We use Optical Character Recognition (OCR) during our scanning and processing workflow to make the content of each page searchable. You can view the automatically generated text below as well as copy and paste individual pieces of text to quote in your own work.
Text recognition is never 100% accurate. Many parts of the scanned page may not be reflected in the OCR text output, including: images, page layout, certain fonts or handwriting.
Dalton Trust Company1
bank
Finance — Line of Credit Refused Producer Because of Decline in Quality of Product. A commercial bank was asked for a line of credit by a corporation producing motion pictures. Investigation revealed that the past financial records of the producer were very satisfactory but that present and future trade relations were unfavorable since the popularity of the corporation's product was decreasing. The line of credit, therefore, was refused.
(1928)
In January, 1928, a vice president of the Dalton Trust Company was approached by the treasurer of the Trojan Pictures Corporation1 for a line of credit amounting to $750,000. The purpose of the credit was to finance forthcoming motion picture productions.2
The Dalton Trust company, located in New York City, was one of the first banking institutions to engage in financing motion picture production. Prior to 1924 it had been the custom of the Dalton Trust Company to make loans to producers upon the assignment of a contract with a distributor. Such loans were liquidated through the payment by the distributor to the bank of an amount agreed upon by the producer and distributor as forthcoming upon the delivery of the negative by the producer; or through payment to the bank by the producer from his percentage share of the receipts from distribution. After 1924, however, as larger companies were formed to take over both the production and distribution of pictures, there was less necessity for the financing of individual productions and the bank had made it a practice, therefore, to grant lines of credit to such companies at the beginning of the production season. Loans against the line of credit were commonly liquidated when the distributor was securing rentals from exhibitor contracts. Most motion picture companies were free of bank loans by the month of March.
1 Fictitious name.
2 See Randolph Trust Company, p. 52; Prior & Reardon, Incorporated, page 46.
56