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 (1914)

Record Details:

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2580 James B. Clark, Direct Examination. Q. As the owner of an independent exchange, or two independent exchanges, at the present time, do you find it feasible to transact business on a smaller amount of motion pictures per month than that specified in the Motion Picture Patents Company license? A. Have to buy more than that. Q. How much do you average a month in your two exchanges? A. Well, one exchange buys eighteen reels a week, and the other one twenty-one reels. Why it is easy enough to figure it out. Q. How much would that figure out, roughly speaking? A. Twenty-one would be about $2,100 per week. Well, one orders at least eight thousand dollars' worth per month, eighty-four hundred dollars. Q. And the other one? A. 18 reels, at 12 cents per foot. Q. Would that be pretty nearly the same thing? A. Yes, sir, pretty nearly. Q. About $2,160 per week, isn't it? A. It would be about eight thousand dollars per month, yes, sir. Q. Is there any minimum requirement by the Mutual or Universal at the present time with respect to renting film, on the part of an exchange? A. Yes, sir. Q. What is their minimum requirement? A. The Mutual is eighteen with us, and the Universal, twenty-one. Q. By that you mean per week? A. Y^es, that is the number of reels per week. Q. Now, let me see if I make myself clear. Do they insist that you rent at least that much? A. Yes, sir. Q. At the time the release day rule was adopted, did you regard that with approval or disapproval? A. Why, I approved of that. Q. What was your reason for approving of the release day rule? A. Well, it released the films, for instance, in our territory in Cleveland and Pittsburgh on the same day, and while it deprived us of shipping first run films into Cleveland, it worked the same way with Cleveland and Pittsburgh. In other words, we were then able to handle our own city, and Cleveland handled its own, with first run films. Q. Upon what does the value of motion picture service depend? A. Principally upon the age of the film. Q. And would you say that competition between exhibitors largely consists in striving to get newer service? A. Yes, sir.