Variety (Aug 1933)

Pars $5,00IUIM Cash Reserve Fhs Other Favorable Factors Poiiit to OK Settlement of All Creditors Claims Judged by the outlook now after nearly six montbs in bankruptcy, trustees of pMaihount-Publlk are reported virtiially certain a good re- turn will be made to the creditors of the company when the time comes for nguring on whaL basis-aH- claims will be jsatisfied. In support of this optimism^ pre- iling'ribt only in trustee' quarters but throug^ioult. i-^nks, ia, the steady advance madie by pro-' ductlbn and dlstrihutlon, foreign and. domestic. Aiter wiping ovt the de- ficit which was, carried oyer on the 1D33 jbooks from the preyipus y^ar, the holding cpmlpahy . oyer, these branches has built up a reserve which now is close to $5,000,000. Aided by the reorganiiational work on theatres, the ntio^l indebted limb of the Par coin pariy,.. this surplus denotes ' to trustees iwid -tjompany -T»erroTiHBl-gertBWi^^ that doUld hot have"beeh looked for . six mpnths ago uhde^^ any b'ther' cdhditlon. No N^ecl ftft Outside Money DT^txibi^tlon depart getting better deals, and a break on foreign exchange, ia determined to run that iS,0(<0',006 up rapidly. There Is no intention of goink outside for BTiy-Haiiaacihg-^^f—production. _tws season, thottigh tears ag-to where money wasi goihgf to come from to keep> the. film, factories grinding, was ddminant after the bankruptcy. While Parainount from all sides la looking to come out of Its difficulties. <Lulckly under the trusteeship over the -company,_the- work .P.f recovery Is bfeine.tak^p aldwly and patiently. The trustees are quoted as npt predlctirtg-cxactly-what the Jaurt shape of the Paramount company Will be when their work is done, but kn^wn that they teel they are doing a line job with proper cooperation arbuiid them arid' that everything look^lgenerairy giOOd;- About the ■■ middle of September the trusiees will begin-undertaking the tft^ of analyziniB claims agamet Par, which totalled over $55,000.00a it the time, ofthe. bankruptcy March li. They wHl be segregated, some will be approved. others will be disclaimed vandv-ln^ many-insanc.^^^^ Almost 'This Is America,' the Fred- eric TJllman, Jr.-Gilbert Sel- dcs epic newflreel, just missed What probably would have classed as the. greatest break any icomm er clal film h as-ever. enjoyed. Film division of the NRA publicity committee was going :to. enlist, it as part, of the Aa,ti9n9^l campaign, but fihally- turned -lt--down. . - The. brigina:i suggestion came frotai the committee; not the maikers of the pibture. Intention was to take the newsreel compilsitlbn, give • it an NRA finish, although it npw Tills. & Rooseveltian cli- max, and spot. It theatres 'uhder special ticket selling iplari. Biaeked by NRA Pub- liclstiSk the extent of the press stuff to .be.hfd is obvious, be- sides which it would, ha ve marked, as lar as knowii, the- flrst timet: any film n»ade for igenir^I. release. ,receiving the: endbrsemeht of .the Qoyern- 'ment regardtess of the 'emer-' igenby'' Interpretation. The only previpus tinw ..the . Gbv-. ernment ha^ ever sanctioned ■a picture fer thb public was babk in • the • yreit days; and- Jthose=i filnis .'were, made by- Hvashlnston:- Committee's hunch on 'Thiis 'Is 'Ameriba' didn't reach the stake where it was figured how the theatres and the own- ers of the film would share, but the NRA members spent about a Wfek looking at the film with the campaign ih- cluslon in mind. Radio sll iOn B Fix No 1^^ N(m All Going to ^Q^^ YORK and KING A Code Fbr Comedy Acts We suggest biir code fbr comedy acts, ia shflirt, fiimple cbde formu- lated by us "fiifiny years Ago "and to Whlqh we h?ive rigidly adhered. "Bfi origlhal, be clean, be brief and always give your best." Final pate for Par Bankn^cy Chiins To Be Filed, Sept 14 Marco Takng 2 Orphs? XiOB Aiigbleii, Aug, 21. Peal whereby