Motion Picture Daily (Oct-Dec 1934)

MOTION PICTURE DAILY Wednesday, December 5, 1934 MOTION PICTURE DAILY (Registered U. S. Patent Office) Insiders' Outlook Vol. 36 December 5. 1934 No. 132 Martin Quigley Editor-in-Chief and Publisher MAURICE KANN Editor JAMES A. CRON Advertising Manager Published dailv except Sunday and holidays by Motion Picture Daily, Inc., subsidiary of Quigley Publications, Inc., Martin Quigley, President; Colvin Brown, Vice-President and Treasurer. Publication Office: 1790 Broadway, New York. Telephone Circle 7-3100. Cable address "Quigpubco, New York." All contents copyrighted 1934 by Motion Picture Daily, Inc. Address all correspondence to the New York Office. Other Quigley publications: MOTION PICTURE HERALD, BETTER THEATRES, THE MOTION PICTURE ALMANAC and THE CHICAGOAN. Hollywood Bureau: Postal Union Life Building, Vine and Yucca Streets, Victor M. Shapiro, Manager; Chicago Bureau: 407 South Dearborn Street, Edwin S. Clifford, Manager; London Bureau: Remo House, 310 Regent St., London, W. 1, Bruce Allan, Representative. Cable address: "Quigpubco, London"; Berlin Bureau: Berlin Tempelhof , Kaiserin Augustastrasse 28, Joachim K. Rutenberg, Representative; Paris Bureau: 19, Rue de la Cour-desNoues, Pierre Autre, Representative; Rome Bureau: Viale Gorizia, Vittorio Malpassuti, Representative; Sydney Bureau: 102 Sussex Street, Cliff Holt, Representative; Mexico City Bureau: Apartado 269, James Lockhart, Representative; Glasgow Bureau: 86 Dundrennan Road, G. Holmes, Representative; Budapest Bureau: 3, Kaplar-u, Budapest, II, Endre Hevesi, Representative; Moscow Bureau: Civtzev Vrazhek, N. 25, Apart. 146, Moscow, U. S. S. R., Bella Kashin, Representative. Cable address: "Samrod, Moscow." 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: $6 in the Americas, except Canada $15 and foreign $12. Single copies: 10 cents. L. I. Pool Has 26 Houses Twenty-six theatres are involved in the three-way Long Island pool between Prudential, Century and Skouras circuits. The buying pool is for 10 years with operation to remain with individual circuits. Casey & Wheeler, financially interested in the Prudential houses, also are a party to the arrangement. W. & V. Loss Cut Wilmer & Vincent, Inc., for the year ending July 31, showed a net loss of $278,422 after expenses, interest, loss from theatre and realty corporations and other charges were deducted. The loss during the preced ing fiscal year was $394,812. Eastman Pays Extra 75c Rochester, Dec. 4. — Eastman Ko dak Co. has declared an extra divi dend of 75 cents a share in addition to the regular quarterly dividend of $1 per share, payable Jan. 2 to stock holders of record Dec. 5. Laemmle Is Still Sick Carl Laemmle, Jr., yesterday continued to battle the flu and stuck closely to his quarters at the Pierre Feldman Here Next Week Charles Feldman of the SchulbergFeldman-Jaffee agency on the coast is due from Hollywood next week r> EHIND the actions which the Paramount Publix trustees contemplate bringing against the Kuhn, Loeb & Co. outfit, and present and former officers and directors of Paramount in relation to their alleged participation in the company employes' stock purchase plan and the payment of salaries and bonuses "in excess of a reasonable amount" from 1927 to 1930, are certain obligations and responsibilities which rest with trustees in bankruptcy. When remembered, they tend to remove much of the sensational character which attaches to the actions at hand. . . One of the first duties fixed upon trustees, who are appointed by the court, makes it mandatory for them to examine all possible means of recovering assets for the estate in their charge. Failing to do so, they may be held remiss in their duty by the court. In pursuing this obligation, the Paramount trustees were advised by their counsel that a "probable" cause of action against the Kuhn, Loeb associates and the Paramount officers and directors existed as a result of the stock purchase plan and the payment of salaries and bonuses of prosperity years' proportions. That probability of a cause of action was sufficient for asking leave of the court to require accountings of the 24 individuals named. . . The same factors guided the trustees in the filing of their action last spring against former Paramount directors who authorized repurchase of the company's stock at guaranteed redemption prices, which had been issued in the acquisition of theatres. By inaugurating the action the trus tees performed a fixed and vital duty of their office, although only a "probability" of a cause of action existed. . . . T With the reorganization of Paramount at hand, the new company will inherit these actions from the trustees. Whether or not they are ever prosecuted will depend almost entirely upon the