Motion Picture Daily (Oct-Dec 1948)

Motion picture Daily Monday, November 1, 19< Personal Mention I OSEPH H. HAZEN, president of »J Hal Wallis Productions, has returned to New York from Hollywood. • Ed Fay, will celebrate the 30th anniversary of the Fay Theatre in Providence, R. I., as a combination vaudeville-motion picture theatre, starting Nov. 19. • Maurice A. Bergman, UniversalInternational Eastern advertising-publicity director, has returned to New York from Chicago. He was accompanied by Robert Ungerfeld. • E. K. (Ted) O'Shea, Paramount sales executive, will leave here tomorrow for Cleveland, Detroit, Cincinnati and Pittsburgh. • Herman Ripps, field assistant to M-G-M's Eastern sales manager John P. Byrne, has returned to Albany from here. • George Cukor, M-G-M director, left here yesterday by plane for the Coast. Fred Zinneman, M-G-M director, left New York by plane at the weekend for Palestine. • Bryan Foy, Eagle-Lion production executive, left here at the weekend for the Coast. • Al Horwits, U-I Eastern publicity manager, returned to New York at the weekend from Cincinnati. • John K. Hilliard, chief engineer of Altec Lansing, is here from Hollywood. Reeve O. Strock, Westrex recording manager, has returned here from five months in Europe. • Samuel Bischoff, producer, is due here today from the Coast. Joins Canadian Circuit Ottawa, Oct. 31. — Barney Simmons, formerly of the Marx Theatre in Oshawa, has been appointed manager of the Rideau here, succeeding Don Watts who has been transferred to the Nelson, 20th Century Theatres' newest theatre here. Gilbert White has been promoted to assistant manager of the Nelson after several years on the Elgin staff. Marcus to Start 3rd Milwaukee, Oct. 31.— Construction of a third drive-in, estimated to cost $250,000, got under way here last week, according to Ben Marcus, general manager of Marcus Theatres Management Co. Issue Stamp Club Paper Cinema Stamp Collectors News Reel has made its bow, a club publication for members, to be issued monthly. Its editor is Allyn H. Wright. Tradewise . . . By SHERWIN KANE REGARDLESS of with what emphasis Atlas Corp. may deny it is interested in bidding for the RKO theatres to be cut loose under Howard Hughes's divestiture plan, it is established that Floyd Odium has an option to buy the controlling interest in the theatre properties which Hughes will hold when the new company is established. The story behind the option sounds like Odium went out the front door and circled the block to reenter by the rear door. Some 18 months ago when Hughes first evinced interest in the purchase of RKO control from Atlas, so the story goes, it was apparent early in the talks that Hughes's first concern was to own a productiondistribution company. He cared nothing whatever about theatre operation. Thereupon, Malcolm Kingsberg, head of RKO theatre operations, it is said, suggested to Odium that a separate theatre company be set up, control of which would be retained by Atlas, and the production-distribution company then be sold to Hughes. • For some reason, Odium did not accept the suggestion, but when he closed the deal with Hughes for control of RKO last spring, he obtained an option simultaneously to purchase the Hughes' controlling interest in the new theatre company when it was established. Had he separated the theatres and sold Hughes control of the production-distribution company only, Odium now would have the theatre company which, by the evidence of his present option, he wants. Now, however, he has no certainty of getting the theatres. If Odium's option price is bettered by other bidders, and he fails to meet the higher price, control of the new theatre company will not be his. • Incidentally, insiders characterize as "absurd" those recently published reports of $38,000,000 and $40,000,000 bids for control of the new RKO theatre company. In the first place, there is no company yet in existence for which bids could be made. Bids are not being accepted, nor made, until all the approvals for formation of the company have been given. That would include the RKO stockholders' and the Government's approvals. Secondly, the probable approximate value of the total assets of the new theatre company will be in the neighborhood of $40,000,000, which will be reflected in the number of new shares to be issued. RKO stockholders will receive one share of stock in the new production-distribution company and one in the new theatre company for each share of the present RKO stock. Thus, the stock in the new theatre company will have the same distribution as RKO stock has presently. That means that for all practical