Motion Picture News (Nov-Dec 1925)

December 5 , 1925 2643 Seider Congratulated by H. M. Richey Significant Exchange of Letters Between Important Allied Official and M. P. T. O A. Business Manager THERE has been a significant exchange of letters, it was learned this week, between H. M. Richey, General Manager of the Michigan M.P.T.O. and Joseph M. Seider, Business Manager of the M.P.T.O.A. Mr. Richey wrote to offer Mr. Seider his personal congratulations and good wishes on the latter's appointment to the M. P. T. post. While he makes it very clear that he •cannot pledge the Michigan organization to "a policy that I know they are not sold on now," Mr. Richey offers to give Mr. Seider his personal aid based on his experience in a similar position with the Michigan organization. Mr. Seider's reply, summed up, is a reiteration of his platform of "strict business and no polities" and the hope that definite accomplishments under his regime will lead to the full co-operation of the Michigan organization. This is the first definite expression from an important official of the Allied group toward the Seider appointment and is regarded by observers as being an expression of good-will which may lead eventually to complete harmony in the ranks of the organized exhibitors. Mr. Rickey's letter to Mr. Seider follows: "Dear Mr. Seider: "I want to take this opportunity of offering my hearty congratulations to you on your selection as Business Manager of the Motion Picture Theatre Owners of America. "I wish you every success. Placed in the position you are 1 know many times you will be discouraged and I hope you will carry on, that the time may come when the exhibitors of the United States may have that which they unfortunately do not have at the present time, a real exhibitor organization. "T believe you can do it; I hope so. We Heed it. "No one hopes more than Michigan that petty politics has finally been eliminated and that constructive definite work will be the aim from now on. It is probable that many will stand off and watch with interest the progress, not yet convinced that the organization is not dominated by one personality. With the order of events that has been the diet in the past this is natural. Only real accomplishments will change that situation, for which, of course, you are not to blame. "It will be your job to undo that which has been done, to take up the straggling ends that have been started and left uncompleted, to blaze new trails. "If there is any time that I can personally assist you without pledging the Motion Picture Theatre Owners of Michigan to a policy that I know they are not sold on now, and which I frankly am not either and will not be until I do see some real accomplishment, I shall be happy to give you the benefit of what little experience I have had in the business. "Sincerely yours, "M.P.T.O. of Michigan, Inc., (Signed) "H. M. RICHEY, "Manager." To which Mr. Seider replied: "Dear Mr. Richey: "I am greatly encouraged indeed by your letter of November 11th. I keenly appreciate your congratulations, good wishes and personal offer of assistance. "Politics and personalities are not conducive to good business and if we will only be permitted to 'carry on' along business lines, devoid of these obstructions, there is no doubt that ultimately we will be successful in this undertaking and that we will function for the rendering of protection and practical service to our members. "I hope the day is not far off when our sincere endeavors will have taken tangible form and that through our activities, all doubts will have been dispersed and that we will have the full cooperation of your splendid organization and yourself. "Again thanking you, I am, "Sincerely and Fraternally yours, "JOSEPH M. SEIDER." Ray art President Denies S.R. Collapse Jesse Goldburg's Statements Regarding End of Independent Market Strongly Denied by W. Ray Johnston in Letter to News IN a letter to Win. A. Johnston, editor of Motion Picture News, W. Ray Johnston, president of Rayart Pictures Corporation, strongly contradicts some of the statements made in a letter from Jesse J. Goldburg, president of Independent Pictures Corporation, and published in the News of November 21, in which Goldburg asserted that the state right market had collapsed and assigned several reasons for this. W. Ray Johnston asserts that the state right market is far from being in a state of collapse, from his own e perience with it the past year. His letter follows : My dear Mr. Johnston : The letter to you from Jesse J. Goldburg which appeared in your issue of November 21st is so far from the situation concerning the present status of the State Right market as a whole that I am surprised you would publish same without a thorough investigation to ascertain the actual conditions as they exist. The Independent market may have collapsed so far as Mr. Goldburg may view it by the amount of support given to his particular product, but when you publish his letter as a statement of the situation in general a great injustice is done to hundreds of men who have large investments in the Inde1 endent Field from various angles. We find the Independent market far from being an "Actual Collapse," as your article would lead one to believe. Our sales from November 1st last year to November 1st this year, inclusive of sales of l'thographs, prints and accessories, will run in excess of the million dollar mark, — and this for a company which you might say is just starting in business. Is this a sign of collapse of the market'? If we are doing that amount of business, the exchanges handling our prod act certainly must be doubling that amount in bookings to break even, so that this would indicate a total of at least $2,000,000 in gross theatre rentals on our product alone, and we are but one small factor in the Independent Field. I imagine any of the old line companies would be glad to add the $2,000,000 additional booking on their product. I must again disagree with Mr. Goldburg's list of reasons for the so called "collapse" when he quotes: 1st. "Lack of ethical business methods on the part of the Independent Exchangemen." We do not find this so to any greater extent than in any other commercial line. 2nd. "The failure of exchangemen to meet their obligations when due." We find upon cheeking up on this total, only $500 in overdue paper in our files — a very small proportion for the volume of business done. 3rd. "The failure of Independent Exchange men to properly exploit their pro ductions." In answer to this I can only add that no national organization leaves it up to their branch managers to exploint the picture; therefore, the same theory should hold good in the Independent field, — i.e., that the New York Office should build up the picture by exploitation at its own expense, the same as a national company would do. We supply all of our exchanges with various types of novelty mailing pieces, pamphlets, books, paintings, etc., to create interest in our productions and we feel, if we can judge by the fast growing list of customers, that these campaigns must be putting the product over or else the buyers would not come back for more of our product. A careful estimate leads me to believe that the total business done on this so-called "collapsed market" will amount to $20,000,000 yearly in film rentals— a pretty healthy collapse. We are sorry if Jesse feels that the market has "collapsed" so far as he is concerned, for we all like him and wanted him to remain with us in our field, but if he thinks that he will do better in the National field, then we can only wish him the best of luck. Yours very truly, Rayart Pictures Corporation, (Signed) W. RAY JOHNSTON, President.