Television digest with electronics reports (Jan-Dec 1954)

11 Financial & Trade Notes: Sylvania’s second-quarter sales showed substantial gain over first quarter’s $67,000,000 and “probability” is that total 1954 sales will approximate 1953’s $293,000,000, including defense billings of about $66,000,000. That’s one of major conclusions of special 16-p. printed study of Sylvania released this week by Paine, Webber, Jackson & Curtis, New York. Full 1954 pre-tax earnings probably will be about 1520% below 1953 pre-tax profits of $24,500,000 and at current tax rates will result in net earnings of about $3 per common share compared with $3.10 in 1953, study reports. Last year’s net earnings were $9,536,181. Second-quarter earnings this year may not quite cover the 50^^ dividend paid in last 17 quarters, report adds. It calls Sylvania one of “second 5” in TV production, declares TV-radio div. last year accounted for 25% of company’s total sales. This could be substantially increased this year, with larger facilities in new plant at Batavia, N. Y. Company has already increased its share of TV and home radio market this year, it said. Sylvania is now second largest manufacturer of receiving tubes, supplying more than 20% of TV-radio market, according to the report. It also supplies almost 20% of picture tubes to industry, report notes, without giving its numerical rating among CR tube manufacturers. Last year, CR tubes accounted for more than 10% of company’s total sales, and over 1947-53 period about 20%. Between 1946 and 1954 Sylvania increased gross plant value from $12,200,000 to $82,600,000, while net working capital rose from $23,900,000 to $88,400,000. Sylvania’s 1954 capital expenditures budget is aroimd $15,000,000, with depreciation alone expected to provide more than 50% of this year’s fixed capital needs. 4c 4: * * Haydu Bros., tubemaker and component manufacturer of Plainfield, N. J., has been bought out by the Bui-roughs Corp., Detroit manufacturer of adding machines, etc. According to John S. Coleman, BuiTOughs pres., purpose is “to provide specialized manufacturing facilities needed for the production of new type manufacturing tubes and other electrical components developed in the course of Burroughs’ extensive research activities in the electronics field.” George K. Haydu, ex-pres., is gen. mgr. of new operation. Hoffman Radio Corp. profit for first 6 months of 1954 was $818,683 ($1.15 per share) compared to $697,320 (98(*) for same period last year, reports pres. H. Leslie Hoffman in statement to shareholders reflecting financing program concluded with Metropolitan Life and the recent sale of 130,000 shares of common through Blyth & Co. and William R. Staats & Co. Sales for the 6 months were $22,916,497 vs. $24,688,235 for same 1953 period. General Instrument Corp. reports net operating loss of $176,302 on sales of $4,684,405 for 3 months ended May 31, compared with profit of $456,076 (75*^ a share) $10,633,659 sales in same 1953 period. Chairman Blumenkrantz attributed loss to TV industry’s trend to lower volume and prices this year (Vol. 10:26). Defunct Tele-tone Corp.’s trademark and patents have been acquired by B & R Electronics Co., N. Y. radio & phonograph manufacturer headed by I. Rothman and selling under trade-names “Electronics” and “Peter-Pan.” Philco, as summer specials only, reduced price of 17-in. mahogany table from $190 to .$160, will give away swiveltop matching tables with purchase of 21-in. table at $200 or $220. ( harles Gordon Pyle, 6(1, exec, directoi of National ol I'.lcclrical I >ist I iitiil or ami oiielniK' Sylvania gen. :.ales mgr., died July 16 in Bion.\ville, N. Y. Surviving ai’c his wife and a son. Color Trends & Briefs: nbc-tv win have capacity for 500 hours of color in fall-winter season, pres. Sylvester L. Weaver stated this week, claiming color facilities 300% greater than “any other network.” The elaborate 90-min. color “spectaculars,” now completely sold out, will provide total of 49 Vz hours and comprise “backbone” of color schedule, he said. Series leads off Sept. 12 with original musical starring Betty Hutton on her TV debut. New Brooklyn studios, formerly owned by Warners, will be color-equipped by Sept., and new $3,600,000 Hollywood color studios will be ready by Jan. 1. In addition to “spectaculars,” there will be other programs on regular or intermittent basis — including many pickups from mobile unit. Film will be offered, both theatrical and special for TV. Weaver reported that 31 affiliates now carry color and that 64 will be ready by Oct., offering color to 78% of population. He said that NBC has spent $15,000,000 on color research besides the $25,000,000 parent RCA has laid out. Summarizing NBC’s color contributions to date, Weaver pointed to; first coast-to-coast color; first series offering regular sponsors rotating chance at color; completion of more than 80 color programs; color clinics for 35 ad agencies, with demonstrations of more than 200 products; indoctrination seminars for NBC and affiliate personnel; special sessions with film producers; first mobile unit, etc. 4s 4: 4c 4s Six southeastern cities got network color from AT&T color-coi-rected routes July 15: Atlanta, Jackson, Birmingham, Memphis, New Orleans, Winston-Salem. Some routes are coaxial, requiring frequency conversion to get color subcarrier into 2.7-mc band. First coaxial route to carry color was Dallas-Houston link which started May 1. WDSU-TV, New Orleans, began broadcast day one hour earlier July 16, supplying color test pattern to aid dealers. Report from Winston-Salem’s WSJS-TV, after reception of July 15 Marriage and July 16 Home shows in color, was that reception came throug’h pei’fectly, color arousing great enthusiasm among local dealers. Televised color film at its best can be superior to live color TV. That seemed to be consensus of film producers and agency executives attending 2 separate closed-circuit NBC color showings in New York. Demonstration July 12 at NBC’s Colonial Theatre, arranged by Film Pi'oducers Assn, of New York in cooperation with NBC, showed 35 product packages as televised from 5 different film processes. At National TV Film Producers demonstration .July 8, film was televised following live studio production — with near unanimous agreement that the film provided more color information than the live TV picture. Network color schedules: NBC-TV — July 22, The Marriage, 10-10:30 p.m.; July 23, segments of 7-9 a.m. Today and 11 -noon Home from mobile unit at B&O roundhouse in Baltimore; July 19-23, WNBT, New York only, Here’s Looking at You, 1:30-2 p.m.; July 19, WCBS-TV, New York only. Time for Color, 5-5:30 p.m. Motorola offers advanced color training course for servicemen, to begin shortly after Labor Day. Invitations were mailed this week to some 180 service and contractors’ organizations, applications to be handled through Motorola distributors. Another “converter” reported: Colored TV Co., Fresno, Cal., is said to be planning $50 device enabling black-&white sets to show color. Principals are Frank Guida, Harold Adam.s, W. f,. John.soTi. Denver’s KFEL-TV reporl.s DuMoiil color film scaimei is due to be installed by Jan. 1, operating at transmitter on Lookout Mt.