Motion Picture Daily (Jun-Aug 1931)

MOTION PICTURE DAILY Friday, August 14, 1931 MOTION PICTURE i DAILY KegistereJ U. S. Patent Office Formerly Exhibitors Daily Retiea and Motion Pictures Today \i.|. .ill Aiisust 14. lO.n No. 64 Martin Quicley Edilor-in-Chief and Publisher MAURICE KANN Editor JAMES A. CRON Adiertising Manager ^^M\ PUBLISHED daily, e.xcept Sunday f jlj and holidays, by Motion Picture X«IX Daily. Inc., a Quigley Publication, ^ at 1790 Broadway, New York. Telephone: Circle 7-3100. Cable address: "Qui^ubco, New York." All contents copyrighted. Hollywood Office; Pacific States Life Building. Nine and Yucca Streets; H^illiam A. Johnston, Manager. Chicago Office: 407 South Dearborn Street; Edzvin S. Clifford, Manager. London correspondent : W. H. Moiring, The Bioscope. 8-10 Charing Cross Road. London, W.C. 2. Berlin correspondent: Alfred li'einer, "The Film Kurrier," Berlin, W. 9. Entered as second class matter January 4. 1926. at the Post Office at New York City, N. Y., under Act of March 3. 1879. Subscription rates per year, including wstage $10 in the United States and Canada; foreign $15. Single copies. 10 cents. 6-Moiitli Dividend Passed bv Union S^-DNEY — Requiring $70,000 to pay the guaranteed preference dividend, directors of Union Theatres Investments, Ltd.. have been compelled to notify preference shareholders that the usual half-yearly dividend must be deferred. In a circular, the directors state that negotiations have proceeded with a view to stabilizing the finances and trading activities of Union Theatres. Ltd.. for which the company is guarantor. Until those negotiations are successfully concluded, no funds are available for distribution. In further explanation, the directors state, that, in common with other businesses, L'. T. Investments is passing through a particularly difficult periofl. and the immediate outlook show.-> nfi sign of improvement. "BUY RIGHT— BUT BUY NOW Dropping Spanish Films -Siiani.sli talking pictures will be discontinued at the San Jose, 110th street and Fifth ave., for legitimate Spanish productions on .September 1. Talent and entire production units will be imported from .Spain by Manhattan Playhouses. In changing the .San Jose policy the Spanish pictures will be shunted to the Regan on 116th street. The Mt. Morris will add five acts of vaudeville in addition to picture programs. "BUY RIGHT— BUT BUY NOW Incorporations Dover, Del. — Charters were filed here by ; Convex Screen Corp., to "do general moving picture business." Capital, $lfK).0(X). Represented bv C. S. Peabbles, L. E. Gray and H. H. Snrjw of Wilmington, Del. New Screen Corp., to "do general moving picture business." Capital, $1,100. Represented by C. S. Peabbles, L. E. Gray and H. H. Snow of Wilmington. Del. The Western Television Corporati'jn of Chicago, increased its capital from 100,000 to l,irX),0(X) shares. Purely Personal JOHX CALL.A. manager of the X'alentine and Strand in Canton, O.. is accepting a bushel of wheat in place of the regular admission fee. It is being ground at a local mill and distributed by the Salvation .\rmy among the needy of the city. J. J. Greene has become manager of the Lou-Mo Theatre in Louisiana, Mo. He will also supervise the operation of theatres in Morganfield, Kv., and Vandalia, Mo. George Gerhard has received a wire from the Coast on Billie Dove's ".■\ge for Love" and from indications it may mean the comeback for the star. P.\iL Bi'RGER has been keeping it a secret. He formerly was a member of tlie staffs of Harper's Weekly and Collier's. That's before he decided to sell fillums. M.M'RTCE B.\RON. conductor of the Roxy symphony orchestra, sails tomorrow on the Paris for a visit to his native France. Helen' Mack, Broadway stage player, has left for the Fox Coast studios. She was signed in New York while Winfield Sheehan was here. Coi.iN' Clive arrives in New York on the Aquifania Friday en route to L'niversal City, where he will appear in "Frankenstein." En FixxEY of United .Artists had to cut his vacation short due to rush of work on advertising of new season pictures. Creed Neeper of the Harold Lloyd office was the entertainment committee during the New York visit of Harold's mother. Harlev L. Clarke week is to be observed by Fox theatres beginning September 13 in honor of the company president. "New Show Year" "A New Show Year" is the observance to herald the new season adopted by Fox theatres. No given date is set for the various theatres, each manager timing his campaign on new season bookings. Lawrence O'Sullivan, another Broadway player to be signed by Fox, has arrived on the Coast. Louis Nizer's tan matched perfectly with his chestnut colored suit yesterday. It was a natural symphony. Dave Li'Stig has gotten out another of those brochures. The latest is "The Diary of a Gigolo." Val Lewton of M-G-M's publicity department is vacationing. "BUY RIGHT — BUT BUY NOW Grainger Elevates Two to Managers James R. Grainger has promoted two Fox salesmen to managerships. .