Motion Picture Daily (Jul-Sep 1934)

The Leading #ews^e% Moti^l Picture Industry MOTION PICTURE DAILY Alert. Intelligent Faith f.«/j n Servic^lto the IndMry in All Branches VOL. 36. NO. 38 NEW YORK, WEDNESDAY, AUGUST 15, 1934 TEN CENTS M-G-M Profit $1,566,072 For 12 Weeks Equals $10 J6 Per Share On Preferred Stock Metro-Goldwyii-Mayer Pictures Corp. reports a sharp increase in profit for the three months ending June 7, 1934, as compared to the corresponding period of last year. The net profit for this year, after subtracting Federal taxes, amortization and depreciation, amounted to $1,566,072, as compared to $330,362 last year. This is equivalent for the 12-week period to $10.16 per share on the preferred stock. Last year in the same period the profit was $2.09 per share. Operating and miscellaneous income totalled $8,029,610. Amortization of negative and positive costs and depreciation totalled $6,194,618, and Federal taxes were $268,920. Breen Will Confer On Fan Interviews Hollywood, Aug. 14. — Joseph I. Breen, with all major studio publicity directors, will meet with representatives of fan magazines here tomorrow night to clarify the resolution adopted last week which regulates the activities of fan magazine writers where contract players are concerned. Fox Midwest Plans To Classify Pictures TopEKA, Kan., Aug. 14. — Fox Midwest Theatres will classify all films during the 1934-1935 season according to whether they are family or (Continued on patic 8) No Walking to Do Topeka, Aug 14. — Thanks to the foresight of Harry A. McClure, Fox Midwest district manager here, and in charge of convention arrangements. Fox managers haven't far to go to attend the screenings scheduled during their annual pow-wow. The Jayhawk Hotel, convention headquarters, and the Jayhawk Theatre, scene of the screenings, are under one roof with corridor connecting. Code Charges Revision Looms Due to Protests Blumenthal Has a New Offer For Fox Met Houses^ He Says A. C. Blumenthal has an offer for Fox Met which, he says, is better than anything yet presented. He admitted to Motion Picture Daily yesterday that Saul Rogers was representing him. Rogers has been scheduled to present the plan to U. S. District Judge Mack tomorrow in Blumenthal's behalf. No action on it, however, can be taken until the court decides next Tuesday whether to accept the petition for reorganization under the new bankruptcy laws. Blumenthal will not say who is associated with him in his proposal. Blumenthal says he is the largest approved creditor of Fox Theatres Corp. Fox Met Plan Goes Over to Next Tuesday Declaring that only bondholders had a right to file a petition for reorganization. Judge Julian W. Mack yesterday stated that stockholders whose certificates are worthless cannot file plans for reorganization of Fox Metropolitan Playhouses. He pointed out that Fox Theatres, which owns all common and preferred stock in Fox Met., has been in receivership for the past two years and that the stock is worthless and hasn't been (Continued on page 8) Jersey Allied Dual Move Gains Ground Progress was reported vesterdav by the duals' committee of Allied of New Jersey. Additional signatures are being obtained from Allied members and the circuits are expected to come through shortly. From present indications the single feature plan will not go into effect until after Sept. 3. Diamond to Produce Abroad for Columbia Preliminary negotiations were completed yesterday between Dave Diamond and Jack Colin whereby the former will produce independently for (Continued on pane 6) Lab Code Cost Meets Attack InWashington Washington, Aug. 14. — Objections to the $21,000 budget for administration of the laboratory code and to amendments of the agreement designed to achieve price fixing through determination of "lowest reasonable cost of production" today were voiced before Deputy Administrator William P. Farnsworth by members of the industry. Appearing in the dual capacity of chairman of the code committee and (Continued on parje 6) Changes Are Predicted For Producers and Distributors Washington, Aug,. 14. — Campi's plan for assessment of producers and distributors will probably be rejected and instructions issued for the development of a new method of raising the $180,000 to be contributed toward code administration by these groups, it was indicated today by Division Administrator Sol A. Rosenblatt. Returning from his trip to the coast, where he was successful in settling a number of small difficulties which had arisen in past m.ont'ns, Rosenblatt explained he had not personally gone into the assessment situation yet, but stressed that it was not his intention to impose upon producers and distributors any form of assessment which they resist. Just what form of new plan will be worked out by Campi will be up to that body, but representations are said (Continued on pane 6) Two Boards Act on One Clearance Case Clkveland, Aug. 14. — What is believed to be the first case requiring action by two clearance boards has developed here. It was a protest by the Fenray, Martins Ferry, O., against clearance granted Warner theatres in Wheeling, W. Va. Exchange centers (Continued on paiic 6) Northern California Indies Enter MPTOA San Francisco, Aug. 14. — Independent Theatre Owners of Northern California, Inc., has joined the M. P. T. O. A., and Morgan A. Walsh, (Continued on page 6) "U" Reports Sales At New High Point Universal reported yesterday that its sales at the moment are further advanced than at any time in the history of the company, being "nearly 800 per cent" ahead of 1533 in the number of contracts closed at this period of the year. James R. Grainger, general sales (Continued on paqe 6) May Settle Holders' Suit Against Loew*s That plans for a settlement have been worked out in the suit for $10,000,000 against Loew's Theatre and Realty Corp., Loew's, Inc., and Paramount Publix was learned yesterday (Continued on page 6) Another Giveaway New Orleans, Aug. 14. — Fiorito's Dream, a film house in the lower section of the city, featuring "Should Ladies Behave?" gave away a cocktail set to each woman purchasing a ticket at 15 cents Cocktail sets retail at 7!) cents and $1 in the majority of downtown department stores.