Marco will take over brpHeumi Sail Francisco,: *hd poBpibly brpheum; Salt . Iiake, *xr pected to be signed this week. Marco Is In Frisco dickering with W. 3B. Wagnon, who ,repr rei^ents MarshaU Square Building .Cbmpany, which holds properties. Hollywood, Aug. .R«dio, J|]ii«ugh M«rian C, Cooper, tiirned dbvm ltfi ciass B, feature productions oh' its 1933-34 Bchedule. At a studio production iheetlitg last Week /ahnbuncemeht~'wf^ thade by' Copper Jthat the type of pix Which the'Studio has - been turning out un- der |i00,600 cost would be elimi- niatedv •Production ' Will be coniSncd to FEW SQUAWKS ON Q. T. tOcRISEINRCADHISH Although, around 22,000 customers trapsed Into the Music Hall rrhtirs- day (17), bpening day of the cur- rent show, only four squawks yiere h^rd about the increased evening scale at the Radio City house, with -Barly-^lliig;^t--elaims—agalnatl Paramount publix under Its bahk- .niptcy are hoped for. Irf^ on which they may entered Is Sept. 14. A notice sent out-by- the referee in' bankruptcy carries with it a':re- ihihder that bonds represent dl rect; claims against the company and their proteclipn; makes it es sential that cliims be put In by not Tafer than Sept. 14. Two-bond issues are Involved, aggregating 125,000,000, Famous Players liasky 6%s and Paramount Publix 5%%s. Should any creditor of Par fall to officially file claim and. araouht by Sept. 14, It will be of no value under the bankruptcy l«kws per- mfttJng~bhTy isi* ittP^ths In which to enter such - claims. A final meeting on the Para- mount l)ankruptcyr—witiivofflplals under examination, will be held the first week In Sei)tember at Which time femalhing details wanted by the trustees and the referee, in bankruptcy will bfe spread upon the record. 'ing Next Congress Film lobbyists are already cast- ing a wary eye oh Deqember ^hen the n^w Consress bouvenej^i. There are a lot of things still on the Washington; 'calendar of Impbrtance to flinidpm; - - They, f eel- that^a, code^WilL ,Jiot mnV 4* *y>** itifiiifttry Im mune to fu r ther Federal legislation, especially if the Washington hearlpe: on the- formula records, the thrp^-tened dl vergence of oplnlbn on major rSUb jects. WB Gives Loew's ip NX ^Ira^^oteelion^ w claiBS A product mininiuin cost of which in tiie past'has heen arbun!<y'' ' $lBOt6oid. tuiflllo production jchiei: ^gured^J*aJLljlJLe_£lftaa^ _B -ffiatHC^ft^- lacked suffiblerit . 'strength = gsirhi^ a possible. $200,000 Whereas cltuBS A, pic have a chance of .getting, much more in . returns, • Xesser cbntrabt names were used , iff the^ top sjiots In- the lower cost prbductionis; Studio head feels It will be' better, to ihV crea'are the budget of all ,product to the averager cpSt of ah A plc^' there- "by^tiikiflgr a tehai^^ -tyses—of-^eatur-e^-^to—Impo rtiftit , monpy; Few' of tlie^plctares-^er played—- by the class houses, excepting in a I booking . emergency,: and;' when; ' played-^rhey- usually , ;>new lowgrpsaes. Studio plans to use as many name players as possible In alh produci; tlons, flouring that even, in smaller parts the nairi^S will add to the .o. draWT" -~ r r-^- y REftDE CANCELS 150G DEBT BY PAR—I OFF An Item of $160,000. on the Para- ^llsclaimedv^an^ln^inani^-insances, it is expected compromises may be the prices havli^ been q^^^^ ^ been wiped out as the reached with creditors where any that night from '5c. to 85c. No I doubt with, trustees come UP AS to 1 announcement was made on the proving of claitns.' MiCHAtOVE MAY 60 _ _ TO FOX ON THEAIRES Report has Dan Michalove Join- ing Fox Film in a speclial theatre capacity, around Sept, 1. So far nothing official. , , x Michalove is .presently associated with Paramount where he holds the position of advisor tb the Irving Trust receiver in banUruptcy for- the Publix Enterprises. Michalove formerly , was head ol Warner real estate and later In charge of tvieatre eperatipn, follow- ing' the departure of Skoura^ Broth- BTS-from J5V.