Harrison's Reports (1954)

204 HARRISON’S REPORTS December 18, 1954 ESTABUSHING A SLIDING SCALE Some interesting figures are published under the above heading in the December 9 issue of ‘ Theatre Facts,” the organizational bulletin of the AlHed Theatre Owners of Indiana. “Just for fun,” states the bulletin, “we were jotting down some figures on sliding scales, and how control figures based on a theatre’s overhead might be estab' lished. Even though some distributors may tell you they are not interested in your overhead, the fact remains that you must take your expenses into account in order to know how much you can afford to pay in film rental.” The jottings made by the writer of this bulletin resulted in the following three formulas: 1. Profit equals film rental This is generally true in most of the very small situations. For example, an exhibitor grossing $150 on a Sunday-MondayTuesday and paying $45 film rental is not going to be satisfied with much less than another $45 for his profit on the 5/lOths playing time. In such a case he can pay: 25% on a gross that is 30% on a gross that is 35% on a gross that is 40% on a gross that is 45% on a gross that is 2 times his overhead 2.5 times his overhead 3.3 times his overhead 5 times his overhead 10 times his overhead 50% is, of course, uanttainable. 2. Profit equals Yi film rental Perhaps in a larger grossing situation, paying more money for film, the exhibitor feels that a profit of half the film rental will not be too bad. He can pay: 25% on a gross that is 1.6 times his film rental 30% on a gross that is 1.8 times his film rental 35% on a gross that is 2.1 times his film rental 40% on a gross that is 2.5 times his film rental 45% on a gross that is 3.0 times his film rental 50% on a gross that is 4.0 times his film rental 3. Profit is to rental as rental is to gross. Perhaps in some big grossing theatres the exhibitor may come out if his profit is the same percentage of the film rental, that the film rental is of the gross. If this is so. the theatre can pay : 25% on a gross that is 1.45 times his overhead 30% on a gross that is 1.64 times his overhead 35% on a gross that is 1.9 times his overhead 40% on a gross that is 2.27 times his overhead 45% on a gross that is 2.88 times his overhead 50% on a gross that is 4.00 times his overhead “We don’t know exactly what good these figures will do you,” concludes the bulletin, “but they might suggest that you re-examine your own scale to see if you are getting a fair enough share on the big grossing pictures to offset the pictures that do not even reach the 25% control figure.” MORE ON THE AAP DEALS WITH TV According to a publicity release from Associated Artists Productions, which is engaged in the distribution of pictures to both television and theatres, its program of 56 pictures has been bought already by television stations in Minneapolis, Los Angeles, Greenville, S.C., Honolulu, Detroit, Denver, Memphis, Salt Lake City and Wausau, Wisconsin. The release states also that negotiations are continuing in 33 other markets and it is anticipated that deals will soon be closed in many of them. As pointed out in th^ November 20 issue of this paper, Eliot Hyman, who is president of Associated Artists Productions, announced at a trade press conference last month that his company’s program included twenty-four British-made films that had not yet been shown in this country, some of which star well known American and British players. Hyman stated that these pictures were ready for theatrical distribution only and, in response to a query, assured the trade paper reporters present that these pictures would not be made available for television showings until approximately two years after they have completed their theatrical run, thus giving the exhibitors a substantial clearance. Within one week after Mr. Hyman gave this assurance at the trade press conference, it was disclosed that television station KTLA in Los Angeles had acquired a group of 34 pictures from his company, among which were included three that were named by him as being ready for theatrical release only. In fact, the KTLA station chief disclosed that the deal contained a “unique plan” whereby these three pictures would be televised day-and-date with their theatrical showings in Hollywood. At the press conference, Mr. Hyman listed also a group of other productions, mostly American-made, as being ready for theatrical re-release, but from his latest announcement concerning his company’s negotiations with TV stations throughout the country it becomes apparent that the pictures he has listed for theatrical reissue are being made available also for television showing. As said before in these columns, many exhibitors, in view of the product shortage, may be tempted to book the AAP films, particularly since many of the pictures have well known stars. But since it is apparent that this company is selling its pictures indiscriminately to both TV stations and theatres, the exhibitor, to protect himself, must demand and obtain written guarantees that the pictures he books have not and will not be televised in his area until after the lapse of a specific period of time. PLANS FOR NATIONAL AUDIENCE POLL PROGRESSING The committee appointed by the Council of Motion Picture Organizations to set up plans for an annual national audience poll whereby the nation’s movie-goers would vote for the best picture of the year and the best actor and actress announced this week that it will recommend to the COMPO Governing Committee that the first poll be held from next Thanksgiving Day to midnight of the following December 7, and that the pictures eligible for the vote be those released and publicly exhibited betweeen November 1, 1954 and November 1, 1955. The original date set for the poll, when the committee drew up its first plans last June, was the first two weeks in January, 1955. But inability to get the poll underway for the January date, and a desire to avoid conflict with the Academy Awards in March, were given by the poll committee as its reasons for setting the Thanksgiving-December 7 date for the voting. Other details of the plan are being withheld by the committee pending a meeting immediately after the holidays with the COMPO Governing Committee, which consists of Sam Pinanski, Wilbur Snapcr and A1 Lichtman.