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2598 James B. Clark, Direct Examination.
the exchange pays the producer? A. I don't think so. Oh, yes, it does. They charge by the foot. It is a fact.
Q. So that a 950 foot reel might cost you |95.00, and a 1,100 foot reel would cost you fllO, of the same maker? A. Yes, sir.
Q. But you would include them in the program at the same price to the exhibitor? A. Yes, sir.
Q. I am going to ask you, Mr. Clark, a question which you may answer or not, as you like, because it goes to your private business. Is your independent exchange business profitable, or unprofitable? A. It is profitable.
Q. Are you at the present time actively competing for new customers for your different exchanges? A. Yes. Well, we have our programs pretty well filled in our schedule. If a man drops off, we go after a new one to fill his place.
Q. Do I understand that you are not trying to get additional or new ones just at present? A. Oh, yes, we have to try to fill up, if we have an opening. I am not familiar enough with it to tell you exactly what is doing in that line. We try to keep every day filled.
Q. What do you mean by saying your programs are "well filled in," or "filled?" A. Well, for instance, in one exchange, we have three reels per day. They run up to a hundred, and twenty days, and after that we don't consider them fit to put on a schedule, and we frequently drop it there; and if there is any open dates in between, of course we solicit customers to fill in there.
Q. Are your programs now in constant use? A. Yes, sir. There may be an open date occasionally.
Q. If you took on a considerable number of new exhibitors would you be compelled to make a larger investment? A. Yes, we would be compelled to buy eighteen more reels.
Q. Do you feel at the present time that you have all the exhibitors you can safely serve with eighteen reels? A. Just about, yes, sir.
Thereupon at 12:50 o'clock P. M. the hearings were adjourned until 2 o'clock P. M., to be resumed at the same place.