Variety (Jan 1935)

30 VARIETY Tucsdnyv Jainiary 8, 1935 'Trust (Continued- from. pE^e W have beeii Independently ^ made of .durme^, the past six ■ alleg^lohs ~TBiontha. Arthur had filed his grievances last summer after: he and F & M executives had- gone ; to. Warner Brofl . pleading for picture product which, it is allegedr th^t^companr to6k>-fl;way from^them when WB went int^ie Q^plfeum^^ in that keyr-IrifcludlAg not only Its own : W KKO-Radlo a^ P**^ tures as well. . ■ The s e subpoenas imtnediately caused an .'uncpmfortab^ stir and 'Industry lawyers Were, called In. Among those served were- four Warner execs, Abel Garey Thomas, ■ Chler counsel; iJpe Bernhard, head " theatr'e" operator; Mpe , Silver, divlr sion theatre:; opierator, and A. W Sihlth,;jr:,, division sales manager Austin G. Keough, chief counsel, and . IsTeil Agiiew, general iaales manager ~^ere ' thoSe ^^ved-^nrTarampunt- Ambng others servid were the Bkourases; ■ Juleg l«vy, : general sales manager of Bieo-Radlo; S9,ni . Dembow, Jr., former Par theatre ^^^WeoUti^j^now—wit h National Sgre jn Bervice;' and. . Jack Partinjrtoh, ;v.p Garden Shows Profit Of $29,610 in Quarter I under which WB would go back Into the Ambassador and Missouri, but failed to succeed in that dlrec- leases bn the. Oi'Pheum arid Blalto. l a net Iobb of 140,106 In the .wpv. Madison Sduare Oaxden, Corpora- tion Bhbwitd a net profit o£. 11c. per | share on 271,900 no par shores of stock for the Quarter endfng Nov. 80, which compare, I with a net loss The first P. :& M. iff claimed to .have known pf difflculty In the St, iibuis key: was when It .heard re- ports of-a brewing F&M-WB-war. ill that Ttey, something P. & M. knew nothing abbut, arid that WB was going to straighten the matter out with F- & Mi^JWarners never a,p-. preached P. & M.. it is stated, but p. & M. executives went to WB; at the home office for relief, getting ripnfc. according to complaint-. It WasVthen, that;appeal was made .to the Government. ; No one knows what the : Govern- riient has up its sleeve in the, John Doe Jnqulry- Instituted, nor wiiat facts, if ■ any,': hiaVe been ."^ifitherea independently" by U. S. agents since the'Arlhur complaint was filed. It was hinted strongly over thi Week-erid that; a civil suit for triple iiamages-^under^tbiar^re^tral^ trade laws may also be brought In Sti liPuis. Such action would be; slniilar. to the, Quitner, E; M... Loew and Moniand suits, in each of Which independent exhibUors sought to^^^ damages of around $5,000,000. Th^iflff quarter of 1933. Profit was $29,610, after depreciatlpri and bther charges. . •': ''-^.V,^ '' . Company showed a. net l^ss. of $50,98'H6r- the -six roorithS-fin.^ing. on Nov. »0, 1984. . This compares With a net loss of. |20B,629 In the same six-month period of 1933, differ from the present St. Louis action in that this Is brought by the. Government under \th6 criminal statutes of Federal restraints of 'Ht^ 'i - -trade laWs, and may. mean indict- Thomasl^^^^g., ^ .