Motion Picture Daily (Apr-Jun 1948)

_______ FIRST MO TP T mot* PICTURE res, rNC. '5T 44TP NPIcWifcE FILM NEWS V,3|63. NO: 115 NEW YORK, U. S. A., TUESDAY, JUNE 15, 1948 TEN CENTS Thomas Group Bulwarked in Tilt With '10' Eisler Appeal Decision Sets Pattern for Fall Washington, June 14. — The power of the House Committee on Un-American Activities got strongbacking today in two court actions here. U. S. Court of Appeals upheld the contempt-of-Congress conviction of Gerhart Eisler for refusing to be | sworn in or to answer the committee's questions unless he could make a statement first. The case closely approximates that of the 10 Hollywoodites cited for contempt, and may set the pattern for the decision in the appeals of John Howard Lawson and Dalton Trumbo, which will be argued I in the same court next fall. At the same time, the U. S. SuI preme Court refused to hear the appeal of Edward Barsky and other ofI ficials of the Joint Anti-Fascist Refu (Continued on page 3) \B 'way Yields \Fair Grosses Business is only fair at Broadway I first-runs this week. Weekend rains, which signaled financial disaster for concessionaires at beaches and other outdoor places, gave Broadway busiIness a slight boost and did consider|ably better by neighborhood houses. Brightest business is still being done I at Radio City Music Hall where the fourth and final week of "The Pirate," plus a Leonidoff presentation on stage, is heading for a good $115,000 on the (Continued on page 3) Senate Backs 1-Year \Trade Act Extension Washington, June 14. — The Senlate today voted a one-year extension of the Reciprocal Trade Agreements Act, with the President required to give Congress his reasons whenever he ignores recommendations of the I Tariff Commission on how much he lean raise or lower import duties. ProI vision voted by the House giving ConIgress power to veto any treaties which I include cuts or increases outside the 'bounds set by the Tariff Commission lis omitted in the Senate version. I The House is expected to go along with the Senate bill. Balaban and Zukor Reelection Today Barney Balaban and Adolph Zukor are listed for reelection as Paramount's president and board chairman, respectively, at the company's annual directors' meeting here this afternoon. Election will follow the annual stockholders meeting. The only scheduled business to come before stockholders will be the naming of directors, all of whom are nominees for reelection. Hearing Today on Government Order The Government's proposed order devised to give effect to the U. S. Supreme Court's opinion in the Paramount anti-trust case is scheduled to come up for hearing in District Court here today before Judges Augustus N. Hand and Henry W. Goddard. Defense counsel will oppose nearly every phase of the order, especially the Government's demands for statements listing joint theatre ownerships claimed to involve investments by persons not actual or potential theatre operators, and for a temporary injunction against acquiring or selling any theatre interests or alleged discriminatory practices pending the entry of a further order. Defendants will also ask that the order be simplified. Lesser Deal with Blumenfeld Is Off San Francisco, June 14. — Negotiations for the sale of the Blumenfeld Circuit of 35 theatres in Northern California, have fallen through, according to Joseph Blumenfeld, president. For the past few weeks Sol Lesser and Sherrill Cohen have been in communication with Blumenfeld for the (Continued on page 3) Crowe Will Continue As KATO President Louisville, June 14. — Guthrie F Crowe will continue as president of the Kentucky Association of Theatre Owners. A meeting of the KATO board, attended by Crowe and Henry J. Stites, Morris Blacker, Leon Pickle, E. T. Denton, Dennis Long, Johnson Musselman, Roger Daley, W. Freeman Smith, E. L. Ornstein, Andy Anderson, Willard Gabhart, Charles (Continued on page 3) Rank, Hailing New Quota, Says He Will Help Make It Work London, June 14.— J. Arthur Rank, jubilant over the new 45 per cent exhibitor quota, told a trade press news conference here today that independent exhibitors, lacking enthusiasm for British pictures and preferring a large number of films from which to choose, will have to have a change of heart. Rank claimed that it is scandalous that, with a larger number of British pictures available, there still is a larger number of quota defaulters. "I am going to take my coat off to see that everybody plays his 45 per cent quota," Rank said, adding that he will prepare statistics for the Board of Trade to show that British pictures are available to the defaulters. He said that except for British producers' activities during the past 12 months the exhibitor's position would have been very difficult. Terming present rental arrange(Coniinued on page 3) CEA Convention • in Arms Over UKQuota Douglas, Isle of Man, June 14. — Exhibitors assembling here for the Cinematograph Exhibitors Association convention were stunned by receipt of news from London of the new quota percentage, claiming, firstly, that the figure is unrealistic and, secondly, that Harold Wilson's order will contribute monopolistic powers to J. Arthur Rank's film empire. Exhibitor indignation here was marked by wild talk tonight of the promotion of a general theatre strike against playing any British films, thereby compelling Wilson to alter his (Continued on page 3) Postpone Action on Critical French Tax Motion Picture Association of America international division manager Gerald M. Mayer, now in Paris, was reported here yesterday to have won from the French Assembly backers of a confiscatory film import footage tax a two-week delay of action on enabling legislation. Reports emanating at the weekend from Washington and Paris had pointed to the likelihood of French Assembly action on the measure this week. Mayer, who has been conferring in Paris on proposed changes in the Blum-Brynes Accord, was said to have secured the delay of action on the import tax pending top-level discussion. UK Exhibitors' Quota Set at 45 Per Cent Effective for Year; 25% Is Supporting Fare Quota London, June 14. — The new British exhibitors' quota is 45 percent for first features and 25 per cent for short subjects and supporting program pictures, Harold Wilson, president of the Board of Trade, told the House of Commons today. Wilson said his order establishing the new quota will be operative for 12 months, starting next Oct. 1. The Cinematograph Exhibitors Association had recommended a feature quota of 20 per cent to the Films Council last week, and the British Film Producers Association, headed by J. Arthur Rank, recommended a 50 per cent quota. The present quota ;is 17^4 per cent and many British exhibitors defaulted on that despite the several months' embargo on shipment of Hollywood films in protest against the ad valorem film tax. Columbia Net Is $855,000 Estimated net earnings of $855,000 after Federal taxes of $570,000, were reported here yesterday by Columbia for the 39 weeks ended March 27. This was equivalent to 98 cents per common share after preferred stock dividends. Net profits for the 39 weeks ended March 29, 1947, amounted to $2,935,000, or $4.23 per share, after taxes of $1,705,000. Convertibility Fund Voted by Senate Unit Washington, June 14. — Senate Appropriations Committee today recommended that $10,000,000— $5,000,000 less than originally fixed in Marshall Plan legislation — be appropriated to guarantee convertibility of costs of producers and publishings in distributing films and books in Marshall Plan nations,' but said that this should be. used within a year rather than stretched for 15 months as required by the House. Senate approval is expected later this week, after which the measure will go to conference with the House. The committee also earmarked $125,000,000— $25,000,000 less than the (Continued on page 3)