Motion Picture Daily (Apr-Jun 1952)

VOL. 71. NO. 79 MOTION PICTURE DAILY NEW YORK, U.S.A., WEDNESDAY, APRIL 23, 1952 TEN CENTS Insider Outlook By RED KANN INSOFAR as the open record, at least, is concerned, the industry arbitration conference got airborne in practically a handful of minutes yesterday. All the spokesmenJohnston and Rodger s for the distributors. Snaper for Allied, Brandt for ITO of New York, Brecher for MMPTA of New York, Wolfson for TO A and Harvey for WTO — liked the idea fine. There was out-and-out enthusiasm by some, restraint by others and just a trace of the dubious by several. But. wrapped up in a single package, there appeared no question about the need for an arbitration system which will serve to reduce industry friction, convert internecine warfare into a skirmish and level the ever-engulfing tide of antitrust litigation to a respectablesized comber. The industry press was witness to these open-house declarations. And that was all. The conferees decided behind closed doors to hold closed sessions and confine their day -by-day comment to press releases prepared and approved by all groups. How much these official communiques will reveal remains to be seen, but decidedly related is the fact that communiques enjoy a wide reputation for ambiguity and airy nothings. Maybe it will be different this time. ■ It is clear that the principals have the right to enjoy their arguments and their controversies on their own private field of battle without facing restraints which some may feel the presence of reporters may impose. But the issues are not exactly private, either. Thousands of theatremen, in and out of exhibitor organizations, whose futures are involved are entitled to know what is being decided for them even if ratification resides in their hands before final instruments are written and implemented. It is good advice and friendly advice, too — for the delegates to bear this in mind. Bearing it in mind, their formal press releases should be complete, informative and clear. The way to eliminate the possibility of confusions, misunderstandings, speculations and frustra tions is to see that the need for them never develops in the first instance. Conciliation Urged to Supplement Arbitration Delegates Launch Meet With Airing of Views At the conclusion of his introductory remarks at the opening session yesterday of the industry arbitration conference at the Hotel Astor here, Eric A. Johnston, president of the Motion Picture Association of America, called upon delegates of the participating organizations to state their views preparatory to the holding of executive sessions at which efforts will be made to hammer out a plan or system of industryzAdc arbitration of trade practice disputes. Excerpts from the delegates' remarks, in the order in which the speakers were called upon, follozv: Wilbur Snaper. Allied States Association — The presence of Allied at this meeting indicates its desire, for a system of arbitration. We enter the meeting with neither optimism nor pessimism. The Allied memorandum of arbitration proposals, prepared by counsel Abram F. Myers, was intended to be neither arbitrary nor restrictive. Our hope is that constructive, definite, conclusive action will arise from reasonable discussions. Harry Braxdt, Independent Theatre Owners Association of New York — This is indeed an historic occasion. I come to it with high hope that it will result in industry peace, harmony and goodwill. I hope the meeting (Continued on page 6) Supreme Court to View The Miracle' Washington, April 22. — The Supreme Court is going to see a motior. picture tomorrow. The Justices on Thursday arc scheduled to hear argument in the socalled "Miracle" case. Joseph Burstyn, distributor of the film, is challenging the constitutionality of New York's film censorship law. under which the State Regents banned "The Miracle.'* Both parties suggested that it might be a good idea for the Justices to see the film, and they agreed. See FCC Setting New Date Soon Washington", April 22. — The Federal Communications Commission is expected to announce within the next two to three weeks a new date — probably late in the fall — for the frequentlypostponed theatre television hearings. Spokesmen for the Motion Picture Association of America and the National Exhibitors Theatre Television Committee met with FCC chairman Paul Walker and other top FCC officials today to discuss the issue. Bid A.T. & T. Detail Theatre TV Costs Washington, April 22. — The Motion Picture Association of America and the National Exhibitors Theatre Television Committee have asked American Telephone and Telegraph Co. to supply within 60 days detailed information on what its charges would be for the installation and use of common carrier facilities in a typical theatre television system. The request was made with an eye (Continued on page 7) Sullivan Leaving TO A; Joins Kef auver Gael Sullivan, executive director of Theatre Owners of America, will take a leave of absence from that post starting in the next day or two to manage the campaign of Senator Estes Kefauver for the Democratic Presidential nomination. In Sullivan's absence, Herman Levy, TOA general counsel, will absorb most of the duties of the executive director. If Kefauver is nominated, Sullivan's (Continued on page 6) (Picture on Page 6) Industry Conference Begun; Sessions to Continue Through Week Provision for a conciliation system to supplement any arbitration machinery that may be adopted for the industry, and to avoid overburdening that machinery, is favored by the arbitration conference which went into executive session at the Hotel Astor here yesterday. The conciliation system, if realized in later discussions to be held, would be invoked prior to submitting of a grievance to arbitration. Yesterday's initial conference, with William F. Rodgers as first chairman under a plan which will see the chairmanship rotated among participating organizations daily, dealt primarily with arbitration procedures, it was stated at the close of the session. General agreement was reached on the following points : A system of arbitration must be set up in the speediest possible time. Arbitration must be carried on at the grass-roots level. The arbitration system must be carried on at the lowest possible cost. The arbitration system must provide for the speedy disposition of disputes. The conference appointed a committee to crystallize proposals for arbitration machinery. The committee (Continued on page 8) RKO Circuit Earned $1,322,000 in '51 The consolidated net profit of RKO Theatres Corp. for 1951 was $1,322,000, after income taxes of $1,225,000. the first annual report to stockholders disclosed here yesterday. This compares to estimated earnings in 1950. had the company operated independently, of $1,195,000. after taxes of $1,008,000 and extraordinary reserves of $600,000, according to the report. The annual statement explained that RKO Theatres began its separate existence on Jan. 1 of last year, breaking away from RadioKeith -Orpheum Corp., as required by the consent de(Continued on pageS)