Motion Picture Daily (Jun-Aug 1931)

The Leading Daily Newspaper of the Motion Picture Industry MOTION PICTURE DAILY Formerly Exhibitors Daily Review and Motion Pictures Today Alert, Intelligent and Faithful Service to the Industry in All Branches VOL. 30. NO. 64 NEW YORK, FRIDAY. AUGUST 14, 1931 TEN CENTS Big Operators Gain by Ruling On Income Tax But Small Exhibitors Lose on 5-Year Plan I • Offering estimated saving of $3,300,000 to $4,000,000, for large theatre operators and producers, and an unestimated loss to small theatre operators, the internal revenue department in New York has placed on a fiveyear basis depreciation write-off on "original sound equipment" in computing tax returns. The smaller exhibitor who has been writing off cost of installation over a period of only two years will, it is understood, be placed on a fivevear basis, with the prospect in view of making additional payments to the government on taxes for 1929 and (Continued on page 2) "BUY RIGHT— BUT BUY NOW" Judge Rules Buyer Must Keep Operator Oklahoma City— Union operators here won a victory when District Judge R. P. Hill ordered D. G. Johnson, owner of the Isis, second run house, to use union operators, under contract made with the union by the former owner. Johnson, who bought the theatre three weeks ago from the Griffith Amusement Co., said he would close the house to defeat the injunction. One hundred members of_ the union (Coiitiniicd on pafic /) "BUY RIGHT— BUT BUY NOW" Copyright Suits Are Filed in Now Orleans New Orleans Unauthorized holdover of pictures s charged in Federal suits for d nages brought here against Ernest . -oehringer, operator of the Temple and People's Theatres at Baton Rougf by M-G-M, Fox, Warners and Vi.^graph. The actions are broughtunder the (Contmv ■' on page 7) New R ith Offer Hollywood — Paramount has a propositio to submit to Ruth Chatti ton in a few days. If s' i accepts, her Warner contr:.ct will be abrograted, it is s aid. Her advisors are sileni pending advice as to the tenis to be ofifered. Want Fox Included Sales policies of Fox are objected to by 11 of the 21 exhibitor units, representing both M.P.T.O.A. and Allied affiliates, which have promised to attend the national protest meeting against M-G-M sales policies scheduled for New York. These exhibitors object to the substitution latitude given Fox under its contract, stating that they are not sure of getting a large percentage of the stars and stories upon which they base purchase of the product. 25 More Chi Houses Dark Next Monday Chicago — Twenty-five more theatres on ]\'Ionday will join the ranks of the 107 now dark in protest against the two-man edict of the Chicago operators' union. Meanwhile, both sides are holding their ground, operators insisting that only on a two-man basis can peace be secured, and exhibitors just as insistent that they . will reopen only if granted the one-man concession. Four of the dark houses reopened {Contir.tteil on page 6) "BUY RIGHT — BUT BUY NOW" Color Film Return Predicted byNemec Comeback of color film ne.xt year is forecast by Frank Nemec, president of Photocolor, who says that negotiations now under way for use of his firm's process indicate a definite trend toward color. Photocolor, he says, has been marking time in order to improve its process, but will start activity in September. The company (Contlnitcd on page ~) "BUY RIGHT — BUT BUY NOW" Sloane Quits to Get '^Perspective on Life*' Hollywood — Paul Sloane will retire after making "The Lost Squadron" for Radio. He says he is tired of the picture business and is retiring to "regain my perspective on life." Radio is paying Dick Grace, stunt flyer, $20,000 for the story of "The Lost Squadron" and has taken an option on his next story for $35,000. He also has been assigned leading role in the picture. CALL FOR PROTEST MEET IS SOUNDED Allied Backs Zoning Test In Nebraska Suit brought at Lincoln, Neb., to tes*: the legality of protection in the Omaha territory is backed by Allied States -Association and is the first of two test suits scheduled to be instituted in Allied territory. Allied contends that protection agreements in cases where a certain group of e.xhibitors are not represented in the negotiations are illegal. The organi,zation has taken a stand against any kind of zoning agreements. Plaintifif in the Lincoln suit is W. X. Youngclaus, Madison, Neb., exhibitor, who brought complaint in Federal Court charging Omaha exchanges, their managers, Publix and the M.P.T.O., of Western Iowa and Nebraska with conspiracy in restraint of trade. Chic.\go — Allied is doing all it can to get rid of protection, W. A. .Stefifes said in commenting on the subject. He refused to comment on report that Allied was backing the Lincoln, Nelx, test suit on protection. "BUY RIGHT — BUT BUY NOW" Chase Official New Executive at Fox Charles E. Richardson, from the in\estment service department of the Equitable Trust Company, subsidiary of the Chase National Bank, is to join the executive staff of Fox Films. No official announcement of the connection has been made but it is expected that a formal statement will be forthcoming next week. Richardson was unavailable for a statement and none was to be had from the Fox offices, or those of the {Continued on page ") "BUY RIGHT — BUT BUY NOW" Rinzler and Frisch After 18 in L, /. With Sam Rinzler resigning from Fox Theatres August 31 to join Louis Frisch, his partner, in operation of 17 Brooklyn houses, reports continue that in addition to acquisition of another group of Brooklyn theatres on September 1, the partners are dickering {Continued on page 7) 'Philly" Zone Unit Asks National Confab on M-G-M Policy Protest meeting of exhibitors against sales policies and contracts of M-G-M, to be held in New York at an early date, is asked in a call sent to exhibitor units throughout the country by the M. P. T. O. of Eastern Pennsylvania and Southern Delaware. Date of the meeting is to be set within the next three days, it is promised. Every exhibitor organization in tl/s United States has been requested to attend the protest meeting regardless of affiliation. To date, it is reliably learned, 21 associations have expres {Continued on page 6) MPTOA Not Advised On Protest Meeting Proposed national protest meeting of exhibitors against sales policies of M-G-M has not been brought to official attention of the M. P. T. O. A. Under the usual procedure, the matter would have to be submitted to the president and board of directors before any stand on the proposed meeting could be taken. Myers to Attend Meeting in New York CHK^^G0 — Abram F. Myers, president of .Allied States Association, here for conferences with W. A. Steft'es, H. M. Richey and Aaron Saperstein, on the Chicago operator strike and other .Allied matters, plans to attend the proposed national protest meeting against sales policies of M-G-M. Allied in a recent bulletin attacks contracts of M-G-M and Fox and decries the lack of general adoption of clauses agreed to at the 5-5-5 confer Score Charges on Pan Score charges will be one of the subjects discussed at the national protest meeting to be held in New York at the suggestion of the Eastern Pennsylvania and Southern Delaware exhibitor unit. Agitation for elimination of the score charge is being made by all of the 21 units which so far have signified their intention of being represented at the New York meeting.