- /^ : • of Panchb;' & Marco Immediately on top of the Gov- ernment's New Year surprise for these people, attorneys rushed for Bt. Louis. Abel Carey (WB), Louis Piilllips (Par), and Felix Jerikin . Fox attorney repre- eeriting;, the Pox- Skburas interests, Wasted : no time* Others follpwed leaving Satwday, Fox-Skptiras also sending Bill Kupper, distrlbqtlpn ^ executiv e;- S pyr os- S kouras^stated he was riot going. Keough also "did not go, Phillips representing him for Far.; Levy took \Gordpri Youngman, RKO-Radio attorney, along: with i^ftv to St Louis part In the semi-annual and quar- ^^though disturbed and annoyed terly dividend disbursementfl on by the St Louis matter, no one the listed stock exchange stocks and • would^^^^ d than super- bonds over .thft-year.«nd-^amaunt=. l^^r^Tv^i^ i^ quotation, ing to approximately $900,000,000. *1Se^that When St Louis were This is about ^$BO,000,0?il .|!^te>r • open for operator bids about eight than that .dIstrlButed at^ clpse of V >nh nthB aeo: the court awarded the 1933 .or In firsts wegk 9? 1934.^ ^ ' h ouJes frFanchon & Marco, one Kastman Kodak headed UbI with of seven blddera. Dekl with the payments on J an. 2 on preferred and courts called for -a 10-yeat: lease comtopri: Th6_.com.mpn pald-:$l reg- ^and-Arthur went In to operate for ular. arid -7Bc a P & M., only to discover that War- was $1.50 paid on the preferred. Cp- ner isros; Pat arid Badlo product lumbia Pibtures Corp. (paid 25c as allegedly; was riot to be available the quarterly due on the January tot orie reason or ;another and de- | date. Consolidated Film Industries A proposal to distribute the stock Of the Radio Cbrporation> now beld by Westlnghouse Electrio & Mariii- facturing company,- will come be- loro We«tIngir6iiwrTllrectoi™-^at-ia meeting today (8). A. W, Robert- son, cbalnnan of the board, would not predict wiiat action will be (Continued from page 6) on .TecapWallzatlori, y Pathe ' Ex- change, Inc;, will hold a special meeting of stockholders March 4 to approve plan of recapitalization first submitted to stpckholders last year. Plan Is- same as originally siibniitted and would give holders of present 8% preferred one sharfe of 7% preferred and five shares of -naw* 'common stock.: • ^Hbldbffl Class A, stock, .would recelye two shares of new- common' for each Share held, while common share- holders Would receive one-twentieth of a share of new common. Pathe's New High Pathe sevens Went to a new high on - last day of trading for 1934 at 102% and then followed up on Fri- day by hitting a new peak at 103. Bonds closed at this figure, where they were up a point on the week. Radio preferred A stock hit a new top for 1931 In Monday's trading, going to 56%. . Closed Saturday at 66, where it showed a gain of three- JfljiailsrSi_-£adXpjB^^ "tunate, being sold In considerable volume Friday, It came back to taken by directors other tiian say- ing that such a proposition would comie w for consldeiatlpn. ■ If a stock dividend consisting of Radio Corp. stock Is voted, It will be the first dividend declared by Westlnghouse on Its cbnunbn since January, 1938, when a dividend of. one-half share of Iladlo was de- -clffTflii -on-the -preferrcd-as well as the common. Preferred holders also bad an option of taking $3;50 a share In cash Instead of the stock. This Is first official word on the dividend, althougii It has been, dls- cuMed considerably In the financial district for several Weeks,, and was reected in a steady upturn In West- lnghouse common prices. A stock dividend of one-quarter liable tor share of Radio common on each of 1 stock, the 