-B;-areund_l3Brp_ xeaif Exact nature of Michalove's.duties at Fox, Wheti iie goes byer, hasn't been ascertained. Eisensiein Okayed scale increase. The Music Hall. is thus the first of the TiikioT chaiii theatres to In crease its- scale as has been frc: «(uently-talked about In the trade among all, That extra dime on weekday nights plus an increase in the Saturday afternoon scale means something like an average weekly increase in gross of around $2*000 to $3,000, according to calculations. Reade, has been wiped out as the result of an 'conipromlse agreement between the trustees and Reade. In lieu of the $75,000 Reade owes Par for sound and other equipment re- placed in his theatres while under Par cohtrpl, Reade has agreed to cancel -the '$160,000 -claim—he ^ has against the bankrupt company. Compromise settlement will. be offered for acceptance to creditors and referee in bankruptcy at meeting Friday (26). Under an unusual , arrangement with ix)ew's, tliat circuit will get about double the custoniary pro- tection on Warners' tousicaJ, 'Gbld- diggers,' .libw current .at. the Holly- wbodv N. • Ti, en a Vsummer- run. liOeW's will get the picture Sept. 1 and play It that week In around 29 hpusesr following these-day-and-. date engagements with bookings in four-day stands^ By the tlrde siibsequents, fpllOTw;- Ing Loew on product, get this pic- ture, the fan will hPt_be gone ex- actly—'as lioiew promises - patrons through trailer copy-^but the pro- teption wait will be abbut twice that pii any Other picture. Littigt week libew's started tralierizing the 'Gold- diggers' engagement .ln_Week stands as a picture that will not be seen th any but lioew th eatres this fait ioeals . out of towii with tioew's and other chaifts are not set. up as with the former In New'Terk, ac- cording to Warners, Publix out of town w^s given 'Golddlggers* as a l»33-34 picture on preVrelease. That chain took it on straight percentage, but while libt "asTflgh as-the 60% Warners said it was .PUt to get, with averages on percentage War- ners is getting about that much, however. LOOKSUKE BRIDIE FOR COAST AGENTS Ijbi3 Angeles, Aug. 21. ' teallots close tonight on vbtitife for board ""Pfy dlrectors-Tand branch- executive cojmm'ittees;^ • -Academy.,. Following, pount tonight new boaxjd. will be assembled tonjprrpw (22.)« also . the .executive committees, ' chobsei^ new - officers..^ - From Indications the ballots re- ceived today, the Academy's code;, for agents will be accepted by mem- bers yirtuaily- unanimously.. This acceptance ineana membership in Academy .for . the . agents, .and bridle for all of them. TERRY irU«NER RESIGNS (5orhg7^iffi~Stuart m: D6tr Sii.cces6or Yet Selected ♦Thunder Over Mexico,' made by Sergei isensteln, is now definitely booked intb the Rial to, N. Y., to follow t'Mx>o and Pretzels/ Mexlban government finally okayed flirt after some s<juabblihg. Censor trouble Was also developed a ndloye rcome last week. Ar t^hur Mayer Is figuring' tKe^^prcture for two. weeks. Indie's Legit Rouses •Sing, Slniier, Slhg^ goes Into the Majestic, Brooklyn, legit house, Aug. 26 fof indef .grind run at 26c. Majestic Is booking the picture Into :«veKil i>tbef, UBO houses through the country the same way.' So far no successor to Terry .Turner had" been selected by RKO; Turner, handling theatre exploita- tipn-under-Bob- -Siskr-reisIgned-JJri— day (18). He. goes with Herschel Stuart to handle advertising and publicity on Par's Detroit houses Sept. 1. Turner will remain at RKO until that time. Stuart president of Par's Detroit subsidiary, cover- ing around 11 theatres in that sector. . Appointment is to be made by Sisk when and if a man Is picked. Turner who held the post recent- ly Is an bid hand in the biz and one of the best repped exploitation men