Motion Picture Daily (Jan-Mar 1950)

(Tuesday, February 14, 1950 Motion Picture Daily 5 Petrillo Calls for Repeal of US Tax The 20 per cent Federal entertainment tax discriminates against entertainers and is unsound as a means of revenue because it "shows very rapidly diminishing returns, dries up the source on which it is lc *S adversely affects fr/^^-i— §Pnt," president James C. Fetrillo of the American Federation of Musicians charges in an appeal for repeal of the levy in the current issue of International Musician. '49 Dividends $40,855,000 Washington, Feb. 13. — The Commerce Department said today that based on preliminary reports from motion picture companies the industry paid $40,855,000 in publicly reported cash dividends in 1949. This compares with final revised figures of $54,205,000 in 1948 and $54,641,000 in 1947, the highest year on record. In 1948, the preliminary figures were almost $10,000,000 below the final figures, but Commerce officials said they doubted anything like that would happen for 1949. Final 1949 figures will not be available for several months. 32 More Bookings Set for 'Samson' Thirty-two pre-release engagements have been set for Cecil B. DeMille's "Samson and Delilah" during February and March, A. W. Schwalberg, president of Paramount Film Distribution Corp., has announced. Henry Wilcoxon, "traveling ambassador" for the film, resumed his goodwill tour yesterday at Charlotte, the first of 12 Southern cities to be visited during a three-week period. Wilcoxon also will address a Louisville gathering on behalf of "Brotherhood Week" on Feb. 21. Hawks-Lasker Will Produce 3 for RKO Hollywood, Feb. 13.— Winchester Pictures Corp. has been formed here by Howard Hawks and Edward Lasker to produce three films for RKO release. The deal provides for RKO financing and for use of RKO studio f?xi!ities and stipulates an undisclosed budget for the project. BANKING FOR THE MOTION PICTURE INDUSTRY COMPAN NEW YORK MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION « Review Unmasked {Republic) WRITTEN, directed and acted in conformity with time-honored production principles, "Unmasked" is a moderately entertaining melodrama about murder of a glamorous lady (Hillary Brooke) by a predatory newspaper editor (Raymond Burr) who had gotten all he could from her in the way of financial backing. The murderer succeeds in pinning suspicion on the lady's elderly husband (Paul Harvey). The latter kills himself before his pretty school teacher daughter (Barbra Fuller) and handsome police detective (Robert Rockwell), with whom she has fallen in love, succeed in bringing Burr to justice. Burr is trapped when he unknowingly causes the death of the brother of racketeer John Eldredge, whose seeking of revenge is instrumental in effecting the editor's come-uppance. Others in the cast are Norman Budd, who gives an unrestrained performance in the role of a cheap crook, and Emory Parnell, Russell Hicks, Grace Gillern and Lester Sharpe. George Blair directed from a screenplay by Albert DeMond and Norman S. Hall, based on a story by Manuel Seff and Paul Yawitz. Stephen Auer was associate producer. Running time, 60 minutes. General audience classification. Release date, Jan. 30. Charles L. Franke Tax Hearing {Continued from page 1) everyone in the industry is rallying" splendidly, with one home office in New York producing 265 personal, different, hand-written letters from rank-and-file workers to their Congressmen. "The avalanche of telegrams, letters and petitions pouring in on the Senators and Representatives is absolutely unbelievable," one COMPO official declared. He said that Johnston felt COMPO's tax committee is doing the greatest organizational job he'd ever seen. Make Personal Contact Another thing that is helping the industry's cause is the way prominent distributors and exhibitors from "back home" have been coming to Washington to contact their Congressmen personally, this official said. For example, Harry Buchanan of North Carolina and Robert Bryant and Colonel Harvey of South Carolina, all were here during the last week, and many of the Allied officials in town for the mid-winter board meeting stayed over to talk to legislators. 