2,686.181 shares of Westlnghouse corinmon outstanding would vlr- tnaXly CThaiiwt "the hnlftlice of the wind up the week at 40%. where it was oft 1% points. CPmmon was a fractional gainer at 5%. Heaviest /-gain scored by any amusement Issue was hiade by. Co- lumbia Pictures stock on. the Curb exchange. This stock went up 4% points to 89%. a new high • for the year and ahead of 1934 peak. Only 50 shares exchanged hands on the advance. Former high Was at 35. Columbia Pictures certificates ori big board were up a quarter at 39% at the close. LoeW's'cbmmbn gave- further evi- dence of BWitchihg and possibly iemppiaxyl;_aJ3seri:ce^^^^ interest. It dropped to 33% before finding support,- but closed at 34, At this point It was down three-quar- ters. Fox A stock also lagged, fin- ishing week at 13%. Just off bottom, arid showed a loss of halif a point. High mark for issue was 13%. Chartwise. this action, In view of volume, was believed to be favor- future "Showings- of "the where It: was less than a point from : its year's top. Continued strength In Trans-Lux sent this curb stock to high of week at 2%, where it Was up a quarter. Tills showing is reported to be based on belief that proxy, court battle soon would be settled satisfactorily ■ for management Interests. An ac- tive and strong stock market over .Q^peplod—of-T-several-^onths-^&lsa- would'be looked on" with- favor' by Trans-LuX "stockholders, in as much as it might mean increased busi- ness 'for -their dayilght.J vice used for: ticker quotations In numerous brokerage houses. It also : could result In Increased sales for their' pthef daylight equlpimeht riot so generally used in leading broker pf flees. : President's 8peeeh_. i Sharp Increase In steel activity, a: cpntinued. rise In power-output and firmness In carloadlngs were bullish factors riot entirely refiebted'T:' In Btock market's action during the week. Traders professed to be In- terested -ln-rWhat-Presldent-Jlposo)V:i:^ velt had to say and What' course'. Corigress wbuld. be likely to follow. Market did not display any great enthusiasm over President's address . before Congress. But to Inflation- bonus • latter company's holdings. Westlnghouse In the fall of 1933 held a.842,960 shares of Radio Corp.' rstock -when the courts Issued a con- i sent decree^ ordering the dissolution of the relationships between West- lnghouse and General. Electric, and for one reason or .anotner ana ae- i date, uonsoiicaiea *'"ni inauoinooi ^gH^^jg Corporation. First two spite the fact that the Ambassador preferred paid 5bc on account of I ^pQ^pj^j,!^ ^ere ordered to dispose held lorig-term franchises for both | accumulations.. I of half their Radio stock within a Par and Warner pictures. Situation dates back to' around 1" . ; : eight years ago, when the Ambas- IIIROniOrauOnS sador was built, and a bond issue| lUtmpU ia uwuo , . . , , , was flbated ^y B; W. StrsttsH & Co. - —.- ■ "^ KfllMmig"OfCfM^^^ to "c over the undertaKingr-A- parth— - - fiEVrYORK . |:PVmUll6 , V T^' F"*J "J of the financing JJl Touch Wood, theatrical buSnew; year franchise on Par pictures lor . ^^j ^^^^^^ Bharee, ho par value; the Ambisflador, plus the First Na-: crosby aalgo. 