Motion Picture News (Mar - Apr 1926)

M arch 0, 1926 1079 West Coast Stock to Hoyt Syndicate Sol Lessees Interest in Theatre Circuit to Pass to Group of Franchise Holders and First National Executives SOL LESSER'S holdings in West Coast Theatres, Inc., amounting to about 30 per cent, of the stock in that corporation, are to be purchased by the Richard F. Hoyt Syndicate, composed of men prominent in First National and banking interests connected with that company, according to information from various sources this week. The syndicate includes Hoyt, a junior member of Hayden, Stone & Co., of New York, which is financially interested in First National, and Robert Lieber, Richard A. Rowland, Moe Mark, the Fabians, the Skouras brothers and the Gore brothers, according to stories. About 35 per cent, of the West Coast stock is owned by Fox, leaving approximately two-thirds in the hands of First National interests. The Gore brothers will manage the entire circuit for these interests and the expansion planned will bring the chain up to some 250 houses. Abe Gore and Sol Lesser have been in New York City for some eight weeks in negotiations with banking interests relative to new financing for West Coast. Gore returned to the Coast this week, leaving power ■of attorney. Final consummation of the <leal will be made in Los Angeles. New England Committee Chairmen Named HENRY P. SCULLY, president of the New England Film Board of Trade, has appointed the following committee chairmen and these chairmen, in conference with President Scully, will name the other members of the committees: Joint Board of Arbitration, G. J. Schaefer of Famous Players-Lasky Corp.; Acting Chairman of Board of Arbitration, M. E. Morey, American Feature Film Co.; Chairman Legislative committee, H. F. Campbell of the Fox Film Corporation; Chairman Transportation committee, John Scully of Educational Films, Inc.; Chairman Executive committee, T. Spry of First National Pictures of New England, Inc. Lesser, in a statement to the press several weeks ago, admitted that he was in the East in connection with a financial reorganization looking to further expansion of West Coast, which now embraces 169 theatres, but that did not know precisely what form this would take. He also stated that offers had been made to buy his interesl in the circuit outright. Finances have been offered him. it: developed at that time, for the development of an Eastern circuit similar in nature and policy to Wesi Coast, but be did not feel that the sum mentioned was in any way adequate for such an undertaking, the financial needs of which would be enormous. Lesser recently disposed of the screen rights to "The Winning of Barbara Worth" at a record figure to Samuel Goldwyn, although he had made unusually elaborate plans for its production. The two deals thus leave Lesser free to form any future connections desired, and speculation has been rife as to his plans. The report that he had gone to Atlantic City with Aadolph Zukor this week gave rise to rumors that Lesser would join the Paramount production forces, and others that he would become identified with the Publix organization, but there was apparently little basis in fact for these assertions. The deal by which the Hoyt syndicate takes over the Lesser holdings, against spirited bidding from other sources, may be taken to indicate a firm intention to keep First National solidly organized along its present lines. Pommer Sees New American Attitude Former Ufa Chief, Here for Negotiations, Says Co-operation Will Replace One-Sided European Relations THE American film indusry is rapidly reaching a new viewpoint in the matter of foreign trade relations, in the opinion of Erich Pommer, who recently resigned as a director of the Ufa of Germany. and who has been in New York for the pasl two weeks negotiating important details in connection with his future plans. "A lasting foreign trade cannot be built up on the principle of taking all and giving nothing," he says. "For many years, American companies accepted all the revenue they could extract from Europe without a thought of any return, and without thought as to ible future results of such a policy. "One such result is the German Kontin!*ent law, restricting imports into Germany on the basis of one to one. Austria,when I left, had decided upon a Kontingent of four or five to one. Hungary has a twenty to one ratio. "France, I am confident, will shortly ima law placing a tax upon every metre of film imported into that country, the revenue to be used as a government subsidy to French producers. The method of allocating this money has not been arrived at and is likely to prove rather difficult and unsatisfactory. "The various measures proposed in England are too well known to need repetition. Other European nations, too, are considering plans to protect their own film industries. "Had the American industry, in past years, shown a greater inclination to co-oper.ate with these various countries, such laws Seider Suffers Breakdown Woodhull in Post DUE to the strain of overwork during the negotiations on the Standard Contract, and other matters before the organization, Joseph M. Seider, business manager of the M. P. T. O. A., suffered a nervous breakdown last week and was ordered to Atlantic City by his physicians to recuperate. R. F. Woodhull, national president, will handle the duties of business manager in Seider's absence, aided by Julian Brylawski of Washington. It is hoped that Seider will be able to return to his desk next week. too much product in Europe. Each company's entire program has been forced onto the market indiscriminately, where a smaller group of selected pictures, each suitable for European tastes, would have grossed more money than the greater number, and at the same time would have built an unsurpassable reputation for the company which thus showed only its very best productions." Pommer returns to Europe on Saturday of this week, and will probably be able to announce his future plans before sailing. He hopes, in future, to be able to devote more attention and time to individual productions, rather than a large program of less worthy pictures. would not now be necessary nor would they be considered. "Meanwhile, I find American companies realizing more and more that the way to insure future profits is to give as well as take. They realize that a country cannot be drained dry and still continue to yield revenue, and that eaeli nation is entitled to co-operation which will keep its own national prod net ion alive. "Only the unusual American productions — those with some element of bigness or novelty— are succeeding largely in Europe today. Mediocre attractions, as in America, fail. The individual attraction is the tiling, and the machine-made picture will soon have no I dace in Europe. "American companies have tried to place Blunt Still Represents Brazil Company Henrique Blunt, American representative i i ompanhia Brazil Cinematographica, in New York, emphatically denies rumor current that he is no longer connected with South American Company. He announces that Francisco Serrador, president of the organization, is expected in New York in March, at which time they will discu> plans and a program for the future. According to Blunt, ('ompanhia Brazil Cinematographica, whose headquarters are in Rio de JaneriOj Brazil, has opened in that city three new first run houses in the past siv months. They are the Capitol. Gloria and Imperio. The Odeon, a replica of the New York Capitol, with 2,500 seats is scheduled i" be completed in April.