The motion picture industry (Nov 1935)

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-4 TA3LE I A Assets of I.iotion Pictur e Theatres, 1930-1933 (Dollars In thousands ) 1930 1931 1932 1933 Number Reporting 1,889 1,809 2 , 152 2,368 Total Assets $618,792 $717,307 $986,584 $1,076,486 Current 102,404 119,728 205,919 255,927 Investments 53,340 68 , 143 173,753 244,584 Fixed 389,494 470,433 523 , 241 490,536 Miscellaneous 73,554 59,003 83,771 75,339 Source; Bureau of Internal Revenue, tabulation sheets and published reports (Statistics of Income)., Cam tal Invo stment According to the Motion Picture Almanac the capital investment of the Industry stood at $2,000^000,000 in each of the years from 1929 to 1935, with the exception of 1934 when the figure was placed at $1,750,000,000, The investment in studios is roughly $100,000,000; the investment in the distribution branch of the Industry is something between $10,000,000 and $20,000,000; while that for the exhibition branch of the Industry lies between $1,630,000,000 and $1,880,000,000. In other words, the investments in production or distribution are insignificant in comparison with the investment in exhibition. In a study made recently by a group of architects, Messrs. Lamb, Rapp, Alschlager, Eberson and Schultz, it was estimated that $1,460,000,000 has been spent to date in the building of theatres exclusive of those parts of theatre buildings given over to office space. 1/ Interstate Character of the Industry In the making of films, numerous writers, actors, actresses, directors, cameramen, and other artists and artisans, are assembled from many different states and foreign countries. Great quantities of unercoosed films and large quantities of scenery, costumes, paraphernalia, and properties are transported from many different states to the studios located in those few where motion pictures are produced. The distributors enter into contracts for leases with exhibitors for the exhibition of films throughout the United States through the media of correspondence, branch offices, and salesmen. Thus film contracts which are entered into between residents of different states, involve the leasing of a commodity manufactured in. one state and transported to and used in another state. 1/ Verbal statement by Mr. David Palf reyman of the Theatre Service Division of the Motion Picture Producers and Distributors of America (June, 1935), 8976