In the District Court of the United States, for the Eastern District of Pennsylvania, the United States of America, petitioner, vs. Motion Picture Patents Company, et al., defendants (1913)

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290 William H. Swanson, Direct Examination. 1 ning four at that time ; I had one closed up by orders of Mr. Dyer prior to that time. Mr. Caldwell: I object to the latter part of the answer, and move to strike it out on the ground that it is not responsive. Q. About how many customers, stating it approximately, did you have in the beginning of the year 1909, and by "customers/' I mean owners of theatres or exhibitors of moving pictures? A. I would judge between six hundred and seven hundred. Q. Were you familiar with the general business conditions at that time, in the moving picture art, that is, the names of your competitors, and the manner in which the business was done? A. Yes, sir. Q. Were there many men doing a rental exchange business at that time that had four or five branches? A. Yes, sir. Q. Were you one of the larger rental exchanges? A. I think at that time I was about the largest renter in the business. Q. There was an association of rental exchanges in the business in the year 190S, was there not? A. There was an association termed "Film Service Association'7 comprising the film exchanges and film manufacturers and machine manufacturers. Q. Were the film manufacturers that were members also engaged in the business of rental exchanges? A. Several of them were and several were not. Q. Which of the manufacturers were engaged not only in the manufacture but also in running rental exchanges? State to the best of your recollection. A. I don't know as to 4 whether the same corporations that manufactured film were the identical corporations running exchanges, but the individuals, comprising the corporations manufacturing film were in the rental exchange1 business. They consisted of the Vitagraph interests, George Spoor, Chicago; Selig, Chicago; Lubin, Philadelphia, and George Kleine, Chicago. Q. State whether there1 was in the year 1908 keen competition prevailing between what were known as the two factions of the motion picture business? A. There was. Q. What were those two factions? A. The Edison licensees, on the one hand, and the Independents represented