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HILLER MEETS PETRILLO: As was to be expected, first direct contact betv/een NAB*s
President Justin Miller and AFM*s James Caesar Fetrillo and his board in Chicago Friday brought forth nothing in the way of concrete results. But our correspondent on the spot reported they emerged from their session smiling — and hopeful. Said Petrillo to nev/smen; We want to settle this matter on a national basis. Too bad Miller doesn't have power to act for the industry." Said Miller in an NAB press statement ; "Fair-minded men can find a way on an equitable basis to resolve their problems on the dotted line rather than on the picket line."
At any rate, it was the first direct approach, indeed the first intimation Petrillo is agreeable to negotiating rather than continue his tactics of issuing arbitrary fiats and then standing firmly by them. Next step will be Miller's meeting with his 'industry committee in V/ashington Tuesday (Jan. 22). Since Petrillo conversations were merely exploratory, smoothed a bit perhaps by fact AFM's counsel Joe Padway knows Miller and practiced before him when he was a Federal judge, it's anybody's guess what may eventually come of negotiations, due to be resumed.
Meanwhile, Chairman Lea of House Interstate Commence Committee says his new bill (H.R. 5117) to curb Petrillo 's arbitrary powers has overwhelming support in Congress, expressed confidence he can get it passed so that, v/ith Vandenberg bill (S. 2) already passed by Senate, a legal quietus can be placed on the music caar.
BLUE cm? STUFF: Lending credence to oft-expressed private belief that many of the pending applicants for TV stations do not intend to carry through, is fact that the first TV hearing — on Washington applications, scheduled to open Monday,
Jan. 21, before full FCC — finds only 6 of the 9 original applicants pressing their claims for the 4 available channels. By week's end Marcus Loew (MGM) had joined Scripps-Howard (Daily News) and Eleanor Patterson (Times-Herald) in v/ithdrawing. Movie concern said it intends to concentrate on its New York and Los Angeles applications, these being major sites of its production activity.
Washington hearing is regarded as bellwether for future hearings not only on TV but FM where demand exceeds supply of channels. It also raises issue of local vs. out-of-town interests. Left in the race are: Bamberger, DuMont, Capital Broadcasting (V/WDC) , Washington Star (WMAL) , Philco, NBC (WRC).
From more than 140 (Part III, Supplement No. 18), total pending TV applications has fallen to 137. Others dropping out previously: Metropolitan Television, for New York; New Bedford Standard-Times, for Providence. However, Hearst has added a bid for San Francisco to its earlier applications for Baltimore, Milwaukee, Pittsburgh. Others are known to be preparing to file, but many believe more will drop as time for showdown hearings approaches. High cost of TV is biggest factor.
RCA-FMHE TV-FllM BEAL: Seen as stimulant to production of sotind films for TV. is
10-year license agreement, first of kind, signed this week by RCA v/ith RKO-Pathe Inc. Under its films bearing familiar Pathe trademarks may utilize RCA patents and engineering facilities not only for features but for short subjects, documentaries, industrials. Contract calls for immediate delivery of RCA equipment to new Pathe studios at 106th & Park Ave., N.Y. , expected to be a center of its video-film production. It was executed by Ralph B. Austrian, RKO v.p. and TV chieftain, once an asst. v.p. of RCA Photophone, with Barton Kreuzer, mgr. of RCA theatrical equipment dept.
Contract's new angle is encouragement it gives to f ilm-f or-video . fixing royalty rates quite low as against former requirement that royalties for TV films were same as if pictures were to be shown in theaters. Rates : trailers under 4 minutes, §3 per minute of showing time of finished film; short subjects over 4 minutes, §6.75 per minute; newsreels, §3 per minute with minimum of §50 per reel.