22? West 42nd-Btreet, New tlonal franchise, which was owned iTork; Guy George GabrleiBon, 60- Ka«t Consolidated Up Consolidated Film Industries pre- 40F top -4936 1 three-month period and the malnder within three years. re- ^ rrcd roflb to a n ew when It hit 20%. cThls also was ahead:.of high for tlie ...last year. Stock was strong most'bif the; Tveek- arid finished at 20%. for a frac- tional gain. Metro-GoldWyri-Mayer preferred hovered about, its .1934-35 high at. 28% thrpugiiout the week and clbsed at this peak level, a quarter point advance.. '..i Regular quarterly dividend . of $1.62% a share was declared on , Loew's preferred, payable on Feb; ary. minded, ~lhe drive lor a and demand 'for further silver legis- lation were taken as Indicating fur-; ther Inflation might be In offing Insolvencies during 1934 reached loWest leviel in 14 years, :there being 12,185 business failures reported.. This was more than 8,000 less than in 1933. .'■ •■'■.v'^^:.;' ■."■^V ., : Aside from: showing in Pathe . bonds as beforb noted, activity and strength of Keith sixes Was out- standing. The Keith, liens,rose to. a new high for year at 74% on Sat-., urday. They closed at this price, for an advance of a. point. In pre- ceding week, bonds had hit a new top at 73%. Paramount-Pambus-Lasky sixes rose 1% points to 63. Certlficatea- of same closed at 62 for a quarter 1 point gain. Paramount-Publlx 6%« closed unchanged at 62' after climb- ing barlier to 63%. Certificates of same were ahead 1 point at 62^, low level for;week; High point, for certiflcates was at 63%. Wa r ner Brothgro^" s ix e s a ppeared to be headed for higher ground, ad- vancing to -60%.~-But they sold ofC- bn "fiiuiT~day btrweek B8%-,- wherel— they were down fractionally. Weak-, ness in Paramount-Broadway B%(< was marked by lack of Interest and Inactivity.. , They dipped to 43% in ia few "trarisdctibrisV being oft: two points on week. Loew bonds rose to year's high at 105%, and wound up at 105% for half a point gain.. Strength in General Theater Equipment bonds was marked on N. viuiiai j.»»uwu=". J^^'oii-^V.-oooa Tt iPark' Btreet, Eaet Orange, at that time-by -the-SkourMes.—It-^i^-^^-„-^^^^^^^ -M Luob »».»»~ —— ; . . I Anna run Is understood that bondholders have New York, been complaining bitterly .about re- | Nayda De Foe, Inc Louis and the turn Of J„ and aTonue.-l-^ I nc B o; c a p i t a l; B tnck , ; general Vadlo buel- ano nhnraB. no Par flults In St. Louis and tne turn oi i y-j-^. ^ouIb a-. Sanan, 18 Bast ^4iBt •vents In connection with product, atreet. New Tork; Nayda^De ,Poe. ei-" — on takeover. of the-Ajibassador m by Warner Bros, from Skouras the' L A. Ednb Draws Suit Qn CopynghJ Bread Los Angeles, Jan. 7. Pop k ln- 15-4o-stock--of-xecpixl-Jan.-81,-TWs- -Saturday^They- climbe^ 9% ^nd issue did not appear on tape all finished at 9% for nearly <a-injirit's we6k, last quotation being 104%, advance. Summary for Week Ending Saturday, January 5 ■ ^ STOCK EXCHANGE ■"" Charging that Harry I and Ray If. Robblns High. IMV, ■'■ .7% ■ 2V4 41% . ■ 21'A par franchise wa s cancelled. It Is Claimed, and WB moved Into the St Louis sltuatlori, becoming part- ners with Publix. which previously had the Bkourases as Its partners In that key. Then the Publlx-WB partnership In St. Louis blew up, with receivership over the houses Hy-Girade /Badlo Corp^; general radio builness; capital stock, |4o.OOO^ mrtlmer K. SariuelB, Leo LlUenfeld and Oscar^ A. Katz, all of S Beekman Btreet, New ^*Ap«t ConcMBlbni, Inc.j vaudeville, etc.; capital Btook, . 