Motion Picture Daily (Jul-Sep 1954)

MOTION PICTURE DAILY VOL. 76. NO. 15 NEW YORK, U.S.A., THURSDAY, JULY 22, 1954 TEN CENTS NYC WEIGHS MEANS TO OFFSET POSSIBLE 5% TAX INJUNCTION As local exhibitors awaited a Supreme Court decision on the granting of a temporary injunction which would block collection of the New York Cityfive per cent amusement tax, pending trial of a suit lodged by five theatres against the city, city attorneys intimated they may resort to the Civil Practice Act in order to sidestep the possible injunction, if it is granted. The "ace in the hole" afforded the city, should the injunction be invoked, stems from section 571 of the Civil Practice Act which states that "in an ordinary case involving a municipality, the mere filing of a notice of appeal stays execution" pending the appeal. New York City assistant corporation counsel Stanley Buchsbaum this week intimated that the statute provides the city with an opportunity of continuing collection of the tax, even in the face of a temporary injunction. Under the law, the mere filing of an appeal would "stay the injunction" or permit the city to continue collecting the tax, lavi'yers say. The key to the statute's phrasing, according to Thomas Bress, Loew's attorney, is "an ordinary case." He said that attorneys for the theatres in this case will attempt to prove to the Supreme Court that it is an "extraordinary case" and therefore negates the statute's wording. Such action would be necessary only if the city filed the notice of appeal, however. In addition, Bress stated, the allegations that the city is violating a section of the Administrative Code and the New York State enabling act, would eliminate the case from the Civil Practice Act phrasing. With (Continued on page 3) Non-Raiding Pact to Be lA Meeting Issue Delegates to the lATSE convention in Cincinnati next month will press for an answer as to why the lA has not signed the CIO-AFL non-raiding agreement, it was stated here yesterday by a delegate to the convention. It was pointed out that approximately 1,200 U. S. unions have signed the non-raiding pact. Whether the withholding by the lATSE means that it intends to raid other unions within the amusement industry appears to be a subject for speculation among the affiliated units. Local H-63 of the Home Office Employes, a special department, is one that has announced its intention to try to lure film publicists into its fold. At present, only the Paramount home office publicists are represented by H-63. Plan Public Showing Of Lenticolor in Fall A public demonstration of Lenticolor is scheduled for the fall, the process having been sidetracked during the last year because of the development and introduction of new screen techniques. It is reported that the color process will be "taken out of mothballs" and prepared for screen utilization. A few test reels have been made in the process by 20th Century-Fox which, it is understood, may be the first to give the system a full treatment. The company holds an interest in Lenticolor. Spyros Skouras, 20th-Fox president, this week met with Lenticolor representatives in New York to discuss the use of Lenticolor in future product. Brackett Confirms Academy Difficulties HOLLYWOOD, July 21. — Confirming reports that the Academy of Motion Picture Arts and Sciences has experienced financial stress recently, president Charles Brackett issued a formal statement that the Academy "has completed negotiations with the American Motion Picture Producers whereby they have agreed wholeheartedly to continue to use the services of the Academy for which we {Continued on page 3) Commerce Dept. Reports Drive-ins Accounted for 20% of Grosses in 1933 WASHINGTON, July 21. — Drive-in theatres accounted for more than 20 per cent of total theatre gross receipts last year, the commerce department's film branch estimated. Allied-Distributors Meeting Off to Aug. Although the projected meetings between leaders of Allied States Association and distribution sales managers, which had been scheduled to be held during the week of July 26, has been postponed, the sessions definitely will be held later in the summer, it was reported here yesterday. The sales heads, it was learned, have expressed a willingness to discuss trade practices and sales policies with the Allied executives, but because of vacations and the necessity of several of the distributors' representatives to be out of town on business during the slated period, the meetings have been deferred. The Allied board will meet in White Sulphur Springs, W. Va., in late August and there is a strong possibility that the meetings with the sales managers will be held prior to the directors' sessions. In that event, the exhibitor-distributor parleys v^'ould be held in New York either during the week of Aug. 9 or Aug. 16. Bright Future Baltimore Exhibitors Report Business Has Improved By GEORGE BROWNING BALTIMORE, July 20.— Business is better in the Baltimore motion picture territory and exhibitors have ample reason to expect a brighter future, accarding to a consensus among theatre owners here. A particular note of optimism is sounded by Leon Back, Special Group Will Probe UHF Problems WASHINGTON, July 21.— A Senate Commerce subcommittee which has been investigating the problems of UHF television broadcasters agreed to create a special advisory committee to study various of the proposed solutions it received during its investigation. The committee would include representatives of all branches of the radio and television industry and of the public. The subcommittee also re" (Continued on page 3) president of the Allied Motion Picture Theatre Owners of Maryland, Inc., and general manager for the Rome Theatres, a local chain. "Business has shown a marked improvement," said Back, "and indications are it will be even better in the near future, particularly the coming autumn." "The improvement, I'd say, is due to the fact that pictures are better, and we also can thank the recent innovations in projection along with the increased quality of product." Viewing the forthcoming months brightly, Back added that he believed {Continued on page 3) It said that about 4,000 of the approximately 18,000 35 mm. theatres in the U. S. last year were drive-ins. It estimated average weekly attendance at all theatres in 1953 at 50,000,000. These estimates were contained in the introduction to a six-page pamphlet listing "basic information sources on motion pictures" and published by the Motion Picture Division of the Commerce Department's Business and Defense Services Administration. Only yesterday the Census Bureau issued a report estimating that 18,205 theatres doing business last year had total receipts from customers of $1,323,838,000. The Commerce Department listing emphasized that the film industry "is one of the major industries in the United States" and that these information sources might be helpful in understanding the industry. The pamphlet listed publications by govern{Continued on page 3) No ^Radical' Changes In Arbitration Draft Several changes in the 1952 distributors' draft of an arbitration system have been proposed by the sub-committee now working on the project, but the changes are said to be "not radical." Committee members, however, are reluctant to discuss the issues until a new draft has been completed. The committee will hold several more meetings before actual work will start on putting the formula into writing. The group met yesterday and probably will hold sessions once or twice a week until the assignment has been completed. *U' to Redeem 33/4% Debentures Sept. 1 Universal Pictures has completed arrangements with the First National Bank of Boston for the refinancing of its debentures, it was announced here yesterday b}^ Milton R. Rackmil, president. In line with the arrangement. Universal has elected to redeem on Sept. 1 its outstanding 3% per cent sinking fund debentures which were due on March 1, 1959. There presently are $2,393,000 of the debentures outstanding in the hands of the public.