Variety (Sep 1935)

VARIETY PICT E S Wednesday, September 4t 193$ Market Bullish on Amuse, s, Thoi^h Rest of list Sags; New Issues Strong By MIKE WEAR A^iusement shares were active and strongest In yesterday's (Tues- day), trading'as general market fell back. Strength In amusement list sent seven' stocks and Ave bonds to new 1935 highs. New Paramount common went to. 10%, and new flrst preferred hit 93%, but both closed lower. Other highs Included Pathe new common at 7%; 20th Century- Fox common at 18% (up 2%); iVCO common at 3%; Warner T.-os. com- mon, at 6%, and preferred, at 44 (up 1%). New Paramount 2nd pre- ferred equalled Its new peak for year at 12%. Paramount-Famous- Lasky liens and certificates of same hit new high at ip6, former being- up 3 points. Paramount-Publlx bonds registered best 1935 price at 108, a gain of 3, while certiftcates cf these went to 107%, up 2% points New Paramount bonds made a fresh top at 95'/i. Both RKO debentures and Warner liens were unusually strong. RKO obligations soared 6'y4 points to 67 >^ while Warner bonds hit 79%. After being neglected for the last two weeks by many traders, the amusement list again came Into, favor lost week and actually stole the'spptl.Ight of whole market In the' final trading days. It was the only grpup to attract concerted / bullish Interest In,, transactions In the two- hour, session Saturday (31), with msuiy picture stocks reaching best levels'of week. This Increeised In- terest sent 10 Issues to new highs' for year and enabled four amuse-' ment Hens to bit new 1936 peaks. Undoubtedly the launching of' seven amusement stocks in active, trading last week attracted atten- tion, .particularly sincie all of those making their debut, on the -N. T. stock exchange closed the Week with gains, advances rangrlng from 1 to 8: points.. -Three- different Paramount- Issues,, thq %y/o. new 20th Century Pictures slocks and Pathe Fllnv's. new common and' preferred (latter In' ovcr-the-counfer' inai'L) hit ' the.- boards the middle of the ;.w.eek. New highs Included American Beating, at 12%; Columbia Eix .(On curb),- at 70%; Paramoun£'9- new! common'; at 10%; same company's' first preferred, at 92; Paramount's second .'preferred, at 12%; Pathe. new common, at 6%; ZOth Century cotnmoni at 16; company's preferred, at 26; Warner Bros, common, at 6%; and. company's preferred, at 41%. Bonds N.ere General Theatre Equipment Hens, at 15%; certificates of same, at 15%; Paramount's new 6s, at' 94%; and Paramount- Broad-, ■way h%g, at 64%. Appearance of these new stocks, and big signs of strength helped other amusements, with the .result that the- .^oup closed at siightly above 34%,, as measured by the averaged,'for a gain of 0.238 of a point. Earlier in :he week, the group averages dlppfed to 32%', lowest point reached Iri sevgn weeks. -This display by amusement group was done in the face of nia'rked- weakness In industrial stocks. Dow- Jones industrial averages declined 1.10 points to 127.89 on Saturday, and at one time had dropped to 120.27. 20th'Century Strong Eyes of the trading fraternity naturally were attracted to the Paramount and 20th Century issues when they first made their appear- ance on the tape Wednesday- (28).' Paramount's new common ranged I between 8 and 8% in flrst transac- tions. Issue staged a spirited move Friday and then hit a peak price of 10% at Saturday's close. Gave the .stock a gain of 2% points from its low of week. Paramount 2d preferred started oft sjightly above $9 a share but went up-a point the first day. After consolidating its gains on Thursday (29), this preferred moved forward agaip Friday