United Artists Corporate Minutes (Jan 1951)

-_ 3 -_ The following executives were added to the payroll: Ce Frank L. Meliance President $1,000 a week C. J. Seollard , Exec. Viee Pres. -” 7 20 Max W. Kravets Secretary Oo ® Douglas Ornstein Asst. to A. Love ss Forsign Dept. 200 ® ’ The total of the weekly salaries saved wes $5,584.23. ‘The salarics of the new employees amount to $2,600 or a net saving of $2,964.23 On July 1ith Hessrs. Mcitutt and wellemee, acting for the Executive Board, decided that since Er. Sears had act bean able to atiend to business fros June ist, a ; 1950, due to iilness, and also since he had been paid his salary and expenses of | : $2,500 a week for the six weeks' absence up to that tine, that no further salagy | hor expense payments should be made to hiz until he was again able to remme his ° duties. During his sany protracted absences in the past due to iliners, E>. Seers had previously Leen in position of authority to order payments of his weekly salary and expenses however long or often those illnesses occurred. Hr. Sears has filet en action in Federal Court for the recovery of $17,500 whieh he cleizs as salary and expenses for the seven weeks continued illness betceen July 15th and September 2nd. This case is still pending. Sines ths Board of Directors have ths power to establish & change comp any policy concerning sick lsave of employees, the management decided, on advice of the Exreeutive Comittee, that there was no legal obligation to pay Mr. Sears Guring his coptinued sbsamece. The suagement vas advised that Hr. Sears owes United Artists approx imately $4,000 which is an accumulation of many iteas of nersonal expense charged by him to the company over a period cof years. Mr. Sears imilcated that he would be satisfied to offset this $6,000 he cwes the company if the compamy would pay “hin the $17,500 he clains as salary and expenses while ho was absent. 2T_SaTias Tm addition to the evst curtaiiments listed above we have sub-let sces space in the Home Office whic: produces an ineowe of approxiaataly $7,802 « year. UE -ATEEEIS ~ “ational Fila Service, previous to the time we came in te Inited Artists, had & proposition to former management which had not bean consumetod. The present management, efter soma additional negotiations and getting assurance that a substantial saving to United artists could be affected made a two year deel with Service to handle the distribution of film at «a guarantesd Sf saving, will remult in Unite arfists saving better than $26,000 per year on its present business. This went ints effect on August 2lst, 1950. ” Tis arrangement aiso affords United artists four additional shipping points ~ Portland, Ore., Des Hoines, Iowa; Oklahoma City, Okle.; and Albeny, 8.Y. Previously the exhibitors in Oklahoma City, for instance, had to get their U. 4. pictures from either Aeneas City cr Dallas, subjecting thes to higher transport ation costs than they had to pay for Hetro, Paramount and o which compenies bad cistrib:tion centers in Cklahomg ty, and which gave thie eonpany an -eartre-ob@tecis in selling United geen centers * ‘pamtioned above. Be now have shipping points in all locations covered by all other | sajer companies.