Variety (Mar 1935)

6 VARIETY PICT U RES Wednesflay, M«rch 6» 193S Amusemeitt&^^^C^ Slightly in Dull Market Week as Other Issues Stall , Extreme weakness In metals And smelting; stocks, couplfed up with deflationary, reports lh the street, eprieiad iiitb the general list yester- day (Tuiesday)foixne8tocltpr'lCQS down i to 3 points. Numerous Issues ■ hit hevv lows for the yean einct vol- ume piclied UP: on the decline. The ■Washington report that curtailment of i^IiA codr • wjai einVJsa by the Senate finance committeie suppoirted bslleJ of. some; that tho New Deal was pdsslng:,■ :•- .■ ■-■ Amuisements; siiiffered - with other Iss u es. . Consolidated Film c ommon dipped to a new^ low for the year at 6% - and Pathe conimon also touched ■ fresh low territory ait 62% cents a share. Radlp common aind RkO duplicated the y;ear's "lows. Warner -Brpthers bonds dr''^'Cfed-2% points to close bh the! bottom at E0j4,. new ibw: level for-1936. In the face of a wearily- drifting ^igeheral L:jnaEket,:iiiliej Anuiaement;. (Continued bh page 62) Ibr PrCTiews Camera Finns Scra^ Over Trick Gadget Los Angeles, March 5. Patent eqiiabble betW.een Hiighes Industries Coimpany, ZM.,; and Mitchell Gamei-a Corp,, Involyliig right to use and license the bo called gate - f ot-multipie -film /device, lias gone to Federal Court here bn suit for Injunction a.iid accounting by the Hughes Interests. . : Plaintiff has assignments of: the William T. Cresjpinel patent, whilie Mitchell Camera claims ah equally bxclusiv6; assignment right froni George ^^--MltchelL-oii-:a similac. Jt: iiot identical patent. Clnecolor, Inc., Is corplaintiff.aB the exclusive' licensee of Hughes Industries. W6 BROOKLYN STUDIO XmCFORS^^ Warner Bros. Brooklyn- studio closes Friday (8)Vfbr Its yearly Ijcy- pflf, this time for eight 'weeks, In- atead^pf ihe u^ual six.; .. . i^aiii: Saxe, production head, with Rpy Mack, director, sail the next day (Sa,turday) on a Mediterranean ~cruls e. ■ ' ^-----v.;— \. Philadelphia^ March K. ;'A iseries of teste to; tekis sound from film is being conducted \n the ._WCAXi-:studiosanJionJuncti6ii_jell^ John Itoy Whltneyi. head olJ I*lp- neer Picturesi salied Saturday' (2) for EnglaJii fb)r a month's yacatlQrt. Whitney is niaklng. the trip jprl- marlly to witness : th© Gra,nd Na^ tlonal. '. RCA engineers here, to determine the possibility of. producing, mo- tion picture previews for l^roadca.st- -rlnjgi—• : Idea; endorsed by the local film exchangea,^. lg;. to ,;begl.n a bejst-plc-r of-the-weeK • fibpw. which wlil • In- clude scenes and music taken dl-. rectly froirt the film sound track. WCAU intends running the series on a sustaining basis to get away ' frohi the iisuail picture revleWers , whojclutter upjthe local ether with ' inbrtolPgues/ ' ■ " - • A new RCA .Invention -being: test-, ed at the studio here Is said to. re- quire little mechanical operation ' and: •CM dubbed .Into .programs -as easily as a disc. Kewsreel rilm, used In the expierlments, has worked perfectly, It. Is reported, and WCAU Is now. arranging with local ex cliariges' for preview releases each week. -Exhibitors view the new Idea with enthusiasmi. ; Sollywood, March 6. Irving Cummlngs has beeii given two-year, directorial, contract at Fox - - — Memo's 5 to G^^ : Hollywpodi. March j. Finishing 'Hoosier Schoblihaster' this week, Monogra.ih wlll.li^ve two specials aiid three features remain- ing to produce; on, the 1934-d6 pro ■,grani. Next to go will be 'The Healer, with Reginald Barker directing, and ■ •Honeymoon, "Ltd.,* under direction of Artiiur Lubln. 