The Exhibitor (1959)

April 8, 1959 MOTION PICTURE EXHIBITOR 9 Severe Limits On All Toll-TV Tests Seen Great Victory For Opposition Warner, Schneider Form Production Firm HOLLYWOOD — Jack M. Warner and Samuel Schneider, former Warner Bros, vice-presidents, announce formation of Jack M. Warner Productions, Inc., to produce fea¬ ture motion pictures, television series, and commercials, industrial films, and Broadway plays. Warner, son of Jack L. Warner, has been active in feature film and television produc¬ tion for the past 18 years as a civilian and officer in the Signal Corps, in which he holds the rank of Lieutenant Colonel. His latest production and administrative post was as head of the Warner studio’s commer¬ cial and industrial film division. Schneider, former vice-president, treas¬ urer, and director of Warners, served that company continuously for 34 years before opening his own offices. Officers of Jack M. Warner Productions, Inc., are Schneider, president and treasurer; Jack M. Warner, vice-president in charge of production; and David M. Richman, Beverly Hills attorney, secretary. Ad Agency Expands NEW YORK — Charles Schlaifer, president, New York advertising agency bearing his name, announced plans to open a west coast division in Los Angeles and the appoint¬ ment of James Raker to head it. Raker for many years was the advertising department manager at Universal Studios, and most recently handled advertising at the Walt Disney Studios. The Schlaifer agency has for many years represented 20th-Fox and recently was re¬ tained by Universal-International. It also represents other accounts. Editors Honor "Defiant" HOLLYWOOD — Motion Picture Sound Edi¬ tors last week at their sixth annual awards luncheon presented awards to sound editors Walter G. Elliot, John Mick and Wayne B. Fury of United Artist’s “The Defiant Ones,” and to Ed Scheid and Hal Fisher for Warners’ TV “Maverick.” Samuel Goldwyn was given a life membership. ALBANY — A veteran small town exhibitor has launched a campaign via addresses and question-answer periods at dinners and meetings of civic groups, to acquaint the public with the motion picture industry and the problems faced in operating a theatre. He is George Thornton, who for 34 years has conducted the Orpheum in Saugerties, Catskill Mountain village, and who also runs the Orpheum in Tannersville and the Wind¬ ham in Windham, during the summer sea¬ son. Moved by a letter which a woman wrote to the local paper, critical of several PreVues of Coming Attractions at the Orpheum, and what he thought was her lack of knowl¬ edge on significant aspects of the motion picture business, Thornton made a strong, detailed reply, in print. He also accepted the invitations of Sauger¬ ties groups, who “rallied” to his side, and delivered a series of informal talks on “The Regional Trade Publication Sold To Industry Novice MINNEAPOLIS — “Greater Amuse¬ ments,” North Central regional trade pub¬ lication founded by the late T. E. Mortensen, was sold last fortnight by bis widow to Frank W. Cooley, who is associated with Miller Publishing Company. The new owner publishes several trade papers in other fields, but this is his first connection with the motion picture in¬ dustry. Ohio Exhibs* Insurance Plan COLUMBUS, OHIO — The Independent Theatre Owners of Ohio at a board of di¬ rectors’ meeting last fortnight regretfully ac¬ cepted the resignation of board member and treasurer Charles Sugarman and named Milton Yassenoff, Columbus, to succeed him for the balance of the term. Sugarman resigned due to the pressure of his drive-in theatres. Additionally, the Association has sponsored a multi-phase insurance program for mem¬ bers. Included in the voluntary program are coverages for either owners or employees of owners. The coverages being offered are basic hospitalization protection; loss of in¬ come protection; new catastrophe hospitali¬ zation; and an overhead expense protection plan to help pay normal operating expenses in case of accident or sickness. Continental Casualty Company is underwriting the plan. Columbia Acquires "Raisin" NEW YORK — Columbia Pictures an¬ nounced last week the acquisition of the motion picture rights to Lorraine Hansberry’s new dramatic hit, “A Raisin in the Sun.” The property was Broadway’s most-soughtafter prize in recent days following the play’s opening to unanimous rave reviews. Davis Susskind and Philip Rose will pro¬ duce. Motion Picture Industry and the Exhibitor.” Among those whom Thornton addressed were the adult council of Camp Fire Girls; the Jayncees (wives of Junior Chamber of Commerce members) ; the senior Chamber of Commerce (of which he is a former presi¬ dent) ; the Monday Study Club (women) . Thornton reported that he found the pub¬ lic to be little acquainted with the modus operandi of a theatre, especially of the man¬ ner in which pictures are bought and book¬ ed. He emphasized the Orpheum’s policy of “never playing a condemned picture”; not admitting children to the evening shows un¬ less accompanied by parents; the care taken in booking Saturday matinees, when 95 per¬ cent of the children’s business is registered. Thornton pleaded, not only in the news¬ paper letter but in his talks, for the public to “patronize good pictures.” NEW YORK — Hailing the House Interstate Commerce Committee -Federal Communica¬ tions Commission decision to severely limit the tests of broadcast toll-TV as a great vic¬ tory for the opponents of pay-television, Philip F. Harling, co-chairman of the Joint Committee on Toll Television, declared the Joint Committee would press the House In¬ terstate Commerce Committee to conduct hearings to completely resolve the toll-TV question. In an analysis of the F.C.C. letter which accepted the broadcast toll-TV test limita¬ tions sought by Representative Oren Harris, chairman of the House Interstate Commerce Committee and author of the House Joint Resolution banning all forms of toll-TV in¬ cluding cable transmission, Harling declared his committee will now push for the Con¬ gressional hearings in order to outlaw cableTV. He said the test procedure outlined for broadcast toll-TV was so limiting, should prove so costly to the pay-TV systems, and is so lengthy . . . three years . . . that he feels broadcast toll-TV is effectively stopped for the three years. Further, he said, Con¬ gressman Harris was very specific in his re¬ port to Congress on the limited test authori¬ zation, that the forthcoming tests would in no way make broadcast toll-TV permanent, and that Congress retained the right to de¬ cide to permanently ban the broadcast sys¬ tems after the tests are completed. Harling said he has been in daily contact with Marcus Cohn, Washington attorney for the Joint Committee, and they agree the limited tests represent a victory for op¬ ponents because: 1. Each of the five systems can be tested in only one city, and there are only 20 mar¬ kets in the entire U.S. with four or more TV stations qualified for tests. 2. Each of the five systems must pay all the costs of installing the system in individual homes, a cost Harling said should be pro¬ hibitive. The decision specifically prohibits the systems from passing installation costs on to users. 3. When the F.C.C. first proposed to ac¬ cept applications for tests in 1957 — when none of the present limitations were proDosed — none of the systems filed applications. The new limitations are discouraging to the systems. 4. Regardless of whether the tests prove successful or not, Congressman Harris has specified to Congress the tests will not in themselves grant permanency to any sys¬ tem. 5. Congressman Harris has further clearly indicated that the final judgment on whether pay-TV is legal is for Congress to decide. “We are confident,” Harling declared, “that the hearings on the Bill will convince not only the Interstate Commerce Committee and other members of Congress, but the public, that toll-TV in any form would be against the public interest. “It is now incumbent upon the Joint Com¬ mittee to press with all forces at its com¬ mand for hearings by the House Interstate Commerce Committee so that once and for all the matter can be adjudicated by legisla¬ tion. <Tt is apparent to us from the consent by ( Continued on page 16) Veteran Small Town Exhib Launches His Own Public Relations Campaign