attitude of the court of jurisdiction in the light of the costs of the prosecution as compared with the probability of any recovery at all, and if so, the probable size of recovery. The principal item of significance about the actions at this juncture appears to be that the trustees have discharged their duty in respect to the matters involved. . . T William Randolph Hearst again, or, at least, his reflection mirrored through the typewriter of an editorial writer on the Chicago Herald and Examiner: "The general character of the films produced in recent months has been immeasurably improved and business has improved with that improvement. [Immediately prior to which editorial ego attempts to credit the Hearst newspapers with having been first, or among the first, to strike out for clean entertainment, admitting in virtually the same breath that the industry failed to take the hint.] "In fact, there is little or no objection to be made nowadays as to the moral character of the films. "However, a new and an equally serious fault is developing and the Hearst papers warn the producers again that if this fault is persisted in, they may expect even more serious dif (Continucd on page 10) Loew's Pfd. Off One on Big Board High Low Close Columbia Pictures, vtc 40lA 4014 W2 Consolidated Film Industries VA VA VA Consolidated Film Industries, pfd 18!^ 18'4 183/£ Eastman Kodak \\V/2 WIY* Fox Film "A" WA 14 14 Loew's, Inc 36!4 3534 36V2 Loew's. Inc.. pfd ..104 104 104 Paramount Publix 3% 3% 3§i Pathe Exchange VA VA VA Pathe Exchange "A" 14 13^4 13M RKO w m VA. Universal Pictures, pfd 43 42 42f| Warner Bros 5 4Vg VA Net Change + Y* -ii + li —i + H + Vs 'A Technicolor Down Eighth on Curb Net High Low Close Change Technicolor 14 13% 13% — Ys Trans Lux 2 2 2 Sales 1.000 700 2.400 7x 1.600 10.800 100 8,300 900 200 900 3.000 3.200 Sales 400 200 Talk New Film Idea In Washington Meet Washington, Dec. 4. — Representatives of a number of educational organizations today met behind closed doors with officials of the Federal office of education for the discussion of a proposed new organization to be known as the American Film Institute. The conversations are expected to continue over two or more days. Those attending the conference were reluctant to discuss the matters under consideration. It is understood that the institute vill have as its aim the improvement of programs and the development of a program of educational feature production which will permit greater use of films for school work. Paramount Broadway Bonds Drop Half High Low General Theatre Equipment 6s '40 &% 77i Loew's 6s '41. ww deb rights... 104% 104 Paramount Broadway S'As '51 44V2, 44 Paramount F. L. 6s '47 60 60 Paramount Publix Sj4s '50 60'/2 60 Warner Bros. 6s '39, wd 6W4 60 Net Close Change Sales VA 44 60 6OY2 60 + Yk + % Yi + Y* + Ya Yx St. Louis Skouras Hearings Due Here St. Louis, Dec. 4. — Nelson Cunliff, trustee in bankruptcy for Skouras Brothers Enterprises, Inc., has been authorized by U. S. District Judge Charles B. Davis to institute ancillary proceedings against the company in New York City. The purpose of bringing this action is to make possible the examination of witnesses concerning the operations of the company prior to the time it went into bankruptcy about a year ago. Certain books and records of the company were kept in New York and some of its officers were residents of New York City. Minister from K. C. To Join Hays Staff Kansas City, Dec. 4. — Resignation of Rev. Irvin E. Deer, executive secretary of the Kansas City Council of Churches, has been accepted so that he can join the Hays organization in a public relations post. He will assume his new duties in January. At the Hays office yesterday it wasfl stated that Rev. Irvin E. Deer prob J ably would do considerable field work, I as there had been numerous calls for I speaking engagements. Roosevelt an Ampa Guest i Col. Theodore Roosevelt, Rud) I Vallee, Ethel Merman, Guy Robert i son, Sally Rand, Smith & Dale, Bid< Dudley, Dorothy Francesco, Charle i Irwin, Ruth Davis, Don Alfonso Ze j laya, Roslyn Wells, Otto Harbach i Dolores Reade, Charles Cantor, Jch .1 Nash, Mai Stevens, Al Schact, Anit; ! Kurtin and Cecilia Murray will b j guests of the Ampa tomorrow at th' \\ M. P. Club. Handling Indian Film Reginald Armour, RKO's manag ing director for India and the Middh East, has signed with Himansu-Rai producer of the film "Karma," to dis tribute it through Empire Talkie Dis tributors in the Indian states of Ben gal, Bihar, Orissa, Assam and Burma according to a cable received by Phi Reisman, vice-president of RKO Ex port Corp. No Arliss Reissues Hen Warners declared yesterday ther was no plan to reissue its Georg' Arliss series in the domestic market although this has been determine* upon for England.