'Keeper of- the Bees,'; Gene Strattbn Porter story, Is due for prbductlon early Irt April under direction of Christy Cabanhie; and thl^. one winds up ti»b specials for the seasoh. ::. L,A.TON.Y. , J^i-ome Beatty ; Clemeh.ce iiane . ; •Marlene isietrlch "Ken Hall. ': ' . Eric Hatch Bochelle Hudson. Nick Ludlngton Edwin ■ Marin-. '.:.' v ■ H.arold Rbdner. ; Geprge Schaefpr. Morris Small. . • ■ . Herbert Stothart. L: W; Gf. Van SchmUs". P. J. Wolfson. N. Y. TO L. A. Michael Balcon -Marc Connelly Vfm. M. ii. Flske. Arthur A. Lee Hugh O'ConnellJ . J..BE. Seldelnjan ; Yesterday** Price* Salea, ' Hlgh,Low.I.a8t,obn. 8,100 . Col. Plct.. 44% 43H 43% « 000 Con. Film, 0% 'Sli Mi-7..% 800 East. K...12UH 111) lit) —114 1,00(1 FOX A.,... 10 O'/j m- H 14,100 Oort, El.,. 23 . 22V<i 22% - % :36%-34%-84'/4-H4 3V4 3ti .-SVi — % . , 6 4% 4%- H ... 1% IW IVi - . . . 3H :« » - H CURB l.obo TiBch. ..... 1814 i«H-r- % 200 Trniiii-L .. '2% 2% 2H -- H i BONDS . . ' $2B.obb Gch. ■•ni... : 7% 7H 7% + % 0,000 Iiocw .....103U 105 lOTi !4 0,000 Por^F-Ii 73% 7314 73i; -114 12(000 Do; ctfa. 7414 7814 TSU—1% llI.OOO Pai-Pub 78% 74 - 7414 —1^ •^;100"I»oew- 10,800 Par. ctfs, < . 4,000, RCA V. . .;, 1,000 RKO ..... 4,300 W. B...... 71,000 Do. ctfB. .. 23.000 Pattae ... .103% 103% 103' - -ui.v- 22,000 W. . B. ; • Xew 103B 16w. 7B% -74% :74V 03% 103% lOSTi 81% 'SOU 80% -:r2H. FUBiDC WILL REOPEN MINNESOTA MY 1 Minneapolis, March. B. V it's cbsting Publlx flOB.OOO a year to kebp tlie big Minnesota, theatre here' closed. Lease calls-, for ..a $60,OtfO: a yeair i^ental and percentage of-gross oyer a certain ambunt, 'with atlpulatlQivithatUesaeeialBo:jniiat.pay^ $46i60(y a year taxes and iteep the- atre open at least six mionths of each year. ; Perrtissibn h fci?®" granted^ hp'weviBr, to operate a' full 12 mbiiths every other year Instead of six months, each yeir. Under ■ thii arangerhent house must, reopen again. July 1.. Rub has been that the circiitt fouiid it -cheaper—to-haver:houseAclosea-^han- to keep It in Operatipn; It's .the :btggestr-aiid-about-theT)nly-paiiT-in- the neck from which thIiS hOrthwest circuit Is suffering. inside StolMictures Trade reaction .to the Joe Schenck stories on. the picturo industry/ moving to Florida Is that it's a bi-annual event. Bvery time the Oall«. fbrnia legislature eroes Into session, andi talk comes up of taxing the pleW ture -InduBtry^heavlly; the studios start thiniclriff"out"lo\id~on how^aftrap^' tive Is Florida. Last tlmie the subject came up Was during the race for governor be- tSyecn Sinclair a,nd Merriam the paist fall. Trade doesn't think either the heavy tax or the Florida anigle Will go through. - Open war anioiig Baltimore billposters seeths averted. So-called local code of. ethics, purported to be upheld by the local uhroh of poster siappers, calls for no .billing of a tiiOatre's attractlbn within the blbbk where a-rlval hpuse Is situated.; ; ^ ' ■ ' ^: Morris Mechanic, opierator Of the New, sent his billpbsters' to a bulld^ Ihg; Which he oWns across the street from Lbew's Century. Spot WM recently, gutted by Are and entire front Is boarded up. Then sOmeon* pasted newspapers all oyer Mechanic's; three-sheets, . Mechanic planted, a watchier, resheeted the property and;tbbk' space pfle^^ a reward for evidence." ' Nothing happened/ \ Though the: uhion fl|;ures to hold the . sltuaah In hand,: should hbs-' tllltles hbvbr, precautions; have. been taken tb keep .