Motion Picture News (Nov-Dec 1925)

Move m her 21 , 19 2 5 2441 Goldburg Discusses State Righters Declares Independent Market Has Already Collapsed, While Commending Motion Picture News Editorial WILLIAM A. JOHNSTON, Publisher of Motion Picture News, is commended for the candor of his editorials and this publication praised for its fairness in matters of interest to the picture industry, in a letter from Jesse J. Goldburg, President of Independent Pictures Corporation. Commenting on an editorial of Mr. Johnston's in the issue of October 24th, under the title of "A Plain Matter of Business," Mr. Goldburg declares Motion Picture News is too conservative when it says there are "rumors" of a collapse of the independent market. The collapse is already an actuality, according to the Goldberg letter, which follows: My dear Mr. Johnston: Your editorial headed "A Plain Matter of Business," published in the October 24th issue of the Motion Picture News, has been under my eye ever since its receipt. Of the many admirable qualities possessed by you, one stands out most forcefully, and that is "candor." Neither you nor your publication deem it necessary to beguile the motion picture industry with optimistic statements in order to cull from the producer or distributor additional copy for advertising, in the hope they will swallow your optimism and spend more money. The only error in your article is that you state " there are rumors of the collapse of the Independent or State Right market." "Rumors" doesn't fit the situation. Your article should have stated "it is a fact that the Independent or State Right market has collapsed." The reasons for it might be summarized as follows: Lack of financial backing on the part of Independent Exchanges, to properly operate their business. ^3tMMunmiuiif ii tiinitii t urn 1 1 1 it nil it t riii 1 1 1 mm n ; i}i 1 1 nr 1 1 1 1 n r i ii;ki 1 1 in 1 1 1 1 1 [i 1 1 until ii mi 1 1 limn 1 1 1 mill in 1 1 1 1 1 1 mi ii 1 1 1 ^ | Elinor Fair to Play Lead 1 in "Volga Boatman" CECIL B. DE MILLE has selected ] Elinor Fair to play the leading 1 feminine role in his second per | j sonally directed production for release | | through Producers Distributing Corpora 1 tion, "The Volga 1 Boatman." De § Mille decided on | Miss Fair after § screening sev | eral pictures in 1 which she ap 1 peared recently. j "Ability, | beauty and | youth are the j three qualities | for which I § selected Miss 1 Fair," said De j | Mille. "She must portray a Russian | j aristocrat, patrician in ideas and ap § j pearance, yet possessed of a keen 1 | sympathy for the peasants she has been 1 | educated to ignore. She must mix with § | her portrayal of aristocratic reserve some | | thing of the fiery temperament of the § | East, and her emotional potentialities § | must be deep." § fi i iiiiiiiiiiiiiiiini iiiiiiiiiiiiiiiiiiiiiiniiiiii i iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiniiii Elinor Fair Jesse J. Goldburg, President of Independent Pictures Corporation. Lack of ethical business methods on the part of Independent exchangemen. The failure of Independent exchangemen to meet their obligations when due. The failure of Independent exchangemen to properly exploit worthwhile productions. The lack of cooperation on the part of Independent theatre owners to support Independent product. The inability of Independent exchangemen to differentiate between good and bad product. Over-production. Lack of cooperation among Independent producers. In the thirteen years I have been connected with the Independent Producers and Distributors of motion pictures, I have never met with a situation paralleling the present one. The Independent Association may be functioning to some good advantage, as to that I do not know because my company resigned months ago, only because it seemed to us we had a lot of speech making and quite some publicity without any effective results. The Independent theatre owner doesn't seem to recognize that he was kept in business only because of independent product, but instead of booking independent product, he used its existence in order to secure more favorable terms from the larger companies. Independent Pictures Corporation has ceased production for the Independent or State Right market, at least for the present, and only because we wanted to avoid bankruptcy. If the Independent or State Right producer would realize that he is the goat and stop fooling himself, and also stop the State Right exchangemen from fooling him, and cease production or disti'ibution for six months or a year, perhaps the State Right exchangemen and theatre owners might be pinched a bit and return to the fold. Yours Very Truly, (Signed) JESSE J. GOLDBURG. Famous' Canadian Subsidiary Issues Financial Report Eastern Theatres, Limited, Toronto, a subsidiary company of Famous Players Canadian corporation which operates an important group of vaudeville and moving picture theatres, has just issued a financial statement for the year ended August 28, 1925. The statement shows that the profits for the year were slightly lower than in the previous year but were sufficient to allow a substantial sum for depreciation, pay taxes and dividends and permit of $24,261 being added to surplus. Reductions have been made in the company's liabilities, the most notable of which is a decrease of $52,000 in the mortgage indebtedness. Net earnings for the period, before providing for depreciation, etc., amounted to $122,160, compared with $149,327 in 1924, and $127,025 in 1923. The sum of $60,118 was set aside for depreciation on building and equipment, etc., and $6,034 paid in Dominion of Canada income taxes, leaving net profits of $66,422 compared with $89,245 in the previous year. After payment of dividends amounting to $35,000, allowing for $3,524 for adjustment of 1923 tax, surplus for the year amounted to $24,261, which added to the balance forward of $129,260, brought the credit balance in profit and loss account to $153,521. Charters for New Companies in New York Motion picture companies incorporating in New York state dming the past week included the following, the names of the directors and the amount of capitalization, when such is stated in the papers filed with the secretary of state, being given : Brewster Theatre Corporation, Brewster, $20,000, Benjamin and Rose Marasco, E. F. O'Neil, of Brewster; Gordon Enterprises, Charles K. Gordon, A. J. Rubien, Meyer Machlis, New York city. Dallas-Capitol Theatre Corporation, Charles B. Paine, Brooklyn, E. H. Goldstein, H. E. Hughes, New York city; Tennek Film Corporation, $20,000, K. J. Bishop, John Bernhardt, Paul Huhn, New York city; Romantic Plays, Inc., $10,000, Rhoda Alexander, H. H. Abel, Samuel J. Krinn, New York city; Charles de la Motte Productions, Inc., $100,000, Charles de la Motte, Rudolph Wieber, Philip Mentell, New York city. The Film Associates, Inc., $20,000, ^Montgomery Evans, George Cronyn, Albert Boni, New York city; Winkler Pictures, Inc., William E. Slater, Edward M. James, Celia Shakin, New York city; Fox Theatres Corporation, William Fox, Douglas Tauszig, Jack G. Lee, New York city.