The Moving picture world (November 1922-December 1922)

December 30, 1922 MOVING PICTURE WORLD 837 Fighting Music Tax F. J, Rembusch Also Leading Movement for Lower Film Rentals F. J. Rembusch, the Indianapolis exhibitor, on his arrival in New York this week announced that he was leading an exhibitor movement to defeat the music tax and lower the film rentals. He condemned certain attorneys who had informed him that the music tax fight was useless and retaliated by "firing them and getting new counsel which is prepared to carry on a fight that is certain to eliminate this obnoxious tax." His letter to Will Hays on the high rentals follows : "When the Motion Picture Producers and Distributors formed a new company with yourself as president, the theatre owners rather believed that your purposes were mainly to bring more wholesome pictures on the market, and in this work you have well succeeded. We also hoped that your organization would work for the greater good of all branches of the industry as you promised to co-operate with theatre owners in every way possible. "We anticipated that more equitable trade relations would result between your clients and the theatre owner and that an era of economy would result so that prices for pictures would recede so as to conform more nearly to our box office results, but our experience has been rather the opposite. "Since the formation of your company picture prices have increased at a gradual and alarming rate, while the value of picture product has not increased, and our box office receipts have decreased. Furthermore, some of j'our companies have lately instituted other hardships, such as 'Block Sales,' which compels us to buy and book blocks of pictures at advanced prices, which are unreleased and unfinished, and the quality of which is unknown, instead of selecting only those pictures which we wish to buy. We are also denied the right to cancel, so necessary to our financial success and the satisfaction of our patrons, by the selection of suitable pictures for each particular locality. "But above all, through the report system the film companies are giving each other information on their sales to us that enables producers and distributors to extract every dollar possible from the theatre owner. This report system is functioning through the weekly meetings of film salesmen and exchange managers, both in local districts and the sales heads in New York. This report system on sales is so accurate and highly organized that your companies know almost to a cent how much can be charged to the theatre owner for pictures and they invariably take it all. If the film companies owned our theatres they could not make greater profits. The film companies are receiving every dollar and more over our regular expenses for service and this is unfair. "The theatre owner is operating either at a loss or barely paying expenses. All this I have verified in my own case and from other theatre owners and from information secured from the Federal Trade Commission, who are Investigating this industry. We find that these conditions prevail everywhere in Amer Christmas Greeting CHRISTMAS of 1922 brings to me, and I am sure it brings to everyone in the motion picture industry, a sense of joy bom of the certain realization that we are working with each other in a great service to Mankind. The motion picture has carried the silent call for virtue, honesty, ambition, patriotism, hope, love of country, and of home to audiences speaking twenty different languages, but all understeuiding the universal language of pictures; it has brought to narrow lives a knowledge of the wide, wide world; it has clothed the empty existence of far-off hamlets with joy ; it has lifted listless laboring folk till they have walked the peaks of romance and adventure like their own Main street, with laughing lips and healthy hearts; it has been the benefactor of uncounted millions. To the men and women who are actually doing this great service of Motion Pictures I would voice the sincerest appreciation. To every one in the industry I send Christmas greetings, and the earnest hope that their happiness may be as great as is my gratitude for their splendid co-operation. WILL H. HAYS. ica. The public are also vitally interested in this question because of the high admission prices which we are obliged to charge. "The producers are organized and the theatre owners are disorganized and you are in a very strategic position as sellers of pictures against theatre owners as buyers of pictures. A careful analysis of the situation brings us to the conclusion that whether unintentionally or surreptitiously your organization is dominating prices and trade conditions and really functioning as a highly organized picture monopoly. As such we must object to your organization and make every effort to protect ourselves. I am bringing this to your notice because I am absolutely sure that you, if you were aware of this condition, would use every means to correct it. "I originated the 'Big Man Idea' when I proposed Mr. Taft to direct the theatre owners, some three years ago, and I believe the idea is good if properly directed. However, it seems to make a difference what branch has the big man, and we have no big man to champion our side of the case. I believe that you have no desire to work a hardship on the theatre owner, through the fact that we are unorganized and your clients are highly organized. I shall be very glad to hear your side of the question, and as the question is one affecting all theatre owners you can readily reply openly." "P. S. From very accurate information on hand we know that the general cost of production has decreased. Inasmuch that the cost of film service has increased we naturally believe the film producers are making tremendous profits. "If we are wrong in this statement then it is high time for producers to institute a system of economy and get away from the extravagant production costs. "The fact that producers are able to continue to buy theatres and wage a double monopoly is also significant that they are getting the rewards that should be more fairly divided." ''You Know Me, AV Says Lee Moran NEWSPAPER circles showed considerable interest this week when it became known that Ring Lardner, the well known humorist, had decided to enter the sphere of motion picture comedy with his celebrated baseball characters. Lee Moran is the fortunate comedian who has been selected as the ideal prototype of "Lefty" Keefe. Lardner has come to the front with startling rapidity in the past five years and at present commands jm unusual following in the magazine and newspaper fields. His characters have recently been introduced in cartoons and are already appearing in over a hundred newspapers. Lee Moran has been a Universal comedy star for years but it is reported that the Lardner subjects are destined for distribution through other channels, the film rights being controlled by Moran and a newly formed producing unit. Will Help the Poor Psuramount Pep Club to Furnish Dinners and Toys for Children Miss F. V. McGovern, chairman of the Educational and Welfare Committee of the Paramount Pep Club, has put her original idea of playing Santa to the poor families of New York into rapid action by obtaining from club members the names of unfortunate families whom the club will make happy on Christmas Day. The poor children are to receive toys of every description as well as all kinds of eatables, such as turkeys, candy and dainties, canned goods, etc. Baskets will be made up by volunteers from among the club members. There will be more than four hundred families in Greater New York that will receive from the Pep Club a substantial Christmas dinner. Suit Discontinued Action Over Alleged Stock Manipulation Now Out of Court Justice George V. Mullen of the N. Y. Supreme Court has signed an order discontinuing the suit brought by the Triangle Film Corporation against Harry E. Aitken, Roy E. Aitken, Hyman Winnik and Joseph Simmonds. The action was one of several that had been brought in the N. Y. Supreme Court over alleged manipulation of the stock of the Triangle corporation while defendants were officers and directors, and controlling factors especially the Aitkens in the Triangle corporation. It involved transactions on the part of the defendants acting for Triangle with other concerns including the Western Import Company, which Triangle alleged caused great losses to the Triangle Film Corporation. Two Promotions John P. Goring, the first man hired by Claud Saunders when the Paratnount exploitation department was launched three and a half years ago, has been protnoted to the staff of the Rivoli and Rialto Theatres where he will have an executive position For the last year he has been exploiteer in the Los Angeles' exchange. Claud Saunders also announces the appointment of Arthur G. Pickett to fill the Los Angeles' post vacated by Goring. Pickett was publicity manager for the Rickard & Nace string in Phoenix, Arizona,