Showmen's Trade Review (Oct-Dec 1941)

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Page 6 SHOWMEN'S TRADE REVIEW November 15, 1941 No Repeal of Minn. Law But WB Applies for Relief From Court; Para. Selling Outlook for repeal of the Minnesota law banning sale of films in blocks of five looked bad this week as Governor Harold Stassen announced there would be no special session of the Legislature to repeal this measure or for any other purpose. The next regular session of the Legislature is scheduled for January, 1943. Meanwhile, Warner Bros, joined Paramount in an appeal to Federal Judge Henry W. Goddard for relief from the provisions of the consent decree requiring that pictures be trade shown before they are sold, and prohibiting their sale in blocks of more than five. Paramount's application has already been granted and it is expected that the application of Warner Bros, will be granted on Friday of this week, date set for hearing by Judge Goddard. No sooner did Paramount start selling last week under the state law, than exhibitors of Northwest Allied immediately complained that prices were from 50 to 100 per cent over last year's. The charge was made that Paramount was demanding two pictures at 50 per cent, four at 40 per cent and two at 35 per cent. Neil Agnew, Paramount general sales manager, stated that the general sales policy of the company was not a subject for an official announcement. Fred Strom, secretary of Northwest Allied, which sponsored the legislation in Minnesota, said that the situation is growing worse there and that William J. Glaser, operator of the Paradise Theatre in Faribault had closed the house because he was unable to get product. His "B" theatre, the Lido, will remain open. Other distributors are finding rich pickings in the state with many times the usual number of prints required to service their accounts. Furthermore, they are now serving three times as many accounts as they did when the majors had more of the state's theatres' playing time. Reduces Price 1 1 Cents Cincinnati — The Times, a downtown theatre, has reduced its matinee admission price from 33 cents to 20 cents, effective immediately. $93,000 BUT Although "Appointment For Love," Universal picture, grossed $93,000 this week at the Radio City Music Hall, prior commitments forced the theatre to let the picture go after a run of only one week. Under normal conditions, it would have run at least two or three weeks on the basis of its first week's showing. The jam-up of product at the Music Hall is an excellent business barometer. It indicates a number of strong box office pictures have piled up which should gladden the hearts of the theatremen who can use a long parade of strong product to make this a profitable season. Shown in this scene at New York's famous Stork Club are Mr. and Mrs. Alan Curtis, and Mr. and Mrs. Charles Moss. Mrs. Curtis, professionally known as llona Massey, stars in the Edward Small production, "International Lady," which had its New York premiere Monday evening at the Criterion Theatre, where Moss is managing director. Alan Curtis is co-starred with his wife in "New Wine." Buying Formula Is Needed Must Be Developed for Small Town Exhibitors, Declares Col. Cole, Citing Importance of Crossroads Operations Dallas — Stating" that film rentals represent a variable factor in the cost of operating a theatre and that such rentals at times amount to 35 to 50 per cent of the gross receipts. Col. H. A. Cole, local and national Allied presi dent, declared this week that a formula for assisting small theatre operators in buying product must be developed. Cole said that motion picture exhibitors are a class of merchants whose resale prices are fixed ; that, unlike merchandisers of tangible goods, they cannot mark up their retail prices in keeping with the charge the distributor makes on his invoice. The exhibitor does know, however, the Colonel declared, what his average weekly receipts are, as well as the maximum receipts on a smash hit. The exhibitor is in a position to determine what his fixed weekly costs are, and his principal expenses can be cumulated in half a dozen more accounts, such as payroll, supplies, utilities, depreciation, etc. By deducting the total of these expense items from his average or estimated receipts, Col. Cole continued, he gets a figure that combines his film rental and profit, if any. Taking a specific example : "... a house that has a fixed expense of $75 per week and maximum weekly receipts of $125 cannot hope to pay 35 per cent for a feature picture, unless the exhibitor is satisfied with $6.25 for his weekly profit." Col. Cole said that Allied was endeavoring to help a large number of its members reach a better understanding of their own cost of operation and, to that end, had furnished a printed form setting out the necessary accounts for the exhibitors to fill in the figures to render an accurate weekly cost of operation. From the sheets filled out and returned