Year book of motion pictures (1940)

Expenses: Film service. S6.350.648. 34 ; Artists' salaries and production expenses, $1,157,166.93; Other salaries and wages, $5,349,660.11; Cost of film sales and service, $27,029,046.82; Film selling and general expenses, $4,261,847.17; Other operating and general expenses, $8,945,357.50 53,093,726.87 $ 3,181.691.70 Other Income: Equity in profits (net) of subsidiary companies not consolidated operating in foreign territories, including exchange adjustments, $511,258.38: Dividends received on investments in other companies (including approximately $25,000 in excess of current year's earnings of affiliated companies). $232,277.06; Interest earned. $36,656.50; Trailer income, $94,165.94; Sale of junk film. $47,950.74; Forfeited deposits, $34,789.90; Recoveries on notes and accounts receivable written off in prior years, $9,923.34; Sundrv other income, $94,566.24 1,061,388.10 $ 4,243,079.80 Other Charges: Interest and discount, $2,008,405.37; Depreciation of capital assets and amortization of leaseholds (other than $243,050.57 in respect of studio properties and other equipment charged to film costs). $1,602,164.64; Loss on investments and capital assets, $30,353.42: Provision for losses of affiliated companies not consolidated (Note — Unrealized profits of approximately $113,000 have not been taken up), $26,643.34; Participation of officers and employees in profits, $47,782.48; Trustee's administrative expenses. $177,246.82; Sundry other charges (including adjustment of minority interest in subsidiary company — $1,312.32), $49, 873.61 3,942,469.68 $ 300,610.12 Provision for income and excess profits taxes (less taxes on bond discount charged to surplus account) 282,005.69 Net Profit for the ear. Before Providing for Dividends of $297,801 Accrued in the Year 1938 on Preferred 77c Cumulative Convertible Stock of Keith-Albee-Orpheum Corporation, a Subsidiary Company $ 18,604.43 CONSOLIDATED BALANCE SHEET, JANUARY 1, 1939 Assets Current and Working Assets: Cash (including $598,678.50 cash of the parent company the use of which is subject to certain restrictions), $7,652,741.93; Notes and accounts receivable, less reserve. $637,420.71; Accounts receivable from officers and employes, $31,166.81; Accrued interest. $1,406.11; Advances to outside producers, less reserve, $551,767.58; Inventories: Completed pictures, not released, at cost, $724,106.97. released pictures, at cost less amortization, $3,823,738.02, productions in progress, at cost, $4.415.554.85.. accessories and supplies. $131,237.39, total, $9,094,637.23; Scenarios and continuities not produced, at cost, less amounts written off. S250.227.35 . $18,219,367.72 Capital Assets: Land (revalued in the case of certain subsidiary companies as at February 18, 1937), $21,502,053.53; Buildings, equipment and improvements as revalued as at January 1, 1932 and as subsequently revalued in the case of certain subsidiary companies as at February 18, 1937. together with additions at cost: Buildings and equipment on land owned and on land partlv owned and partly leased, $36,096,248.49. Less — Reserve for depreciation. $21,731,120.56. total. $14,365,127.93; Leasehold improvements and equipment. $13,923,981.65, Less — Amortization. $7,925,513.50, total, $5,998,468.15: Leaseholds, goodwill and contracts $5,850,267.92 •• •• 47,715,917.53 Investments in Affiliated and Other Companies: Equity in net assets of subsidiary companies not consolidated operating in foreign territories, subject to contingent liabilities reported, per supplementary statement attached. $1,932,925.45; Capital stocks of affiliated and other companies, less reserve. SI. 220.260.59 ; Advances to and mortgages of affiliated companies, less reserve. $107,390.25 3.260.576.29 Other Assets: Subscriptions to debentures and stock, including interest. S169.872.97; Cash and securities deposited with trustees under terms of bond indentures. $162,642.91; Deposits under contracts and sundry advances, less reserve. $174,786.23: Mortgage receivable, $41,337.81; Sundry investments and deposits, less reserve. $79,389.63 628,029.55 Deferred Charges: Unamortized bond discount and expense (being amortized over terms of debts). $162,773.77; Prepaid insurance and sundrv deferred charges, $414,956.76; General publicity deferred. $285,598.21: Film production charges deferred. S242.459.37 1,105,788.11 Total Assets $70,929,679.20 Deficit Capital deficit, per statement attached. S10.775.S19.65 ; Operating deficit, per statement attached. $13.656.276.83 24,432.096.48 $95,361,775.68 Liabilities Current Liabilities: (Other than funded debt payable within one year under sinking fund provisions, as follows): Note payable to bank, due December 31. 1939 and secured by bonds, S125.000; Notes and trade acceptances payable (including $2,814,500 in default), $3,110,783.17; Accounts payable. $1,632,043.79; Accounts payable to foreign subsidiary companies not consolidated, per supplementary statement attached, S270.211.67; Accounts payable to other affiliated and subsidiarv companies not consolidated, S14.462.09; Accounts payable to officers and emploves. $13,190.'81; Accrued taxes. $950,159.99; Accrued interest, $4,937,468; Other accrued expenses. $313,613.43; Mortgage instalments payable within one year, $391,735.05 . . $11,758,668.00 Deposits: Collections in respect of film service rendered or to be rendered, unapplied, $478,968. 09; Rent and other deposits, S107.076.83 586,045.52 Remittances from foreign subsidiarv companies, held in abeyance, per supplementary statement attached I«25,££i£ Deferred notes and accounts payable ,','Vl ," 330,3-0.-6 Ten-year 6% gold debentures, dated December 1, 1931 (declared due by virtue of defaults under ^ 600 000 00 996