^any_ sort^Of _flght / from startlhis, " ' ,. ' ' . ' ...'v' Prbppsed producing triunavirate of Mary Pickford, Charles ChapUa and. lSam Qoldwyn, It la explained by Dennis O'Brien, attorney whipping the new organization Into shape, will augnoient, not reduce, the producing facilities of the United Artists group. Existing Plckford-Fairbanks production unit llkewlise unaffected.' ' Ownership Of the UA Mleaslng company remalnis rin the cbhtrbl ot Fairbanks, Miss: Plck?ord, Qhaplln; Joseph Scherick and other jjtock- Tioldeivs. ' FaifbanTcs and"iMis3"Trckfbrd conHnue as owners Of the site on which the studio stands.. Original UA mefnbera (Fairbanks, PIckford and Chaplin): 'Win .rcBunib their, productloivactlvlties for dlstributibri by UA with addiilonal product to come from the new group of three it present plans. ..are .xohsunimated..' .... ■ ^— — — 'PlaylJiinis' Can't Play Clevelaind, March 6. , Too much 'harmful hot BtufP Ih dialog;, ; ^s£id Ohio ; bensors: in ex- -pialnlng—wJi y. 'P laylhlng:3 o f . D eii.- slre,' released here by 3eiected Pictures Co. Of Cleyela.nd, Is being banned: • ■■ Film was produced In Florida by Kennedy- PrpductlonS. ^_ - Squawk of the Screen Actors' Guild .over the filni code: aUthorlty'a action in approving a list Of. 1,004 extras Is a matter for. the Los Angeles re.-reglstratinn committee on extras to thrash put; In the opinion ot pfoniinent menibers bf the C. A. In New Yprk; Their cpntentipn !• that actibn was taken only after the whple question was concisely pre- sented by the L. A. committee, and that this body, being oh the ground floor, should'know more about the problem than the Code Authority . Bitting-ln-the east, ■. — - r One point, the proviso that 602 additional nam^s can be added durlnv 1936, evidently Was overlooked by the Guild In the opinion of C. A. representatives.- : • • ' Pathe hias hocked its 49% Interest in DuPont Film Manufacturing Corp.,\ for' 52,0OO,6O0,rwhIch will be used to redeem the ^2,000,000 7% debentures outstanding In April .tWia; year,The <.2,.OOQ,.POO borrowed from the> Bankers Trust Co., will bear 4% Interest, payable in installr ments oyer a. period of three years beginriing~Mayri9387 .^T^that U 1500,000 wiU . be due, 1500,006 the following year, and $l,000,o6o; in iSi9,-: [. '-. ■l^is was revea^^^ by Stuart Webb, Pathe president, at the spe'- cial r stockholders' meeting, held M O n da y (4)., when stockholders yoted In favor of the Oompany's re- organization plan. Meeting Was held un^er Sec, 52 Of the New York State .Corporation Lawj which permits, a requirement' of two-thirds of the shares present at a meeting tb approve the pro- oeedlrigs, rather tha,n - the nipre rigid, re'qulrement of two-thirds bf all the company shares as tiie conir pa:Uy*8 oym by-laws provide. .Reprg plan failed to gain stock- holders' appirpval at. .the . meeting liast September, arid the; company appealed to the courts for relief to be permitted to. prosecute -the pro- ceedings ; under Sec^ 52. The result ;Was not ih dpUbt this time and even President Webb, on a question from one. fl£..the.;:st ifbre the voting toolc place that; he figured the plan wbuld win and that only around 10,000 siiares might be found opposed. , . , Altogether... 