\\ Davis, formerly salesman at the Philadelphia, has been named manager of the Milwaukee branch, succeeding Harry Melcher. Ernest Landiache, of the New Orleans branch, now is head of the Charlotte office, succeeding W. Fuller. "BUY RIGHT — BUT BUY NOW Ochs Seeks Valentine Lee Ochs is understood to be dickering to take over the Fox Valentine in the Bronx. Recently Ochs took over ten theatres from the same circuit. "BUY RIGHT — BUT BUY NOW" Must Learn to Walk Hollywood — Joan Bennett must learn to walk again when her fractured hip and spine injury mends. ■She will suffer no permanent disability, however, her physician states. Stocks Show Gain; W. B. Pfd. Up 4V2 Net Hir;h Low Close Change Sales Eastman Kodak 14.V/^ l.W/i 142 +,! .3,600 Fox Film "A" 1354 12'/ 13!^ + V» 9.400 General Theatre Equipment new 2Va 2 2Vn -j K 5,900 Ixj^-'s, Inc 475^ 46 46^ -|-1}^ 11.500 I.oew's. Inc.. pfd 9^ 92 92 -j i/^ 100 Paramount Publix 23^ 227/« 23i/4 + Vz 5, "00 Pathe Exchange 15^ VA I'A 300 Pathc Exchange "A" 6^4 6 65-4 -| 'A L.IOO RKO 14% 14 14^ + Vi 9..SO0 Warner Bros 8!4 7^ 8 + ^ 11,000 Warner Bros, pfd 21 20 21 +4^ 300 Curb Issues Unsteady High Low Fox Theatres "A" 2V» 2'A General Theatre Equipment pfd 4 3W Sentry Safety Control 54 5^ Technicolor 7 7 Trans Lux 5,14 45^ Bonds Irregular; P. P. Drops 2 Net High Low Close Change General Theatre Equipment 6s '40 .^5 22^ 23J/1 -fl I. 'lew's 6s '41 ex war 99 ggi^ 9gj,^ Paramount Publix Sj/js, 'SO 7R14 77 77 —2 Pathe 7s '.17 ww 9.?^ 925^ 931^ ^ y^ Warner Bros. 6s '39 wd S\^i 49 51f^ +1^ Net Close Change Sales 2'4 % 500 m 'A 800 •« Va 100 7 100 5/4 + V2 1,400 Sale Big Operators Gain by Ruling On Income Tax (Continued from page 1) 1930. The larger companies, however, on which the depreciation or amortization write-off had been set at ten years, will gain through the new ruling. The government's decision reads : "Regarding deductions to be allowed motion picture corporations for depreciation or amortization of the cost of installing sound talking equipment, the cost of the installation of original sound equipment should be written ofif over five years, the service and inspection payments are allowable deductions. the incidental repairs which merely keep the equipment in ordinary efficient operating condition should be deducted as expense items and repairs in the nature of replacements with a life in excess of one year should be classed as capital expenditures or be charged against the depreciation reserve." TTie term, "capital expenditures," refers to the installation of new parts, such as rnotors. Instead of writing off the depreciation on these new parts on the five-year basis, the cost is written off, it is pointed out, on the basis of the balance of the write-off period on the original equipment. In other words, it was said, if a new motor is purchased after the original equipment is three years old, the depreciation on the motor should be written off in two years. In explaining the ruling, A. J. Michel, general auditor and assistant treasurer of Paramount Publix, took as an example a $'10,000 installation. Under the earlier federal decision the depreciation, in computing taxes, would be at the rate of $1,000 annually. The present ruing increases the depreciation write-off to $2,000 a year. The saving to be effected by the larger companies is potential, owing to the fact that several of the larger companies have based their tax compulations on the fiveyear vyrite-off period during the controversy with internal revenue executives. In view of that fact no refund by the government will be necessary. Discussions with the government agents began m Washington and later were referred to New York, from which oiifice the decision was rendered. "BUY RIGHT— BUT BUY NOW 2 RKO Reports Comparative reports for Orpheum Circuit, Inc. and subsidiaries and Keith-AIbee-Orpheum and subsidiaries for six months' ended June 30, 1931 are as follows ; Orpheum Circuit loss from operations for 1931 was $186,068.98 against a loss of $92,613.71 in 1930. Profit from other sources was nothing in 1931 against $32,283.20 for 1930. Net loss this year is $186,068.98 as against $60,330.51 for 1930. Keith-AIbee-Orpheum corporation profits from operations for 1931 amounted to $672,656.28 as against $17,412.26 loss in 1930. Profit from other sources in 1931 was $18,467.50 as against $78,009.30. Net profit for 1931 is $691,123.78 compared with $60,597.04 in 1930. "BUY RIGHT — BUT BUY NOW Rembusch Buys Fox Indianapolis — George Landis, manager of the local Fox exchange, has signed the Frank Rembusch circuit for the entire line-up of product for the new season. "BUY RIGHT — BUT BUY NOW Grainger Plans Trip James R. Grainger will leave for the Coast next week on his annual visit to the studios. On his way he will stop off at San Francisco and Los Angeles to close pending booking deals.