Motion Picture News (Jul - Sep 1929)

1048-f Motion Picture Netvi Key City Exchangemen From Nineteen Zones Form National Producing And Distributing Co. Plan Is Outlined When The Group Elects Officers At Chicago Meeting Last Week A GROUP of exchange men from nineteen important key cities met in a three-day session at the Stevens Hotel in Chicago last week, and completed the first steps for the organization of an independent national producing and distributing companj'. Officers were elected and a charter under New York State laws has been applied for. It is the aim of the company to acquire and produce outstanding product for the world markets. In addition to taking the preliminary steps to picture production, such as acquisition of story material and whatever other preparatory moves are necessary before turning over the manufacture to an independent producer, the grou]) will actuallj' enter production itself by later on acquiring studio facilities and the signatures of motion picture players. The plan, as it would be submitted to Coast producers, will guarantee a national distribution of product and a minimum fixed pi-ofit on each negative, profit to be increased as grosses increase. The exchange men will form a board which will work M'ith the producer throughout production. The board will make its headquarters in New York City, where it will also engage a special representative for contact with buyers for the larger circuts. Company Leaders Adolph Pollak, of Hollywood Pictures Corporation in New York City; Maurice Chase, of Chase Pictures, Buffalo, N. Y. ; Irving Mandel, Security Pictures, Chicago, and L. Korson, of Masterpiece Pictures, Philadelpliia, are the leaders in the movement. They arc, respectively, president, se(!retary, vice-president and treasurer of the new organization. Mr. Pollak, when questioned on his return to New York this week a,s to further developments, stated that there was nothing further to disclose at present except that a substantial sum had been paid in to finance operations, and that the combined r(!sources of the group would assure the proper working out of the company's plans. In addition to other bookings, Mr. Pollak stated that the exchange men's affiliations with certain theatres and their ownership of small circuits in their respective zones would provide a positive outlet for product. Both Pollak and Chase are credited with aggressiveness in bringing about the formation of the company. Pollak explained that it is the result of an idea, born three or four years ago, to select an important exchange man from each key city that each might direct and share in the indei)endeiit production and distribution of the motion picture. As the situation now stands the CJanadian Professor To Sift Monopoly Charge OTTAWA, Ont.. Sept. 19.— A study of conditions in the moving picture theatre business in Canada under the combines investigation act, will be undertaken by Kenneth W. Taylor, professor of economics of McMaster University, Toronto, who has been appointed to the task by Hon. Peter Heenan, Federal Minister of Labor. The investigation is being made to satisfy a number of independents who have been complaining that the film industry in the Dominion is a monopoly. Upon the report of Professor Taylor will depend whether or not the Government will authorize a royal commission to hold an inquiry into moving picture business relations. Nearly Twelve Million, Warner Nine Months' Net Represents A Gain Of Ten Million Over Last Yearns Period Warner Brothers net profit for tlic nine months ending June 1st, 1929, is rei)orted by the company to be .$11,957,700, which includes equity in subsidiary and affiliated company profits during a period prior to date of acquisitions. It is an equivalent, after deducting dividends amounting to $9.58 per share, earned on 1,185,826 no par value shares of common stock outstanding at the end of the period. The corporation's equity in earnings of the companies acquired between Aug. HI, 1928, and June 1, 1929, included above for .the period to the date of their acqijisition amounted to $1,198,054. Capitalization of Warner Bros, on June 1, 1929, consisted of 360,987 no par shares of preferred stock and 1,185,826 no par preferred common. On June 27, 1929, the corporation split its common on a two-forone basis. Net profit of the companv for nine months ended May 26, 1928 amounted to .$1,12.3,947 equal to $2.04 a share on the combined 550,000 shares of the year previous. following exchange centres were represented at the Chicago conference: New York, Washington, Chicago, Detroit, Albany, Cincinnati, Milwaukee, Omaha, Dallas, Denver, Philadeli)hi;i, Boston, Pittsburgh, Bulfaio, Cleveland, Kansas City, St. Louis, Des Moines and Oklahoma City. Heavy Insurance List Carries Many Film Names At Top Fox, Schenck, Lasky, Zukor Lead Producers; Barrymore Heads Actor Division Four prominent picture producing heads, William Fox, Joseph M. Schenck, Jesse Lasky and Adolph Zukor are not only the most heavily insured persons in this industry but come within an ace' of heading a list of three hundred and twelve people in the United States who are carrying insurance policies for more than a million dollars. In addition there are over a dozen other picture personalities included in this classification. The report was published by the insurance periodical, "The Spectator." Fox heads the picture people with a total of $6,500,000 worth of policies, or but $500,000 less than the list's leader, Pierre S. du Pont. The amount covers both personal and business interests. Next, or fourth on the list is Joseph M. Schenck of United Artists with policies amounting to $5,250,000; fifth, Jesse Lasky with $5,000,000; and sixth, Adolph Zukor Avith $5,000,000. Others include Samuel L. ("Roxy") Rothafel, with $2,425,000; John Barrvmore, actor, with $2,000,000; Cecil B. DeMille, producer, with $1,750,000; Norma Talmadge and Joseph ("Buster") Keaton, with $1,250,000 each; Gilbert Roland, actor, listed as "over a million;" Will Rogers, $1,000,000; Arthur Stebbins, in the insurance business himself, $1,000,000; John J. McGuirk, former Stanley Company official, $1,000,000; Al Jolson, $1,000,000; Mary Pickford and Douglas Fairbanks, $1,000,000 each; Constance Talmadge, $1,000,000, and Eric Von Stroheim, $1,000,000. Columbia Buys Entire Plant Of Horsley Laboratory Hollywood, Sept. 19. — Columbia has purchased the entire capital stock in Horsley Film Laboratories, and immediately acijuires the property, plaut and equipment of the laboratory. All negative and positive prints of Columbia will go through the newly acquired plant, which has a daily capacity of about 250,000 feet of film. The Horsley property adj'oins Columbia studios, providing the producing company with a compact grouping of the two properties for efficiency and speed. Sheldon To Assume Post At Paramount L. I. Studio E. Lloyd Sheldon, for the past two years an associate producer at the Paramount West Coast studios, joins the supervisorial group at the Long Island studios early next month. He will supervise the production of two of the New Show World Group of all-talkies.