejl'* discontinue independent vani after this w^k, on account close comp aon. The Roc? has Pantag s vaudeville. Censor Board Is Nam. by Everett, Mass., M Evere , Mass. — Mayor J. A, has appointed a new board ( sors, three women and two me take office Mar. 5. The board subject to confirmation by tl council. There are but three t in the city. Plan Coleman, Texas, Ho Coleman, Tex. — The Howell be constructed on West Pecarl YOU'LL USE EVERY DAI