The Independent Film Journal (1954)

Washington Closeups Take Down, Concessions Up Preliminary estimates indicate film theatre total receipts from customers in 1953 dropped 17.1 percent below 1948, according to the Census Bureau. In its first survey of the industry since 1948, the Census Bureau collected information from a representative group of theatres and came up with an esti¬ mate of $1,323,838,000 total receipts in 1953, compared to $1,596,065,000 in 1948. Number of theatres in 1953 was 18,205, according to Census, compared to 18,509 in 1948. While admissions dropped 20.5 percent, from $1,244,355,000 to $989,868,000, receipts from concessions rose from $91,005,000 to $126,027,000 . . . up 38.5 percent in the five years. The concessions figures did not include sales by independent concessionaires operat¬ ing within theatres owned by others. Dividends High er Film industry corporation publicly de¬ clared dividends in April and May exceeded totals for the same months last year, accord¬ ing to the Department of Commerce this week. Total for April, 1954, was $1,241,000, compared to $1,216,000 in the correspondingmonth last year. May, 1954, reached $1,465,000, compared to $846,000 in the month last year. Tax Benefit To Exhib A joint House of Representatives-Senate tax group has agreed to permit exhibitors to defray more of the cost of investments in new equipment and buildings during the first few years following these expenditures. A Housepassed bill had suggested one method, while the Senate proposed several others involving more rapid depreciation allowances. The Senate version prevailed. Owner Damage Sought The question whether an injury to an exhibitor constitutes also an injury to the theatre’s owner, whose property would be depreciated by any conspiracy, is the ques¬ tion put before the U.S. Supreme Court by F. E. Harrison. Harrison, who owns a Phila¬ delphia theatre leased to Harry Fried, has re¬ quested a review of a case lost by Fried to the eight majors in a lower court. Har rison charges that the theatre he owns has been discriminated against in favor of a competing Warner theatre. He bases his claim for a review on the grounds that the lower court did not give proper weight to the findings of the Paramount case. Seek Punitive Damage Tax The Attorney-General’s office has asked the U.S. Supreme Court for a ruling on whether anti-trust suit punitive damages con¬ stitute taxable income. Both the Tax Court and the Court of Appeals have ruled the in¬ come non-taxable, but the Government claims it is under the lfith amendment. Suit involved is one concerning William Goldman Thea¬ tres, in which tax was not paid on punitive awards. Bill To Up Trust Fines A hill raising the maximum fine for anti¬ trust law violations from $5,000 to $50,000 has been favorably reported to the Senate by Senator William Langer of North Dakota, chairman of the Senate Judiciary Committee. The House passed the measure last year, and it has been met with approval by the De¬ partment of Justice, Cinerama Goes JV orld Mdde; Fox In Plans to establish Stanley Warner Cine¬ rama theatres world-wide were announced this week when S. H. Fabian, president of Stanley Warner Corp. signed an agreement with Nicolas Reisini, president of Robin In¬ ternational Inc., to open Cinerama theatres outside of the U.S. Reisini’s associate in this venture, Matthew Fox, film executive, initi Subcommittee Mulling Arbitration Plan Draft The joint exhibition -distribution arbitra¬ tion subcommittee has been meeting in several sessions this week to attempt to work out a draft of an arbitration plan for presentation to the entire committee, but no writing has been done as yet. The subcommittee members are still concerned with the settling of what such a plan should contain before doingactual work on the plan itself. Reports have been coming out of the com¬ mittee meetings that the men are reaching some progress in their talks, but no definite statements have been forthcoming. Early meetings were reported so successful that it was hoped that the writing of a draft could be started this week and finished by Aug. I, but there has been no further word on whether this goal could be met. Kansas Censorship Edict Ruled As Unconstitutional Kansas City, Ivas. — The Kansas censor¬ ship law had been ruled unconstitutional by Wyandotte county district judge Harry G. Miller, Jr., who based his decision on the U.S. Supreme Court’s ruling in “The Miracle” case, he announced. Judge Miller declared that the state law, one of the oldest of its kind, violates the first and 14th amendments to the U.S. Constitution. Judge Miller ruled that the state law is too vague and unspecific, turning censorship into a matter of personal opinion. Case was brought to court when theatre people pro¬ tested a state board of review loan on show¬ ings of United Artists’ “The Moon Is Blue” because the picture is “too sexy.” The review board will probably appeal the decision, it is thought. ated the negotiations some months ago, it was disclosed. It is planned to show “This Is Cinerama” in London and Paris sometime in the Fall, to be followed by Cinerama presentations in Rome, Tokyo and a city in \\ estern Germany before the end of the year, the company re¬ ports. After that operations are scheduled to be extended in certain other foreign countries. Overseas operations would be handled by Robin International, Inc., a firm dealing ex¬ clusively in foreign trade with offices in every part of the world. Robin represents some of the largest American enterprises abroad. Reisini has been engaged in foreign distribu¬ tion and is thus not a newcomer to the in¬ dustry. Reisini stated that he is “fascinated by the future of Cinerama because its export to foreip-n countries is more than a commercial enterprise. It is a remarkable example of American ‘know-how’ in the motion picture field, demonstrating a technical advance beyond anything known in the rest of the world.” Meanwhile, at a meeting of the board of directors of Stanley Warner Corp., a divi¬ dend of 25 f. per share was declared on the common stock of the company payable Aug. 25 to holders of record Aug. 4, 1954. Loew’s 40Week Profit Disclosed As $7,345,482 Net operating profit of Loew’s Inc. for the 40 weeks ended June 10, 1954 rose to $7,345,482 before tax and emergency reserves, com¬ pared with $5,685,184 for the same period of the preceding year, the company reports. Net profit for the period after taxes was reported as $4,466,376, equivalent to 87 cents per share, compared with $3,185,871 or 62 cents of the year before. Net operating profit for the 12 weeks ended June 10, 1954, was $2,158,831 before taxes and $1,267,210, or 25 cents per share, after taxes. Figures for the corresponding period of 1953 were $1,865,697 before taxes and $1,014,142, or 20 cents, after taxes. Gross sales and operating revenues for the 40 weeks were estimated at $138,250,000 against $133,612,000 last year. SPQ Milestone Award To Schencks J. M. Schenck Hollywood. — Joseph M. and Nicholas M. Schenck will be presented with the Screen Pro¬ ducers Guild annual Milestone Award for their “historic contributions to the motion picture in¬ dustry” at the Guild’s mid-November dinner, ac¬ cording to Arthur Freed, SPG president. Nicholas M. Schenck is president of Loew’s, Inc. Joseph Schenck, who co-founded 20th Century Pictures, is board chairman of United Artists Theatres and Magna Theatre Corp. Commenting upon the fact that this marks the first time that the award will be presented to joint recipients, Freed explained that “both men are steeped in the history of the ing distribution, exhibition their contribution know it today film industry, includand production, and to the producer system as we has been immeasurable.” The N. M. Schenck Schenck brothers were an unanimous choice for this year’s award, he revealed. 4 THE INDEPENDENT FILM JOURNAL — July 24, 1954