340,772 shjares were counted' as prbsent by" prbxy or holders in person. This amount In- cluded 216,760 shares of common, ,118,047 shares of Class 'A' preferred and 6,976 sharbs of 8%- preiterred. Opposition to the plan wia.s mild. .One stockholder giave voice to hl^ apprehension for the reason that the company was reorganized once :biefbre; in 1927. r ; In .answers to (tujestions frOni,'the floor Webb reiterated his oft quoted statement that Pathe did not con- ten>pla,te -goIng. Into production: He. also stated that a substantial recov- ery is. to be eitpected of the amount due Pathe from RKO. This fig- ures around • $2,506,000 . balance of the' original i6;00O,X)0O price paid by RKO'for Pathe.. However, such recovery must await HKO's rebr- ganlzatiph, 'Webb stated. ~Th*T®r^sii"soihe"~slight" dlsc^ oyer itiie . stoct option, granted ■Webb, under, the:. plan, and_ there was 'bne 'yote of 466 .shares -of Class ' preferred Whlqh was cast 'coridltlbrially' : aifd, presumably In opposition, tb the Webi) stock op- tion. ,■ , '\ '. .Profit. for the 39 weeks ended Sept . 29, 1934, . befbre . interest cfaarges. but after dbductlng .alt ez- perises,. taxejs; and an^ortlzation and depreciation .of, properties. Was $188,787/ Thi^ compares wltb $608,- 881 for the same period during 1983. This !33 - figure; according to. -the company's announcement. Includes the extra dividend of $44li006 re- ceived from ;DuPorit Film Manu- facturing Corp.. There also was re- ceived, from thb DuPorit,. comi^any during the first nine months of both 1934 and 1938, regiiiai' dividends of $147,606. Pbthe's printed treatise further states that the DuPont Film earnings have cpntinued at a rate ■cprislderably Iff excess bf ; regular dividend requlreftients. ; New Company : " i, The new compi^ Issue cbliateral-secured notes con vertlble Into new .Oomnioh Stock lip tb $4,000,060 In order to provide funds iCor future expansion. Initial' steps to bring . about this; new flnanclne were taken the latter patt - of last week when tiie existing Isbu6. of 7% sinking fund debentured, maturing May 1,-1937, were called for redemp tlon on May i this year. This issue totals $1,987,600, and will . be re deemed at the' call price bf $103 pius accrued interest. These liens wet6 quoted at $103% at Moiida;^'8 close . Security iiblders of' the . old' ebm- " . ■(Continued on ipagie".'62) It is" expected ."a hew Fox Metropolitan reorganization plan ; will be in .circula,tiPn as soon as Miltbh Weisman finishes making changes in th<» . original draft of ..the pla.n. That's the same Fox Theatres plan wherebjr' -Jbe-Schencl^-would-head-the--reorganIzed-conipan^ United ArtistB, but Skouras and Randfprce would operate. ' "~~Xll tola, It takes arQund_$606;60O~casiii plus' $300,000 value "put oh Pbx TlieafFes^- stbck h Met by Weisman. Plan also must haiw : the approval of the Basil O'Connor oiffice, counsel tb the receiver of FbX; Ttieatres, and Federal Jfudge Manton. The downtown .no^tehoiders' committee also must be considered. Ulti- mately, the decision resUi wittiFeder^^ Mack, Paramount Is mulllng over what Is to. b« done with The Devil Is a Woman,' Josef Von Sternberg'^ fltial picture on his cpntrabt. At th* preview two weeks ago picture. Was unsatisfactory to ttie