In the trade. He, formerly headed the advertising end of Loew's, and came to RKO at the invitation of Stuart. Turner han- dled the a. and p.. stuff for the Poll circuits-undeiL-.Stuart ^when .latter was In charge of that outfit", sbmii twb years, back. Detroit, Aug. 21. . With Terry Turner coming in Sept. 1 -as publicity chief, status of Art Schmidt, present head. Is un- decided at the present time. Bookkeeping books being trans- ferred from Chicago to Detroit set ting up bomplete local operation. Realtor s Mystery Cirdt Letters Sent to Theatre Owners-^lndie Ex- hibs Suspicious of Motive RKO'S RADIO BALLYHOO TO INTRO'33-4 SEASON .A coast to coAst broadcast on ah I NBC hookup, for the purppse of. plugglngf RKO'S 1935-'34 product, lhas been arranged by RKO for I Saturday (26). Program will be . of' an hour's length and go over'the evolution of the film business from its earliest days down to" the present. With D. W. Griflflth, Mary Pickfbrd, S. Li. Rothafel and others going on the rmr —— ' ■ Radio show is being prepared on- the Coast. A mystery clrchit, national in scope. Is in the first definite stage of development.. This time the real- tor, Joseph Ip, Day,. Is acting as an intermediary between Customers arid theatre owners of choice sites all over the country. Only the finest box -pi flce prop er-, ties are being spllcItecTby a speciJtt subsidiary of the Day concern titled Chain Store leasing Corp. Charles NlchoUs, vice-president in charge of this department, is holding in corifidehce the names of those who are organizing the new .enterpriae. He refused to commit hirtself when the namies of Sam Katz and Sam Dembow, persistently reported in the trade.tO-be scouting for tj>eatre properties. Were mentioned. Nich oils stated the Day company is in terested only In Its commission for the deals. Exhibitors seem suspicious that major chains may be secretly using the realtor's oflSce as a means to restore their own circuits to orig- inal strength. Such belief in independent ranks comes at a critical time with the Industry code abour tD cbme up^or Washington trial. , Many owners have the cohyictipn that gpvern- ment. should require producers to divest, themselves of all theatre iioldings. ' . By Letter The letter from Joseph P. Day being received^ by certain tbeiitrc owners states IriTJart; ^ •We understand the owner Of the ^ • • • • and...,. i..............theatres in your city. We believe that we can Interest a group of highly capable theatre operatora. In the same, pro- vided It Is available. They are the calibre of men who know how to secure the most revenue out of a theatre througi sf.curing_ the right kind of flliSs and ruhnlhg the house in a proper manner; they have had vast experience. 'We are making deals for them on a percentage basis, which In these times of coming Inflation, will be the most profitable to the owner. •I will be very glad to hear from you, or will be glad to arrange an appointment to come and se^ you at yPur convenience." Ohio Beer Taxes Dwindle, Theatres WiirTakeHRap Coiuihbus, Aug. 21. V are about, to a big way- Called into extra session because a heavy beer cap tax of 2c.' per bottle , hq d ^^nt^^^ft H ale to less t h an hatt and therefore reduced the tax funds - rather than increased them, the Stat© legislature is. putting i*- straight 10% tax on all, amusement admissions. The senate has already passed this measure, with the house ready to act tomorrow (Tuesday). Pres- ent tax law on admissions enacted at th e last ses sjon of the leglslaturo I practically eliminated all "thealfiS"" taxes, as It Was effective only on admissions of 40c. or over, and but few film houses in the state now charge more than 40c. at any time; The legislature also fixed a com- promise on the beer cap tax, the fee from now on to be reduced from 2c. to Ic, with the consumer sti'J Daylng the fextra.