14 More N. Y. Solons In Anti-Tax Stand Independent Theatre Owners Association of New York has received pledges of "unqualified support" of the industry campaign for admission tax repeal from 14 more Congressmen, a total of 26 who have responded favorabl}r to the organization's urgings. The latest 14 are : Senator Irving M. Ives and Senator H. Alexander Smith, and Representatives B. W. Kearney, Ralph W. Gwinn, Arthur G. Klein, Henry J. Latham, Vito Marcantonio, Charles A. Wolverton, T. Millet Hand, James C. Auchinloss, Gordon Canfield, Christopher C. McGrath, Dean P. Taylor and John C. Davies. Second Tax Trailer Ready National Screen Service has shipped to its Chicago, Dallas, Hollywood and New York exchanges the "Kill That Tax" trailer No. 2, which is 65 feet as compared with the 50-foot length of tax trailer No. 1. The new trailer's message, like the previous one, reminds the public that there is no justification for the Federal 20 per cent ticket tax and urges theatre patrons to write to their Congressmen demanding its repeal. Loew's to Appeal (.Continued from page 1) ask also for a stay of the lower court's order pending the Supreme Court's decision in the event the latter accepts the case again. At the same time it was learned that Warners and 20th Century-Fox will continue efforts to reach a settlement with the government which would allow the production-distribution companies, upon divorcement, to operate showcase theatres. Warners and 20thFox feel that although the court here decided divorcement was the only "effective relief," the decree does sanction the ownership of a limited number of exhibition properties if there is proof that competition is not "unduly" restrained, and with court approval. Sees Position Enhanced However, Warners feels its position has been enhanced by the decree and for this reason, while intending the new settlement talks with the government, might also wind up with an appeal if the latter refuses to come through with new concessions. The company plans to re-appraise the entire situation with a view toward a more favorable pact with the government than the one projected earlier. Warners believes the whole question is reopened on whether one of the three Warner Brothers is free to stay with the theatre company which would stem from divorcement. Additionally, the court has allowed three years for divorcement, whereas the earlier tentative agreement with the government provided for only one year. A statement following the Warner board meeting on Friday said in part : "The management is now considering plans to be formulated which may meet the requirements of the court judgment and of the Department of Justice." Justice Dep't. Has Yet to Decide Showcase 'Legality' Washington, Feb. 13. — New negotiations of a trust suit settlement with Warners or 20th-Fox are not likely to start before at least two weeks, according to Justice Department officials. They said they would have to study the court's decree further to determine the legality of showcases for new production-distribution companies. One attorney said that if the decree does ban showcases, it "is theoretically possible, but actually unlikely, that we would ask the court to change its mind. We would certainly want some good concessions from Warners." WB Quarter Net Profit Is $3,189,000 Warner Bros. Pictures reports consolidated net profit for the first quarter of the current fiscal year of $3,189,000, after provision of $2,200,000 for Federal income taxes and $250,000 for contingent liabilities. The company's first fiscal quarter ended Nov. 26, 1949. For the corresponding period in the previous year net profit amounted to $3,093,000 after provision of $2,000,000 for Federal income taxes. Total film rentals, theatre admissions, sales and other income for the first quarter of the current fiscal year amounted to $32,712,000, compared with $33,734,000 for the corresponding period of the preceding year. During the quarter, foreign adjustments were made in the amount of $2,278,967, less a reserve of $1,187,438, for currency devaluations abroad. Warner directors on Friday declared a dividend of 25 cents per share on the common stock, payable April 5 to stockholders of record on March 3. Control of Oriental Lost by Essaness Chicago, Feb. 13. — Essaness circuit lost control of the downtown 3,400seat Oriental Theatre, when Circuit Judge Cornelius J. Harrington ruled Friday that the Oriental Entertainment Corp. be granted a temporary injunction to restrain Essaness from continuing as operators. Booth Management Corp. is the new operator. Meiselman Will Take Case to High Court Charlotte, Feb. 13. — H. B. Meiselman, operator of Meiselman Theatres here, said he will appeal to the U. S. Supreme Court the decision of the Federal Circuit Court of Appeals, Richmond, which, denied his appeal for injunctive relief in his anti-trust suit against major distributors and Charlotte exhibitors. I can handle your case... if it's customers you're after... Just find out about An Eagle Lion Films Release