Motion Picture Herald (Apr-Jun 1931)

June 13, 1931 MOTION PICTURE HERALD INDUSTRY'S CAPITALIZATION REACHES BILLION; CONCENTRATION REFLECTED 15 Companies Are Capitalized at $942,809,650 m Growth of the listed stock and bond investment in the film and equipment branches of the ^notion picture industry over a tzvo-year period, shown by large individual capitalization gains, is illustrated in the compilation which follows: (Totals embrace par value of total capital stock of all classes, and where there are funded debts, all bond issues. Securities of all subsidiaries are included) : MOTION PICTURE COMPANIES End of COMPANY 1930 1929 1928 Columbia $ 2,487,948 $ 2,487,948 $ 887,948 Fox 167,814,721 53,705,832 50,885,987 Loevv's 88,849,225 90,674,372 81,338,458 M-G-M 7,565,675 7,666,682 7,767,662 Paramount 224,899,991 168,088,491 124,685,132 Pathe 6,989,104 7,546,079 7,761,102 RKO 97,605,570 74,382,203 54,338,731 Universal " 8,348,051 8,405,051 10,993,051 Warner Bros 187,219,691 187,652,461 5,089,652 ▲ ▲ ▲ COMPANIES IN EQUIPMENT AND ALLIED FIELDS End of COMPANY 1930 1929 1928 Cons. Film $ 9,000,000 $ 9,000,000 $ 6,000.000 Eastman Kodak 28,776,000 28,779,900 26,726,890 Gen. Theatres 103,227,930 93,073,288 47,590,000 Nat'l Screen 228,832 266,647 266,648 Technicolor 3,872,447 3,828,491 3.559,734 Trans-Lux 5,924,465 5,944,965 5,938,660 TOTALS $942,809,650 $741,502,410 $433,829,655 Graham Says No More Paramount English Houses Independents in Search of Silent Recording Units J. C. Graham, Paramount chief in England has stated on his return to London that Paramount plans no further acquisition of theatres in England, confining itself to the approximate 12 it now controls in various key cities. Paramount Pictures, Ltd., of which Graham is managing director, plans 70 features this year, with two or three reels of shorts per week. Graham stated a larger budget than ever before was being allowed for these films. Independent sound units have jumped on the noiseless recording band-wagon with Western Electric and RCA Photophone, both of which made available "silent" recording for licensees many weeks ago. Although others are understood to be working on the development, Verne Bramen's Blue Seal Sound System, New York, is the first independent device to incorporate noiseless recording, both in its portable and studio recording apparatus. RKO Trailers for Chicago Shows May Be Made There RKO's Chicago theatre trailers announcing coming attractions may be made in Chicago in the future, instead of elsewhere, and then routed over group houses of the circuit, as is now the custom. The reason lies in the uncertainties of shipping which, last week, deprived the Palace of its announcement trailers. "Junior" Leaves in 2 Weeks; "Senior" Will Stay Home Carl Laemmle, Sr., this week suddenly decided to visit Europe and just as suddenly cancelled reservations. Laemmle has not decided whether he will sail in a few weeks or return to Universal City. "Junior" Laemmle, now in New York for story material and home office conferences, may return to the Coast in two weeks. He originally had intended to leave on Saturday. Paramount Most Heavily Capitalized Unit Expansion and Concentration Raises Total of Listed Capitalization $500,000,000 in Two Years Par value of total outstanding and authorized stock and bond capitalization of film, equipment and allied branches of the industry now reaches $1,000,000,000, of which $942,809,650 is listed by 15 companies and approximately $57,000,000 by companies other than major producerdistributors and equipment companies. Based on "listed" securities of 15 companies, capitalization of major interests increased from $437,598,596 in 1928, to $741,501,370 in 1929, and to $942,809,650 in 1930. These totals represent increases of $303,000,000 in 1929 over 1928; and $201,000,000 in 1930 over 1929. The $500,000,000 increase over the twoyear period in listed capitalization of the 15 companies reflects the rapid expansion and concentration which has taken place within the industry during this period. While a large share of the half-billion figure represents actual upbuilding of properties and investment in new theatres and equipment, an important part of the tremendous increase in capitalziation of the 15 units was brought about through acquisition of important theatre companies. Paramount's acquisition of the Comerford circuit and transfer of Stanley holdings to Warners, represent typical instances where important increases were made in listed capitalization of major interests, although, in reality, Comerford and Stanley capitalization already had existed as part of the industry's "unlisted" capitalization structure. Warner Brothers, talking pioneers, showed the largest individual gain in capitalization, the total spurting from $5,089,652 in 1928 to $187,652,461 in 1929, from which there has been little change. Paramount is revealed as the most heavily capitalized unit at the present time, stocks and bonds of this company and its subsidiaries totaling $224,899,991. This compares with $168,088,491 in 1929 and $124,685,132 in 1928. Expansion of General Theatres Equipment in its Fox acquisition is reflected in a rise in capitalization from $47,590,000 in 1928 to $93,073,288 in 1929 and $103,227,930 in 1930. Growth of the stock and bond investment in the industry over the two-year period, shown by other large capitalization gains, is illustrated in the chart which appears elsewhere on this page. Music Arrangers Organize Music arrangers, copyists and transposers in Chicago have become unionized, joining the musicians' local in that town.