Motion Picture News (Jul - Sep 1929)

A II (J II s t 10, 1929 523 Allied Negotiating With Producer Group; Myers Claims 1600 Members WON'T AFFIRM OR DENY Executives Of Companies Refuse To State Status Of Reported Deal With Allied States EXECUTIVES of three bi^ companies mentioned in the neootriations of prodiicers-distributors with the Allied States Association were sought on Thursday in an effort to obtain the status of the negotiations l)ct\veen thfinselves and thf independent exhibitors. Lee Marcus, of Radio Pictures, stated that there was nothing that could be said at this time, but that he would have an important announcement to nmke within <. short time. Radio Pictures, according to insidti information, has already come to an agreement with the Allied heads. Joseph Brandt, president of Columbia, fii-st denied that he knew anything of a deal and later admitted that there were some negotiations several weeks ago with Allied but that nothing further had been done in the matter. At Universal it was said that R. H. Cochrane was out of town for the day. Lou Metzger, general manager of the organization,-stated that if there were any negotiations between any of the executives of his company and the Allied he wanted to know about it, adding that a deal of the nature outlined would certainly interest him. During the week there was a statement issued by L. P. Sawj'er, of RCA, wliich, while bri'el, was decidedly to the point, in the light of the reported 'phone discussion with one of the attorneys of the Hays organization. The statement was as follows: "RCA Photophone, Inc., is engaged in the business of selling sound equipment and certainly will not bring about a situation where one group in the industry can buy more advantageously than another groui> under the same conditions." Which means simply that RCA intends to do business with whom it pleases, regardless of any interference that any group in the industry intends to place in its path. Any group of exhibitors can do business with RCA as a group and thus obtain the benefits of the discounts that would be given to any other group that consolidated its buying power. This company is affiliated with Radio Pictures and would naturally follow with them in any deal that was made with the Allied States. U's Milwaukee Subsidiary Chain Is Now 100% Wired The Milwaukee Theatre Circuit, a subsidiary of Universal, is now equipped with Western Electric sound apparatus 100 per cent. The six remaining houses — the Downer, State, Juneau, Riviera, Lake and Kosciusko — opened with talkies this week. Gloria Swanson Sails For London Premiere GLORIA SWANSON sailed last Saturday, August 10, on the S. S. Olympic to attend the world premiere of her latest United Artists vehicle, "The Trespasser," at the New Gallery Kinema on September 9. When the boat docks at Cherbourg she will take the train for Paris, where her husband, the Marquis de la Falaise de la Coudraye, will meet her. Virginia Bowker of Chicago the actress" chum since their early days in Essanay pictures, accompanies her. Before sailing, Miss Swanson recorded two songs for Victor: Toselli's "Serenade" and "Love," by Edmund Goulding with lyrics by Elsie Janis. Ohio May Be Scene Of Battle Between Publix — Warner Both Have Obtained Many Sites In State; Warners Obtain Syracuse Strand Ap})arently well-authenticated rumors whisper that Ohio is to become the battleground of a struggle for theatre supremacy between Publix and Warners. A current report from Cincinnati, 0., is to the effect that a former prominent Columbus exhibitor has secured more than a dozen options on houses in Ohio for Publix, the sites extending from the Ohio River to Lake Erie. A large real estate operator of Cincinnati has also been mentioned as having taken a great n\nnber of options on desirable theatre sites for Warners to build. The Warner sites are said to be located in Hamilton, Middletown, Mansfield and other equally important Ohio cities. The Strand in Syracuse, which figured in recent news reports because of competition between Publix, RKO and Warners to secure it, has been definitely acquired by the Warners. The deal will be closed within ten days, it is expected, with Warners assuming complete control not lateithan Sept. 1. Warners will take the house on a ten-year lease, the rental being reported as $25,000 for the first five years and $48,000 for the second five. It is said that those at the helm of the Strand rejected a proposition from Paramount for the purchase of the theatre at a figure approximating $400,000. The Strand occupies a site owned by Thomas Anderson of Syracuse, the theatre company renting the land on an agreement having 46 years to go. It is understood that the company is seeking a further 50-year extension at the present time. CONFERENCES ARE HELD Radio^ Universal^ Columbia And Others May Associate With Myers' Exhibitor Organization As affiliati(jn with producing and distributing interests in Avhich at least three if not more companies would be included, formed for the purpoi5e of guaranteeing to the independent and noncircuit affiliated exhibitors of the country an uninterrupted fiow of sound productions at a cost basis that is to be figured on their combined buying power, was in the process of negotiation this week. The exhibitor group is the Allied States Association of Motion Picture Exhibitors. The companies that are reported as in negotiation with the exhibitor body are Radio Pictures, Universal and Columbia. In addition to this, through the Radio Pictures participation, the RCA Photophone is said to be a party to the deal. Abram F. Myers, head of the Allied movement, with Al Steffes and H. M. Richey, have been in New York for several days this week carrying on the negotiations tending toward bringing about a direct affiliation of the three companies named and their exhibitor members. It is possible that a meeting of the heads of the various state organizations in the Allied will be held in New York or a central point where they can all conveniently foregather for a final discussion of the plan and the affixing of signatures to a contract which will bring about a new producer-distributor-exhibitor affiliation. Neither Mr. Myers nor his two associates would state anything for publication in regard to the reports that have been in the air for more than a week, regarding the possibility of a hook-up between their association and a group of producers. Radio Pictures were fii-st mentioned as a possibility to the arrangement and they are reported to have already agreed tentatively to a contract under which they are mlling to co-operate with the exhibitors. Columbia and Universal are said to have been the next to have joined the movement. The Myers faction claim that they have 1,600 independent theatre members in the various state organizations associated with them and this number would give the producers and distributors an assured number of outlets for their product. In the case of Radio Pictures the step is significant in view of the determination of this organization to become actively engaged in the theatre field, either through affiliation, the purchase of partnerships, or by the extending of their present vaudeville theatre holdings. In the carrying on of the negotiations with the various companies there was no pledge of secrecy asked or pledged, but those active in the conferences held their own counsel pretty much, and refused to talk about the status of the negotiations.