Motion Picture Daily (Jan-Mar 1940)

8 Motion Picture Daily Year's News in Review '40 Increase In Radio Set Sales Is Seen Radio receiver sales should show an improved trend in 1940 because of the European situation and tinusual increase in consumer interest during presidential election years, Dr. W. G. R. Baker, of the General Electric radio and television department, asserted. Over-production of sets within the next few months is likely if history repeats itself, Dr. Baker declared. The early months of 1939 found set sales markedly affected by publicity given to the establishment of regular television programs in New York but this was more than offset by the outbreak of the European war, he continued. The result was a sudden shortage of sets and production schedules were increased. Dr. Baker pointed out that the public is gradually being educated to the limitations of existing television service and its possibilities on a national scale. The poor sale of television receivers was attributed to limited program hours, the list prices of sets, and the relatively short trade discounts as compared with radio. Although he praised the technical advances of television, Dr. Baker pointed out that from the business viewpoint, television has not produced the favorable results anticipated. He declared that the solution of the business problem will probably await further technical advances which will permit lower list prices. Dr. Baker also commented on the fact that G. E. is experimenting with frequency modulation and that FM receivers could be expected to replace present receiving equipment when FM transmission becomes available on a national scale. The new type of FM sets will be capable of receiving both FM and amplitude modulation broadcasting, Dr. Baker said. Crescent Hearing Delayed to Feb. 1 Hearing of motions in the Government's anti-trust suit against Crescent Amusement Co. and major distributors, scheduled for tomorrow in Federal court at Nashville, has been postponed to Feb. 1. Principal motions scheduled for hearing included those of the defendants for bills of particulars from the Government. Walker and Mayor Talk Eastern Films {Continued from page 1) resent a European financial interest, conferred on the same day with Commissioner Clendenin Ryan, head of the Mayor's chamber of commerce recently established to attract business to New York. Bergere admitted taht he and Ryan discussed Eastern production but refused to comment further. Bergere recently appeared at Grand National Pictures reorganization hearings with an offer to purchase a substantial interest in the company. (Continued from page 6) more than half of country's exhibitor corporations paid 1937 income taxes. Oct. 19.— Nazis take control of Czech film industry. Dr. L. A. Jones and Dr. Herbert T. Kalmus win S.M.P.E. awards. Oct. 20.— Distributors ask film reciprocity in Latin America. RKO reduces first six months' net loss to $68,070. Oct. 23— Settlement reached in A. T. & T., Western Electric, Erpi litigation with General Talking Pictures. Theatre building in first nine months valued at $17,992,000. Oct. 24.— Frank C. Walker elected general counsel of M.P.T.O.A. Texas attorney general investigates film business. Oct. 25. — War cripples French film industry. Grand National to get $450,000 R.F.C. loan. Oct. 26. — S.A.G. forbids free radio performances by actors. Conflicting Thanksgiving dates no difficulty to trade. Oct. 27. — U. S. Department of Justice to investigate film matters further on Coast. Oct. 30. — Federal Court dismisses Grand National bankruptcy action. Films made exempt from cash-carry neutrality law. N. Y. Allied drops Allied States affiliations. Oct. 31.— Producers ask I.A.T.S.E. to relinquish 10 per cent wage increases. New York exhibitors fight pari-mutuel betting amendment. November Nov. 1. — Hollywood agents ratify pact with S.A.G. Harry Cohn denies rumors about sale of Columbia Pictures. Nov. 2. — Hollywood painters may strike, demand 15 per cent increase. New York Allied seeks trade practice code for state. Nov. 3. — Attorney General Murphy says proposed code cannot be approved without stipulation it will not be used as defense. Nov. 6. — Neutrality law keeps markets open for American companies. Prof. M. J. Handler to arbitrate Local 306New York circuits dispute. Nov. 7. — Dramatists Guild approves amendment on film rights to plays. Nov. 8. — Studio unions vote against giving up 10 per cent increase. Product shortage worries English exhibitors. Nov. 9. — Television ready to go commercial, says Alfred H. Morton. Darryl Zanuck says films and radio are mutually advantageous. Nov. 10. — Paramount's earnings for nine months estimated as $2,840,000. Strike called, then rescinded at Selznick studio. Nov. 13.— TJ. S. companies plan to resume production in England. Film Exchange Employes Union to ask increases. Nov. 14. — Darryl Zanuck asks extended playing time for worthwhile films. New York executives see small possibility of Eastern production. Nov. 15. — Arbitration board grants 10 per cent increase to operators employed by I.T.O.A. members. F.C.C. committee recommends restricted commercial television. Nov. 16. — Twenty-one studio unions threaten strike if 10 per cent increase is refused. British quotas remain until March. Nov. 17. — Showdown on whole wage issue in Hollywood is seen. Film exports in nine months drop to 27,000,000 feet. Nov. 20.— Studio strike looms due to wage deadlock. Joseph R. Vogel named to Loew board. Nov. 21. — Hollywood strike action postponed. Bankers to offer cash to back Eastern production. Nov. 22. — Admission scales throughout the country remain on even keel. I.A.T.S.E. to attempt to take over unaffiliated crafts. Nov. 24.— Britain to allow 50 per cent cash withdrawal. M-G-M to guarantee profits on "Gone With the Wind." Nov. 25.— M-G-M to ask 70 per cent rental on "Gone With the Wind." Studios grant wage increases, avert strike. Nov. 28.— Warner Bros, profit $1,740,907 for fiscal year. Wage fight still brews on Coast. Nov. 29. — American companies' business abroad slumps average of 30 per cent. New York state censor rejects 24 films in 12 months. Nov. 30.