purposes the shares in the new theatre company to be issued to Hughes will represent control in that company, as well as in the new production distribution company. They will be about 23 per cent of the total shares outstanding. Accordingly,'the bidding will be for the Hughes' holdings in the theatre company and bids are expected to range from $8,000,000 to $10,000,000. • • As more and more exhibitor organizations give approval to the plan of conciliation of local trade grievances and disputes which was developed by Andy Smith of 20th Century-Fox and Bennie Berger of North Central Allied, it becomes apparent that across the country there is a genuine exhibitor desire for machinery with which to deal quickly, fairly and on the spot with local grievances and misunderstandings. It becomes apparent, too, that many exhibitors now believe the Smith-Berger plan can furnish what is wanted. Yet, however widely the plan is adopted, as it now stands, it is an instrument for dealing with the trade problems of but ' one company — 20th-Fox. Its increasing popularity commends it to serious study and consideration by other companies. Its potentialities are great. It should not be hindered by petty considerations. If its label is a deterrent, then change the label. Call it the Industry Local Conciliation Plan, or what you will. Broadened to an industry-wide base, it is certain that neither Smith nor Berger would stand in the way of its re-naming. t n Newsreel Parade THE French labor crisis and U. &\ \ Armed Forces in combined open ){ Hons are newsreel highlights in cm rent releases. Other items include th story of Use Koch, new dress for th " Waves and sports. ir is MOVIETONE NEWS, No. 87— Kin and Queen of England open Parliament French coal mine strike. Armed Forces i combined operations. Coal-mining machini Sweepstake winners. Sweater /CTatt'on. Football. Roller skating derby. Katie ' NEWS OF THE DAY, No. 2Ti — Un fied Armed Forces in maneuvers. Frenc troops seize mines as riots spread. Britai cheers King opening Parliament. Strang case of Use Koch. New wave length for th Waves. Sky mystery solved. Battles!™ Missouri here. Sweep winners. PARAMOUNT NEWS, No. 20 — Frenc labor crisis: films of the mine strike Troubled China celebrates Independenc Day. Navy goes overboard for new look UNIVERSAL NEWS, No. 191 — Frenc'. crisis: coal strike imperils France's indus trial existence. Mining machinery. Misi America tours country for "You Gotta StaHappy." Connie Mack celebrates his birth day. Use Koch story. Flying laboratory Football. WARNER PAT HE NEWS, No. 22 Armed _ Forces in combined operations! People in the news: Mrs. Roosevelt, King: and Queens of Denmark and England Paul Hoffman in Italy. Troops and miner battle in France. IK tor [im iv, El Sears to Coast tc Swap 3 with Hughe^ United Artists president Gradwel Sears will leave here for the Coast or Wednesday to put final touches on thi long-pending three-picture exchange deal with Howard Hughes. Distribu tion rights to "The Outlaw," "Mac, Wednesday" and "Vendetta" will re vert to producer Hughes when ar agreement is reached on the threq which he is to finance for UA release Although there is a limit to th< amount of financing Hughes is tc provide, reportedly $750,000 in second money, the possibility is that the transaction may yield more thari three for UA if the "quality" of th product is assured. set bck It s-t i kf< ±< 1! Harkness Heads WE Canadian Affiliate Montreal, Oct. 31. — At a meeting of the board of directors of Northern Electric Co., theatre equipment affiliate of Western Electric, held here Paul F. Sise resigned as president and R. Dickson Harkness, a director was elected president, effective Dec. 1 Sise, who has held the position of president for 29 years, will be chairman of the N. E. board. To Fete Westrex Aides Members of all phases of the mo tion picture industry have been in vited by Westrex vice-president E. S. Gregg to participate in a reception at Cavanagh's Restaurant here on Wednesday evening, Nov. 17, for its 18 foreign managers who have been called in from the field for a series of meetings on the foreign outlook. Sunday Shows Lose Harriman, Tenn., Oct. 31. — A city referendum on Sunday films has resulted in a majority voting "no" despite the fact that a majority of the city council favored it. OuOT-bco, Load,,." Oth„ Q„,pI„ Pubfati..; Mo.ta Pic,„« Herald; Bern, Ttettrei .nd Th,«„Ufe, .,° h .abli.hed ^rffiirUf wSk ZTUSSZT) ucca . Advertising Representative; Jimmy Ascher, en Sq., London Wl. Hope Burnup, Manager, Peter Burnup, Editor; cable address, ^.^uK^'ratef^ ' ^ «»* 'v'mt"o€c at'New YcX'ft. T! 'under tbe^act =