stu^^io,. !Witli a $700,000: investment,, studio Is trying to get the director to make seV- oral radical changes but protected by a contract that gives hint complet* say. Over the; picture uiitil it Is released. Von Sternberg refused to budg*. ■ First cutting of the picture bad it In 16 reels.. At that time picture was deemed all right. Studio waiits Von Sterhbe'rg "to pill some of tb« ■ stuff eliminated In the final cut back Into the picture, being set against making additional scenes. liidle circuit bouses .featuring westerns in a .majority oftlieir pro* g:rams recbntly have been confronted by an unusual problem. - One lndi« playing a first run horse nielier discovered that his double featiufi com- petlsh was shbwlng another western produced : by the same company with the same stfur, ■When the exhlb cOrtipIalned to the I>T. T. exchange he was Informed that the rival theatre's picture was iso old that another exchange how wias booking Itr--— ■ --t—--- ^—— ■■ - ^_— • ——^ — NCWC News Service seht out to member-papers ,(CatholIc) a atory. front paged by some, on an article which Dr. Edward S. Schwegler, dloi cesan directbr of the Legion of Decency, cbncernlhg Blng Crosby's rA^ pbrted' objectlpn.to appear- in the film version of'Sailor Beware'. .Dr. Schwegler stated tha,t Crosby's stand 'should win immedlalte com- mendation from all over the country.' He. urged readers to send letter*' of cPmna^ndatiPn to Crosby. ■Crosby's name "was carried in headlines. Fifth Avenue- tiieatre, N; T., grind house operated by Reo Amuses ment Co., had'a profusion: of Soviet films March 1-2. Idea arranged on a tleup with .Film and Photo League, local Communist group, to coiricide with the current Film Festival taking piacei - in Moscow cele- bmting the 16tii anniversary of Soviet films.' ■ • . . : Grout reAted house for the two days to, run' 10. full length, plb- tureB. :Each got a single showing. : : Notice of a hearing has been sent tp Par crediters for March 11 befor* Referee John. ij. Joyce, New York, to consider Par trustees' application that the 6% bonds (totaling $11,918,600) a:nd the 6^% bohds (amounting to $13,259,600) be allowed, plus Interest^^^o^ $98:oh the 6% debs and .$108; bh" the other issue, for every $i,66o worth, of the bonds.; No opposition Is expected.;..-V.' v .'.■■.:■;. ■■; New York dallies. gave .'Attorney Morris Ernst a, vilay On tlie obun- sejllor's Idea that actors, and •writers should be on the new Paramount board.^^ Ernst, believed to. have .Bever%l_ prominent, actors arid: 'writer* aniohg his clients; is a member of Jthe yanderllpncbmmittee in the Pata-; "mbunt^eorganliatibfr^^^ ■wltii the prbpbsed new board se^tUp at Par. . Metro's stbry department Is In the midst of a search for a, Jeannett* McDonald :ya:rh. And even after .that's. fouhd the search Atust go on. ■:. Player's-pact wltii. the studio, Which and calls lor two more pictures. Covenant Is said tO. contain a penalty claUse .which pro^ tects the actrisss akalnst studio delay.' : Delay in getting auditor reports from .RiKO subsidiaries is holding MP: the official annual report of receivers for RKO. Last week it was estimated that, the offlcial statement probably would; hot be ready untiraround April 1. ', Estelle £chrptt .has be^: named edltori >bf^ GAutnont-Britlsh's hoos*:.^ organ Ja. Amerlca^i Will also continue bahdlihg. fah jntiig pubtlolty.