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)ISING POLICY
1939-40 SEASON
9. To assist in the booking problems of our customers, and for the mutual benefit of our customers and ourselves, it is our intention to hold a number of test exhibitions of pictures in order fairly to establish their proper price bracket allocation, and we will allocate features to particular price brackets not later than 14 days after the national release date thereof, to first run exhibitors in those cities which we may use as "Test Cities" and to all others, on giving notice of the availability of each feature.
tOa We have never at any time coerced or intimidated any exhibitor to license our pictures by threatening to build or otherwise acquire a competing theatre, and we will never do so. It is our belief that the quality of our pictures and the high standard of our production create a demand for our pictures.
11B For over five years it has been our policy to arbitrate with any customer desiring so to do, all claims and controversies which may arise under our license agreements, and our form of license agreement contained an optional arbitration provision. We will continue to give to each of our customers the option to arbitrate all such claims and controversies.
12a Clearance is an absolute necessity in the conduct of our business and we therefore intend to continue our policy to negotiate with each of our customers for clearance reasonable as to time and area.
This policy will apply for the motion picture season 1939-40 and to all license agreements covering the 1939-40 products made after Jan. 1, 1939.
President, VITA GRAPH, INC.
Distributor of Warner Bros, and First National Feature Pictures and Vitaphone Short Subjects
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