Motion Picture Daily (Jan-Mar 1937)

Alert. Intelligent the In All Branches MOTION PICTURE DAILY The Leading Picture Industry VOL. 41. NO. 52 NEW YORK, THURSDAY, MARCH 4, 1937 TEN CENTS LT.O. Takes No Action on Local Games Situation "Status Quo/' Attorney Declares No action was taken yesterday by the I.T.O.A. on the local game situation when members of the organization met at the Astor Hotel for what was presumably intended to be an agreement in view of recent decisions by Loew's and RKO to abandon the policy. Within the past few weeks both major circuits have hiked admissions in a number of Greater New York houses and before many more weeks games will be a thing of the past. The I.T.O.A. contention has been that members would discontinue various types of games provided the major circuits would do likewise and at the same time boost admissions. At yesterday's meeting, a committee reported to the membership on Loew's and RKO moves, but as far as the independent association was concerned the situation is in "status quo," according to Melvin Albert of Weisman, Celler, Quinn, Allen & Spett. He made the statement to Motion Picture Daily after attending the Astor session. Albert was responsible for bringing representatives of Loew's and (Continued on page 23) Nebraska Test Suit Set for Bank Night Lincoln, Neb., March 3. — Paul Chaney, representative of Attorney General Hunter, was ordered today to start a test action against Bank Night. He conferred in Fall City with Ray Coffin, president of Allied Prod. ; Ralph Blank, head of Central States ; Evert Cummings, head of TriStates and S. P. Halpern, Minneapolis attorney, who will represent theatres. The conference was to determine (Continued on page 23) Oregon Bans Chance Games of All Kinds Salem, Ore., March 3. — Reversing action taken earlier in the week, the Senate has passed a bill prohibiting all games of chance, including pinball and slot machines. The vote was 17 to 13. Having been passed by the House, the measure now has gone to the Governor. Radio— Pages 24-25 Maxwell Seen In Open Fight With Ostrers Scores Move of Ostrers To Quit Producing By BRUCE ALLAN London, March 3. — A virtual declaration of war between John Maxwell and the Ostrers in the directorate of Gaumont British is indicated in the course of an interview with Maxwell published today in the Financial News. An open fight for control of the company was implied in Maxwell's statements. It was indicated here today also that trustees for the debenture holders of G. B. may call a meeting of the holders before endorsing the deal with C. M. Woolf for G. B. distribution, which was opposed by Maxwell. Maxwell, referring to the move for the scrapping of production and distribution by the company, which was initiated by the Ostrers, declared : "There has been nothing quite like it since the Chinaman burned down his house to roast the pig." Speaking of the Woolf deal, he said: "It may make it possible to treat the large trading loss as a nonrecurring one payable out of capital, and make (Continued on page 6) Columbia 6-Month Profit Is $629,771 Columbia Pictures Corp., for the six months ended Dec. 26, 1936, reports a net profit after all charges and provision for Federal income and other taxes of $629,771.93, which compares with a net for the corresponding six months of 1935 of $781,272.83, after all deductions. For the three months ended Dec. 26, 1936, the net profit after all charges was $500,513.84, which was equal to $1.51 per share on the common stock. The net for six months was equal to (Continued on page 21) One Independent Hollywood, March 3.— In the midst of a wrangle over the troublesome business of inter-studio borrowing of talent an irate producer gave this new definition of an independent producer: "Louie Mayer is the only real independent producer. He doesn't have to ask anybody for anything." RKO Net for '36 Reaches $2,514,734 RKO and subsidiaries had a consolidated net profit for the 53 weeks ended Dec. 31, 1936, after all charges and provision for estimated Federal taxes, of $2,514,734.73, which compares with a consolidated net profit for 1935 of $684,732.96, according to the fourth report of the trustee, Irving Trust Co., to the U. S. District Court, filed yesterday. The statement is preliminary to the audited report, which is expected to show little change. The report showed a very substantial gain in net profit of theatre operations, reaching $1,414,886.99 for 1936, which compares with a profit for 1935 (Continued on page 26) New Union May Call Sit-Down in Detroit Detroit, March 3. — A sit-down strike of shippers, poster clerks and inspectresses seems iminent here with the formation by the Detroit and Wayne County Federation of Labor of a new organization which will be known as the Inspectresses, Shippers and Poster Handlers Union. It is believed that the strike will start Friday morning. The number of applications for membership (Continued on page 23) 'Lost Horizon 9 in Notable Broadway Roadshow Debut First night regalia, which is oneumbia executives, the picture repreway of saying high hats and furs.senting an investment of $2,000,000. was paraded in wholesale last night Perhaps less, but not much, for the formal New York opening There was the usual traffic jam of "Lost Horizon," the much-dis-and much excitement at the Globe, cussed Frank Capra version of theHigh executives of virtually all of novel by James Hilton. It was anthe major companies were glimpsed important event in the lives of Col (Continued on page 26) Warners Plan 60 Features NextSeason Same Total of Shorts as This Year Is Set Warners will produce 60 features next season and the same number of shorts as the current season, Harry M. Warner, president, told Motion Picture Daily yesterday. The company is continuing the First National brand, he said, and half of the output will bear this name. Production budgets for the first group of 1937-38 product have been set up and a number of new season's films are now in work, Warner stated. The outlay for the new program will be increased appreciably over the $20,000,000 spent for this season's schedule. Details in this connection will be completed when Warner returns to the coast in the near future. Jack L. Warner is now finishing up the few remaining pictures on the 1936-37 program, the president added. Production in England may be increased from 20 to 26, Warner said. He will sail Saturday with Sam E. Morris on the Conte di Savoia. There is no intention on the part of Warners to invade the English exhibition field, Warner said in denying reports which have cropped up from time to time that the company was planning such a move. He admitted having offers to enter the field, but decided against it. In addition to England, Warner and Morris will visit Italy, Denmark, Norway, Sweden and France. They will be gone about seven weeks on "a general business trip." Industry to Fight Joining Berne Group The industry will oppose adherence by the United States to the Berne Copyright Convention, subject to certain revisions, until after the Convention members hold their special meeting at Brussels, according to Edwin P. Kilroe, chairman of the (Continued on page 26) Dickstein to Amend Alien Actors Bill By BERTRAM F. LINZ Washington, March 3. — Amendment of the alien actor bill to meet the objections to the proposed quota system was promised today by Representative Dickstein as the House Immigration Committee offered a (Continued on page 21)