and to a. top of 12% on Saturday. Slipped a bit from this high at- the finish, but still was up (Continued on page 27) Yesterday's Prices Net Sale*. .High Low.liSet.cbKe. 1,200 Col. Plot.. 71% 71-S—% 1,300 Con. Film. 4% *% 4% 4- 14 300 East. K...M0!4He 140'/4-l-Hi O.CUO For A.... 1714 1C!4 17 + % 7,600 aen. El... 31Ki SOU 30%- % 4,000 hocvf -12^4 41 41% - 41.000 Par. now..'lOU 0% lO'A — -tfi 32.800 no 2 pf.. 12% IVA 11% - % 10,IS«» Potho new '7% 614 «% — 'A 10,300-RCA. 6% 014 -0% l,.SflO Radio B... 61% 6Wj 80% - % 20.000 RKO ..... '3>M 2% 8 + \l 1,100 aotti Cem .'IS* 1614 1814+2% 43,000 W. B '8% 5% Oli 4- % CURB 400 Tech. .... 20% 20-% 20%+Si 000 Tran3-L .. 2% 2S 2% + Mi BONDS $70,000 Gen. Th... l.VA 14% 14%- % 2,000 Loew ....104 104 104 2,000 Par-Pub .'lOS 108 1U8 +3,, 5,000 Do ctfB.«107% 107% 107% +2% 1,000 Par-F-L, .'100 103 108 +3 0.000 Do ctfo.'ion ion ion +i 124,000 Par. Tiew..'0.'M4 94% 04% S.OOO RKO . S714. 82 57% 4-014 ItO.OOO .W. B..:.. 78% 78% 70% + 'A • New 1935 blEh. *Rose Marie' Away at Metro; *Maytmie* Waits Hollywood, Sept. 3, etro has scheduled 'Rose Marie,' co-starring Nelson Eddy and Jean- ette MacDonald, for a Sept. 6 start with W. S. Van Dyke directing. Pic- ture opens on the Lake Tahoe loca- tion. Hunt Sfromberg produces. Possibilities are that 'Marie' will hold off the start of Irving Thal- berg's 'Maytime,' 2,000 FT. REEL CONFABINN.Y. Inside Stuff-Pictures Ban 'Snatched' Tide 'Snatched,' as the title for the Eubec Crlasmon ' yarn at 20th-Foi, has been ruled out by title commit- tee of the Uayg organization. Story otherwise carries the Gov- ernment's blessing. O.K. rOR SHAVING NOW Hollywood, Sept. 3. Completing 16 weeks of produce tioD, Metro's "Mutiny On the, Bounty' closed Thursday (29). Ac- tors now can shave their beards. Frank Lloyd has been assembling the picture as production pro- gressed and it is expected to be ready for preview within the next three weeks. Hollywood, Sept. 3. Gordon S. Mitchell, manager of the Academy's technical bureau, arrives In New. York Friday (6) for conferences -with major producer- dlstrlb reps on the Academy Re- search Council's technical projects. Main object of trip is for powwow with special committee representing major exchanges on the new 2,000- foot reel. Despite number of problems sur- rounding the shift to the new reel- length, little opposition is expected to the setup which formally was ap- proved by the council last month. Mitchell brings with him complete history of the two-year reel-length change investigation, plus full sta-. tlstlcal data on costs and efficiency angles of the plan. Expected that with major com- paiiy final nod, plan will get Into operation first of .'the year. ; McCAEEY STAIIS JiOYD .,. .. Holjywood, iSept 3, j . Harpld; ."Lloyd's picture, 'Milky: Way,' stands by for-another week iwhlle Director I-eo Mc.Carey re- cutteratfia, ov- thj^,- ..desert—f mm-- a sliglit-pn^umonla •jp.ttaclf.' ,FH has ;been Idling two weeks. ■MAE'S STOEY TEOUBLE Hollywood,-Sept. 3. 'Klondike Lou,' set to start today, was postponed again while story is being revamped. Mae 'West picture, set to go . several'weeks ago, was halted by 6tory trouble then. Scrib Team Sealed Hollywodd, Sept. 3. Walter Wanger has signed the writing team of Gene Towne and Graham Baker to exclusive contract. Ticket is the first termer the p.Tlr have signed sincj teaming up sevr eral years ago. Contract becomes effective the end of this month. Towne now Is In the' east on vacation. L. A. to N. Y; Robert RIsktn. Everett Riskin Leo Fitzgerald, muan Heilman. Gene Towne. Kardle Albright. Abe Lastfogel. Jfidlth Wood. Andre Kostelanetz. Louise