100 eharei, no par valuej Betty Black, Florence I* I;«yy. *«»d Hatllde KoBberg, ell ot 1460 Broadway, N6W York* Monltattan Op«ra HovM.vSaterpilM iversnip over vuc iiy-ov- . , jfanbattaa up«ra HMige . jsnwp™", arriving; Subsequent to-thls chanse \ jnc.\ .theatrlcalB_enter.t*liUP.ente,.. eto.: ■• •* . jL. I inn nhni^H. BO nar-value; In the situation, Warners took short- term leases on two St, Louis houses Of lesser importance, the Orpheum had over- New I stepped film license dates, .in playing pictures at the Brooklyn and Crystal iheatres, Metro-Goldwyn- Mayer Distributing Corp. has brought action against the xhlbltors In Federal Court. Complaint Is based oh asserted violation of the copyright law, the first time this stilt for protection of films has been Invoked here for sev- and Shribert. 'WB shifted Its own -- ^^ •^arner-Pirfit . National -,plc.ture3....tp. th ese .theatres, plus-the Pn r prod capital itock, 100 ehatet no par value ;'jerai years.' Anpe Roienfeid, 802S Man^eid piwe^ Defbiidints are specifically ab- Bt^rB?«;^.^'?J^Ke.JS! cused Sf iSnnlhg^ 'Queen:Christina/. I Moatel, 69 Avenue D, New'York. ^ ^.... I "Vlva Villa' and "Holly wopd Party ' 20^ 110% ■147 .17Vt- 2854 87 7 28V« 8% •414 24K OH 68% 48 4% 814 81% OS 10% 79 . ^120 i 21 1% ■ % 10% 4V4 28% - 15 , 1% 2% IB ^-27% . Salee. ' ' /asue and rate. 200 American Seat ... 8.200. Col. P.. vtc. (l)e.. ■4.B00 rnnanl. Fllrtl .7,000-. Consol. Film pfd. ,„ ; 0,400 Eastman'Kodak (4)0. : too:; Do pfd^ :^ . ... ■ a.'coo" ^"dx" 'CiSbb at. . t:. ... 80;800 Gen. £lec. (00c).... 12,800 Loew (l)c. " 700 Madison Sq. Garden 800 Met-GM pfd (1.80).. 20,000 Paramount ctfs. 8,000 Pathe Exchange. 18,700. Pathe Class A.. 27,300. Radio Corp.. 0;800 Radio pfd. A..., 18,700 Radio pfd. B.... 16,200 RKO-.-.^^ 7,200 Warner High ...... • 6% 40 : (%)b....V....... "20% ...•116% ••««.• • • IS?!- 22^ .......... ..*.....i ^........ . ,.,„ Do pf J .. 24;600—WesHnghbua t20 ; Do. pfd. (3%). 84 Vi . ,B% 28% 8% 1% ....^c 17%. ..•.•'.....».. ^..'.. ' B% ............. .. ..■*Bfl% 42% ■,^T-»-r.".-r*Trri-n'rT^»*«.'».-.-*'7^2% Bros*i..........'^*^• ' 4% Low. ■ -. J5% . 88%' .6%. 10% 111 138 " 18% 21% . 88% 8% 28 8% 1% 18% • 8% 84% 80% 2} 44 -:._.N.et:. . cbir. Liast. ;..8% 89% 8% 20% 116% . 22% 8% + ] ss% 1«% '8% 86 + h + 1 +1 4 e•»•••«•«•••«•• uct ' in spite ot:'ttile bid unexpired, C6-year franchise purportedly held by the Ambassador. When RKO went out of the St Louis, Its big deluxer In the Mound City, the Itadlo product also went to Walr- -»ers. allegedly.- - According to the grievances, this left Fox with Its big deluxe houses, without sufficient product,- th? .pick going to theatres of lesser Import- ance. F. & M. has been getting Fox Universal. Columbia and some of the Metro product, but has been unable to keep all five houses gbing, it Is claimed. The big St. Louis and the Grand Central are dark. A report that Warner Bros, had attempted to reach a settlement With P. & M., avoiding the action the Government has started, is un-. founded. Understood, however, that •ome time back WB tried to reach H deal with bondholders, now brother complainants with p.. & M., l.biS!%aSiS'»id.