— Theatres in Canada grossed $33,625,052 in 1938. Paramount asks twoweek minimum guarantee on "Gulliver's Travels." December Dec. 1.— British Board of Trade considers plan to finance producers. A.G.V.A. demands recognition from theatres. Dec. 4.— "Gone With the Wind" to be shown at advanced prices at least until 1941. Film Exchange Employes Union asks 25 per cent increase. Dec. 5.— No cancellation on M-G-M product in Canada. "Letty Lynton" case goes to U. S. Supreme Court. Dec. 6.— Three International unions get 10 per cent wage boosts. Paramount increases ad budget by $500,000. Dec. 7.— Studio wage increases subject to arbitration in February. Harry H. Thomas joins Monogram. Dec. 8.— Nicholas M. Schenck opposes moving production East. Wichita, Kan., sets up trade practice code. Dec. 11— RKO to sell "Pinnochio" at 50 per cent rental and as single bill. S. R. Kent says production costs must be readjusted. Dec. 12. — Paramount to drop "B" films next season. Speedy action on Neely Bill seen in next Congress. Dec. 13.— Atlas Corp. submits $1,500,000 RKO1 underwriting agreement to Federal Court. Douglas Fairbanks, Sr., dies. Dec. 14. — Studio wage increase means $200,000 in back pay. Coast authorities refuse to arrest William Bioff. Dec. 15. — Agreement reached to start Government anti-trust suit not earlier than May 1. James R. Roosevelt resigns from Samuel Goldwyn Productions to form own company. Dec. 18. — S.E.C. approves Atlas Corp. underwriting plan for RKO. Warners abandon "B" pictures. Dec. 19.— "Gone With the Wind" gets double premiere on Broadway. Samuel Goldwyn quits U.A.; David O. Selznick stays "indefinitely." Dec. 20. — U.A. will contest Samuel Goldwyn's effort to quit company, Maurice Silverstone says. Loew's profit $9,841,530 for fiscal year. Dec. 21. — Thurman Arnold denies reported compromise on * Government anti-trust suit. Judge Bondy approves RKO stock plan. Dec. 22. — Mickey Rooney named the outstanding money-making star of 1939 in Fame-Motion Picture Herald poll. Companies give Christmas bonuses. Dec. 26. — Mayor LaGuardia urged to ask for R.F.C. funds to finance Eastern production. RKO offers new stock to creditors. Dec. 27. — Congressman Dies to reveal Communist aid in Hollywood. Defendants attack U. S. tactics in anti-trust suit. Broadway houses have big Christmas weekend. Dec. 28.— N. Y. Film Critics vote "Wuthering Heights" best picture of the year. Charlie McCarthy again voted" "tops" in radio in Motion Picture Daily poll. Dec. 29. — Federal statutory court voids antiAscap law in Nebraska. George Formby heads first 10 British players in Motion Picture Herald poll. Harry Edington named RKO executive producer.' Goldwyn Silent On Next Legal Move (Continued from page 1) it is unlikely that Steuer will begin a new move without first consulting Goldwyn, particularly in view of the fact that it may take at least six months to get an initial decision in a new legal action and that it is highly improbable that Goldwyn will withhold his new picture, "The Westerner," from distribution for that length of time. New York film attorneys see no likelihood of a company other than United Artists making a deal for distribution of the picture while the litigation is pending. As one attorney put it, "The company that makes a deal with Goldwyn now may wind up with a law suit on its hands." Only 5% of Air Ads Require FTC Inquiry Washington, Jan. 1. — C ^onable radio advertising has b' it to a point where less than five^T? cent of all continuities require invt'< :e>1 <■ it was declared by the Federr^, k | Commission in its annual r *\_ to Congress. Cooperation of individual broadcasters, networks and transcription producers, as well as the fear of prosecution, have resulted in a general cleaning up of air advertising, the re I port indicated. Summing up its activities during the fiscal year ended June 30, last, the 1 commission reported that only 29,143 ] out of 643,796 commercial continuities studied necessitated investigation to determine whether they were false or misleading, in violation of actions, i stipulations or orders of the commis I sion or a basis for prospective cases I for further action. A total of 626,293 continuities were I submitted during the year, with a total of 1,384,448 pages of typewritten | script, of which 860,908 pages were I from individual stations and 523,540 \ pages from networks. As a general rule, each station in the country is called upon four times a year to submit copies of its advertising continuities, but national and regional networks forward copies of their commercials weekly and electrical transcription manufacturers submit monthly returns. Mutual Net Revises Its Financial Set-up (Continued from page 1) California and the Pacific northwest ; WAAB, Boston, and 17 other Colonial stations in New England ; CKLW, Windsor-Detroit; the United Broadcasting Corp. with WHK and WCLE, Cleveland, and WHKC, Columbus ; and WKRC, Cincinnati. The purchase price and the exact proportions of the distribution were not divulged. At present WGN and WOR own the stock. The board of directors will be enlarged to give the new stockholders representation. A final meeting for the election of these directors and ratification of the contracts will be held in Chicago this month. The 57 stations will devote themselves to exclusive participation in the network except for existing commitments. Supplementing the board will be an operating board composed of one representative from the seven groups and two or three additional members selected on a geographical basis from the other Mutual stations. The operating board will meet twice a year with Fred Weber, general manager, for discussion of general operations and policy. Variety Artists Benefit Olsen & Johnson, stars of "Hellzapoppin'," will be in charge of entertainment at the annual benefit performance of the National Variety Artists to be held at the Alvin on Sunday, Feb. 4. George M. Cohan, as usual, is chairman. Proceeds will be used for the welfare fund and to maintain the N.V.A. clubhouse.