The Exhibitor (1957)

MOTION PICTURE IXHIIITOH 9 FCC Favors "Adequate" Trial Ot Toll-TV Commission Says It Has Authority To Sanction Tests; Committee Against Toll-TV Files New Argument Washington — The Federal Communica¬ tions Commission announced last fort¬ night that it had been ascertained that it has legal authority to sanction pay tele¬ vision providing it feels it. would be in the public interest to do so. Still to be determined, it was said, was whether pay-TV could be classified as “broad¬ casting” or whether it should be found to be another type of service such as common carrier. The Commission is asking for written replies to questions on what would repre¬ sent a reasonable trial of pay-TV, with the deadline for answers, which anyone may file, being set as July 8. It was stated by the FCC that it is impossible to tell in advance about the specific relationships between pay-TV producers, distributors, community fran¬ chise holders, TV stations, and others, and numerous aspects can not feasibly be worked out and crystalized except in practice. These facts will have to be known before the service could be classi¬ fied, it was held. It was also deemed impossible to make a realistic assessment of an untried serv¬ ice without a demonstration of its oper¬ ation in actual practice. The field ex¬ periments performed so far were con¬ sidered too limited in scope and duration to give the answers. The FCC stated that it hoped to find a way to authorize tests of a great enough magnitude to obtain the needed informa¬ tion. This action practically put the FCC on record as favoring an “adequate” trial of pay-TV before denial or approval. Later the Joint Committee on Toll-TV said that the FCC “erred” in reaching the conclusion that it possessed the legal authority to sanction the showing of video entertainment for a fee should it be felt to be in the public interest. Trueman T. Rembusch and Philip F. Hailing, co-chairmen of this committee, issued a joint statement questioning the FCC’s authority and reiterating that pay TV “can never be in the public interest because it is discriminatory.” After conferring with their committee’s counsel, Marcus Cohn, they were reported as convinced that Congress and the Courts will find that “pay TV is unconstitu¬ tional on more than one ground.” They said they believed it to be “inevitable” that when the bill of Representative Emanuel Celler, New York Democrat, reached the House “it will outlaw pay TV.” The measure is now before the House Interstate and Foreign Commerce Committee. Levey, Goldenson Disagree On Value Of Toll-Television New York — Authur Levey, president, Skiatron Electronics and Television Cor¬ poration, last fortnight took Issue with Oklahoma Kills Bill To Outlaw Checking OKLAHOMA CITY— Senate Bill 261, an anti-blind checking measure which had the support of United The¬ atre Owners of Oklahoma, died in committee in the House last week after having been earlier passed by the Senate. With the adjournment of the Legis¬ lature, there will now be at least a two year lapse before the threat of similar legislation faces the distribu¬ tors, since the Legislature only meets that often. Radio Promotion Test In Two Cities Planned New York — Si Seadler, advertising manager, MGM, and chairman, MPAA distributor-exhibitor radio committee, re¬ vealed last fortnight following a meeting o. the body at the Harvard Club that a radio promotion, “Operation Moviegoing,” would be tested for eight weeks in two cities starting not later than June 17. Pending clearances of exhibitor partici¬ pation, the names of the cities were with¬ held. The MPAA has allocated $5,000 for the project originally set for a single city test in Denver. If the promotion, which entails partici¬ pation by disc jockeys, works out, it is planned to extend it on a national basis for 13 weeks in the fall. Such a campaign has been estimated to cost $319,697. Present at the meeting were Harry Mandel, Harry Goldberg, Ernest Emerling, and Charles McCarthy, COMPO press relations committee; Jeff Livingston, U-I; Sid Blumenstock, Paramount; Taylor Wills, MPAA;, and Oliver Kingsbury, Donahue and Coe. Leonard H. Goldenson, president, AB-PT, who recently stated that “latest feature motion picture releases” were being offered on commercial TV, and labelled this remark as a “blind shot-gun attack” on pay-as-you-see television. Said Levey, “I challenged him to name such latest pictures produced in the U. S. or by American firms, which have been offered on TV.” He declared that no first-run feature made by a major American company has ever been aired and said: “The economics involved have prohibited it, and will con¬ tinue to block such presentations until toIl-TV makes it possible for the public to get programs they want when they want them, and at a modest fee for the entire family with no interruptions by commercials.” Levey declared toll-TV was “inevit¬ able,” and said • that some of the leading film producers are quietly supporting pay-TV. He said his organization had its Subscriber-Vision system ready to move into the field as soon as an okay is granted by the Federal Communications Commission. Toll-TV Helpful? TO A Asks Johnston How New York — In a bulletin mailed to members last week the Theatre Owners of America took issue with a statement attributed to Eric Johnston, MPAA presi¬ dent, that “subscription TV could prove helpful to everybody.” The TOA bulletin states that it is anx¬ ious to inform its membership regarding “a possible clarification and explanation” of Johnston’s statements. “The lifelong customers of the com¬ panies that you represent,” Johnston is told, “have for years strenuously opposed any form of toll-TV within the jurisdic¬ tion of the FCC. To our knowledge, no one has advised us as to how pay TV ‘could prove helpful’ to the theatre own¬ ers of America.” Johnston stated that he would call a press conference soon at which he would explain his exact position regarding the controversial subject of pay-as-you-see television. Triple Bow For "Pride" New York — Stanley Kramer’s $4,000,000 Technicolor-VistaVision production, “The Pride And The Passion,” will have simultaneous world premieres in New York, Chicago, and Los Angeles at the end of June, it was announced last week by William J. Heineman, United Artists vice-president in charge of distribution. The gala openings will take place at the Capitol, New York; the State-Lake, Chi¬ cago; and the Fox Wilshire, Los Angeles. Expanding the already huge tie-up program, United Artists has concluded a co-op ad agreement with the Air Express agency that will ballyhoo the multi million-dollar VistaVision spectacle in 20 national magazines and trade publications with a combined readership of more than 18,000,000. Richard Brandt Heads Trans-Lux New York — Richard F. Brandt was last fortnight elected president, Trans-Lux Theatres Corporation, and Trans-Lux Pictures Corporation. George Roth has been named vicepresident of Trans-Lux Pictures Corpora¬ tion and to the board of directors of Trans-Lux Pictures and Trans-Lux Dis¬ tributing Corporation. He has been vicepresident of Trans-Lux Distributing Cor¬ poration since October, 1955. Seaton Reelected By Academy Hollywood — George Seaton last fort¬ night was reelected president, Academy of Motion Picture Arts and Sciences by the new board of governors. Also re¬ elected were Samuel G. Engel and Fred L. Metzler, vice-presidents; Hal Elias, secretary; John Aalberg, treasurer; and J. H. Karp, assistant treasurer. Valentine Davies succeeded Perry Lieber as assist¬ ant secretary. June 5, 1957