^^w'^ oiie^y^ the licensed dates. I T„.T. 109 East iB3 rd. Btreet, B ronx; Una |gBO Is demanded as damages ''S:V»o^Uui'"Mld»et-Ai^^^^^ Syndicate,'Inc.; public umUBementa ol-all; kinds; capital stock, 200 ehares, no par value; Ernestine A. KuhnB. Samuel; W. Pried and John J. OXonnell, all of 23,S Broadway, New: Tork. .^_. ■U-DISSOLUTIONS^ a F'lu's stock extras. ■ ■ ' b Paid tWs year on. account of -accumulations; o Plush cash extras. ♦New 193B high. tUnlt of trddihg ,30 shares. , CURB Fontlac Tbeafre Corp.; filed by F. Fer- rlss Hewitt, Saranac Lake. . . Play-Mart, Inc.; filed by Alberts A Roberts, -.140 Cedar. street, llew. .Tprk. : . Concerts Corp.; filed by company, Radio City. New Tork. STATEMENT AND DESIGNATION BOA ManiifactiulnR Company, Inc.) 19-21 Dover Green, Dover, Del.; wireless of all kinds; Now Tork office, 80 Rocke- feller plaza: Frank T. Zlnh, vice-presi- dent: 1100,000; filed by Frank T. Zlnn. ' OBANOE OT CAPITA! Iiiuor-Blee«ker AmusemeBt Corp.! $10;000-|12,BOO; filed by Robert Pi well, 50 Broadway. New York. ; CALIFORNIA .-,. .-'" Sacramento; . National Amusement-Co. j amusement devices. Capital, . 600 ■hares* ISO ^par, permitted to Issue 160. Directors; J. C. IlcLellan, H.'U Stuart. . . . ^ . : Sacramento. . —_ . MaBCOt Picture Healty. Corp.; capital, Lloyd B lob. atorW none ■ubscrlbed.^^^W^^^^ Nat lieyUie, Francea. J, Leylne. Albert fc. ^Certificate of dissolution of .tValdrop PJMtMniiblsJBo, of Los Angeles. . Premier VittUM. In©., motion P«cture exhibition. Capital, 600 shares , at noO par. permitted to Issue three. Directors: Bay D. Ojlmstead. Eric yrilson, ^ertrude ''"'"'"'• OKLAHOMA ^ Oklahoma City. CoctOB and Saacnlcni Society of Ohla- honat capital atock »B,00.0. Incorporar tMsTlIrfl. Harry T. Johnson, Mrs. Mar- JoJR H^LeS Md Mrs. Lulu Belle Lucy, all of Oklahoma City, v^^,-city. Ryan Amoaement Club, Ryan. Okla.; canttal stock, none. ' Incorporators, -T. L. Beavers, Frank Lewis and Warren Spwrtin SehMl of Aoronautlcs.^toc.. Delaware: capital Increased from $98,000 *"Badc"like Coimtry Cliib, MoAlester, Okla.: tapltal ttock, - none. Inoorporft- tor^^•w/'J.^^^^D6w.^^^ — ClementB, all of McAIeeter,. . 30% 14% .8% ■ 13 74% 105% 47 .60%. 06 V4 68% eB% 108 ■ 07 .. .24%. 7% . 1% «% 81 85 80 20% 28% am- 29 .. 'SB', 00 3,400 $80,000 19,000 41,000 ■ 2,000 SB.OOO 11,000 60,000 47,000 82,000 . 81,000 Columbia Plcts.. Technicolor .... Tranalux (20<!)b. (l)a., e k'e « W e • e • e'^ « •'■ • I • e • •.• • e'a •80% 18% 2% BONDS 8,600 Gen. 'Thea. Bq. '40.. Keith OS, '46....... Loew. ea, '41........ Par-Broadway B%8,. Par-Tam-LasKy 6b, Do. ctf8....'.v..;i-.vi Par-Pub. 8%, 'BO...; , Do. ctfs......... ^.j Patho 7b, ^87.. , .'\yarner Bros. 6a, ;eO.>.i>^...^.... . 60% PRODUCE EXCHANGE, N. Y. ■ Par-Pub. ... v., :■ 8% OVER THE COUNTER, N. V. ' *.'•'■ eeevevee** ;..'. •74% , .« • >'•'•• 100% '!D1......W... 48%' ' '47.■•.'**«.... 63 ...>^>i..4. 62% .. ^ ^.' .63% .i.08% .*108 89% 2%. 8^ B% 785 lOBV. 48%. 61% 62 . : 62 .02% 102% ■ 68% 8%V 86% ■7W 166^ ,48% «8 62 62 : 02% 108. 68% +1 + -t-i. 8% +■« Bid. "22%: "4,4 100 Asked. 28%. 46 , .108 . Coi. Bdcast A . Col. Plot.- pfd. Pathe Exi pfd.. (8)0.....^••.«.....^»' «.« . b ... .'.', ...'•••••'«,'«• .': . . . . . .'.« «*••••••'•■,•••• 5 5 a Plus stock extras, b Paid last year. Includes cash •strae. • New 1035 hlfh.