to the office previous to the convention, . . . "it was patent that the small town exhibitor didn't know the cost of operation of his theatre. Until he does, he cannot properly budget the amount of money he can pay weekly for film rentals. Hence he becomes an easy target for emotional film selling." Continued the Colonel : "This condition poses a question in the motion picture industry, namely, 'Can the industry allow these small town houses to close because of borderline profit operations?' Aside from the economic waste of their closing, on which human selfishness dictates 'thumbs down,' there's another angle. These small town theatres are in effect the 'knot-hole gangs' of the superhouses in the cities. "There was a time when the film industry had little competition for the customer's entertainment dollar. The cream has been skimmed. We are now down to the milk. For example, bowling, soft ball, night spots, skating rinks, and even in the Southwest hockey, just to mention a few, are offering competition for the customer's dollar. "Thought must be given to building motion picture patronage. Small town theatres in several hundred Texas towns are conditioning thousands of future citizens of the big towns either for or against motion picture entertainment. When they move to the cities, as they are doing every year, they'll be super-house patrons, provided they have had the opportunity of seeing good pictures at the crossroads." 200 Attend Annual 25-30 Club Affair Over 200 members and friends attended the annual dinner and dance of the 25-30 Club held at the Grand Street Boys Club House, New York City, on Sunday, November 9. The membership of this club consists of men who have been projectionists at least 25 years, and a number have seen 35 to 40 years service in this field. Abe Kessler, Chairman of the Committee of Arrangements, J. S. Winick, Vice-Chairman, Dave Narcey, Secretary, Joe Abrams, Tom Foresteri, Al Polin and Wm. Gluck were the committee in charge. Mike Berkowitz, President of the 25-30 Club, presented gold cards to the three honorary members of the organization : James D. Lynette, Supervising Chief Inspector, Department of Water Supnly, Gas & Electricity, New York City; Bart Green, Chief Inspector. Borough of Manhattan of the D.W.S.G. & E., and P. A. McGuire, Advertising Manager of International Projector Corporation. Walsh Named IATSE Head Browne Quits, Bioff Out After Their Convictions Richard F. Walsh was elected president of the IATSE last Sunday, following the resignation of George E. Browne who was convicted of extortion and violation of the Federal anti-racketeering law last Thursday. The executive board chose the new president at a special meeting held Sunday. With the passing of Browne from the IATSE presidency, Willie Bioff is also removed from the scene. Bioff, also convicted of the extortion and racketeering charges, was the personal appointee of Browne and his tenure as Browne's West Coast representative ended with Browne's resignation. Walsh's first words after his election were a pledge of "a clean, efficient and honest administration for the benefit of the membership of the IATSE." Immediately after his election, Walsh said his first job would be to make a satisfactory adjustment of wage scales and contracts for the individual IATSE Hollywood unions. He said he would have no personal representative on the Coast to take Bioff's place, stating, "Nobody represents me but myself. Only international officers will carry out the duties assigned to them." The new president is a member of Local 4, Brooklyn, IATSE. He has been business agent of the local since 1926 and is currently president of the local. His last job was in Loew's Metropolitan in Brooklyn as an electrician 15 years ago. HARRY KALMINE (The Man on the Cover) Newly appointed assistant general manager of the Warner Theatre Circuit. For the past nine years he has been in charge of the Pittsburgh zone. He is Second Assistant National Chief Barker of the Variety Clubs of America. Vol. 35, No. 17 Nov. 15, 1941 Title and Trade Mark Reg. U. S. Pat. Off. Published every Friday by Showmen's Trade Review, Inc., 1501 Broadway, New York City. Telephone BRyant 9-5606. Charles E. "Chick" Lewis, Editor and Publisher; Tom Kennedy, Associate Editor; Robert Wile, Managing Editor; Joseph H. Gallagher, Film Advertising Manager; Harold Rendall, Equipment Advertising Manager; West Coast Office, Guaranty Bldg., 6331 Hollywood Blvd., Hollywood, Calif., Telephone HOllywood 1390, Ann Lewis, manager; London Representative, Milton Deane, 185 Fleet St., London E.C. 4; Australian Representative, Gordon V. Curie, 1 Elliott St., Homebush, Sydney,, Australia. Subscription rates per year: $2.00 in the United States and Canada ; Foreign, $5.00. Single copies, ten cents. Subscribers should remit with order. Contents copyrighted 1941 by Showmen's Trade Review, Inc. Printed In U.S.A. Address all Communications to • SHOWMEN'S TRADE REVIEW 1501 Broadway New York City