Motion Picture Daily (Jan-Mar 1942)

Alert. InteHigei aha y Irvtepen sable to the^ cjtion Picture Industrv , — MOTION PICTURE DAILY NEW YORK, U. S. A., THURSDAY, JANUARY 8, 1942 TEN CENTS Washington', Jan. 7. — Sharp restrictions on the use of critical naterials for the manufacture of randy, cigarette and other vending machines were ordered today by Priorities Director Donald M. Nel>>n. Vending machines are exensively used in theatres. Immediate cuts of 25 per cent from onsumption during the 12 months nded last June were ordered in the ise of iron and steel and slug-rejector nechanisnis, and a 50 per cent cut in inc and certain other metals. Beginning Feb. 1, the rates will be aised to 50 and 75 per cent, respecively, and a total prohibition will be mposed on aluminum, stainless steel, iromium, copper, lead, nickel and tin. The order follows a cut in the proluction of "juke" boxes ordered last nontb. U.S. Orders 25% Vending Machine Cuts Priorities Unit to Make Further Reduction Pathe Laboratories Buys Control of PRC The purchase of the controlling invrest in Producers Releasing Corp. iy Pathe Laboratories, Inc., was animnced here yesterday by O. Henry Griggs, president of PRC. Briggs said the stock transfer does lot affect tbe territorial franchises or •perations of the 28 PRC exchanges, ''he present management, headed by 'riggs and Leon Fromkess, vice• resident, will continue, it was inHcated. The stock was purchased liiefly from the franchise holders. (Continued on page 4) Little Progress in Labor Pact Talks Little progress was made yesterday >y major company officials and union epresentatives in their negotiations or new working agreements with ight IATSE studio unions at the ffice of Pat Casey, producers' labor epresentative, it was said. In the third all-day session this .eek, the negotiations did not proress beyond the stage of general disussions of working conditions. When lie general discussions have been conluded, negotiations will be opened .ith individual studio unions. The egotiations had been expected to each that stage yesterday. Senate Passes Bill For Daylight Time Washington, Jan. 7. — The Senate today passed the Wheeler bill giving the President power to change the time in any part or all of the country by as much as two hours forward or backward for the duration of the war and for six months thereafter. The House Interstate and Foreign Commerce Committee today approved the Lea bill, providing mandatory Daylight Saving Time, effective 20 days after enactment and until six months after the end of the Milstein to Survey U.S. Training Films J. J. Milstein has been appointed by the W ar Department in a special capacity to make a survey of the distribution of training films at Army camps, and today will start on a week's assignment. After a visit to Fort Dix in his official capacity, he will go to Washington where he will remain at the War Department for the balance of his assignment. Milstein will work in conjunction with Darryl Zanuck, who is in charge of producing training films in Hollywood. His appointment was by Colonel Schlosberg of the Armv Signal Corps. Resume Minn. Trial, Depinet a Witness St. Paul, Jan. 7. — Ned E. Depinet, RKO vice-president in charge of distribution, took the stand in Ramsey County district court as trial of the criminal actions against RKO, Paramount and 20th Century-Fox for violations of the state's anti-consent decree law was resumed today after a recess. Depinet testified to the keen competition in the industry for talent and story material and cited the difficulty which the Minnesota law places in the way of distribution companies which are committed to sell the pictures of outside producers separately. The state law requires the distributors to offer all of their season's product at one time with a 20 per cent cancellation right to the exhibitor. The RKO official pointed out that his company frequenty distributed the pictures of independent producers and many of them were sold singly. He named producers such as Samuel Gold ( Continued on page 4) 41-42 BOX-OFFICE TAX $122,600,000 OPM Weighs Conversion of Radio Plants Washington, Jan. 7. — Conversion of the radio manufacturing industry to full war-time operation, with rigid limitations on production of receivers for civilian use, is under consideration in the Office of Production Management, it was learned tonight. Currently being studied, it is understood, are proposals for the pooling of production facilities, to permit the quick manufacture of the tremendous amount of equipment which will be needed for the large army which will shortly be built up. The need for military equipment and the shortages of nickel, copper and other materials, it is believed, will be reflected in the near future in orders cutting off production for civilian consumption other than tubes and repair parts. Estimates of the time that would be required to retool the industry for war work vary from six weeks to six months. The latter period is believed to be the most realistic and, realizing that, OPM experts are understood to feel that no time should be lost in laying the groundwork for the change. St. Louis Complaint Dismissal Reversed The arbitration appeals board yesterday handed down a decision reversing the dismissal of a some run complaint against Loew's brought by the Sosna Theatre, Mexico, Mo., at the St. Louis local board. Meanwhile, the M. F. Theatre Corp., operator of the Kisco Theatre, Mt. Kisco, N. Y., yesterday filed the 19th appeal, asking a review of the dismissal by Lloyd Buchman, arbitrator, of its clearance complaint against the five consenting companies. The board held in the Sosna case that the arbitrator erred in his finding that the complainant did not deserve any relief, and held that the arbitrator should have made a finding that the theatre had been refused some run from Loew's and should then have made an award directing the dis (Continued on page 4) Budget Estimate for '43 Fiscal Year Revenue Is $159,600,000 Washington, Jan. 7. — Admission tax collections for the current fiscal year, which ends next July 1, are estimated at $122,600,000, but for the fiscal year 1943 will reach $159,600,000, it is indicated in the annual budget submitted to Congress today by President Roosevelt. No provision is made in the budget for the financing of William Donovan's Office of Information, which this year is expected to spend $1,590,260; the Office of Inter-American Affairs, spending $5,281,787, and the Office of Production Management or the newly created offices of censorship and Coordinator of Government Film Activities. It is expected that these will be suported from funds to be provided. The tax for part of the current fiscal year is based on an exemption of (Continued on page 4) Unity Keynote of 306 Installation Mutual pledges of support and unity were exchanged yesterday by the defeated and victorious slates of officers of operators' Local 306 here during installation ceremonies held at noon yesterday at the Manhattan Center. Joseph D. Basson, retiring president, who was defeated in the election held last week, officiated and installed his successor, Herman Gelber. Others (Continued on page 4) Federation Drive Luncheon Today A special luncheon meeting of the Amusement Division Committee of the Federation of Jewish Charities drive will be held today at the Hotel Astor. David Bernstein, cochairman of the division, will preside. William L. Shirer will be guest of honor at the annual artists luncheon to be held soon, Bernstein said yesterday.