Henry. Arthur Hornblow, Jr. Marsha Hunt. Moe Siegel. King* Charney. Merle Oberon. Frances Marlon, Maurice Rapf. J. Raymond. Francis Lederer, Conrad Nagel. Lou Edelman. Foreign write*- talked himself out of a sweet deal on one of the nui}6^ lots when be spoke ({ut of turn,' Studio bead on the prowl for a yarn t6. fit the talents of its foremost foreign star called in the sciib who waW touted as having a pip of an idea. After hearing the story synopsize^ exec talked turkey to the lad. The deal was |5,000 on the line, $400 weekly, while the yam was being whipped into screen play form and another five grind when the scripting Job was completed. Along on the plot fo^ a week, scrlb struck an Impasse. Other workefs were called In to; lend a hand. When he should have been listening, alien quilletj blurted out, 'I've got it; send for a print: of such-and-such a picture and there we'll se« the plot \inraveUed.' While film was being rua off studio chl^f discovered that story he bought was a dead ringer fotj what was flickering on the screen. All bets were called ofl and the for-^ eign writer left the lot. But not before h" told the boss he hadn't given him time to tell him that his story wasn't an original. Two outstanding humorists, both of whom recently appeared In Fox productions, may get the call from 20th Century-Fox as likely successors to "Will Rogers. Though no steps have been taken to signature cither aa yet, recent action of syndicate In signing Irxin S. -Cobb to do a daily, column a la Rogers may pave the way for similar spotting of Cobb, in the films. Cobb appears In 'Steamboat 'Round the Bend,' Rogers starrer. Other possibility Is Fred Allen, who is In iZOth Century-Fox 'Thanka a Million.' Veteran of stage and radio, Allen is not a humorist of the Rogers classification, biit more the purveyor, of modern-day wit and comedy. Some 20th-Fox ofilcials regard Cobb as more aldn to th© Rogerlan .school of humor. Hollywood attorney is trying to figure out a way for a featured girl to terminate" her managerial contract with an agency now that actress Is getting into the .commlsh-paying class. Agency took the girl in tow; some months ago, spotted her at $100 a week and agreed to nurse hei; along without taking Its 10% until her contract called for $400 a week. Currently on ia. studio payroll at $360, girl is looking for an out. BarM rlster figures to scrap th© contract and take her under his own wlng< Agency ".gures it's out a few dollar's of its own for handling and public-^i izing and may go to court if necessary to make her serve out the xei malning four years of her contract. N. Y. to L. A. Martha Eggerth. David O. Selznick. Krlc Pommer. Fannie brlce. An.T Pennington. Artli' Mehlinger. Dpnald Brlggs. BIng Crosby. Definite steps which are expected to culminate in the actual adoption of the .hew 2,op0-foot reel by the picture .industry will be taken this week when the Hays committee; named to make a survey, will hold its first meeting. After this com- inlttee,.appointed by Arthur Dickin- son, has reviewed every phase of the situation and made its recom-' mendation,. all distributing compa- nies win be asked' to take action Ihdividually. Gordon Mitchell, chairman of the research council of the Academy of Motion Picture Arts, is due in New Yoi'K- from Holly\yt>od--next -Satur- day.. ..'The Hays committee, compris- ing' supervisors of exchange opera- tions,' wlU confer with' him .-as well as Harry Rubin, chairman of pro- jection practices of the SMPE, and Trevor Faulkner, chairman of the exchange practices committee of the same society. . Although the committee of ex- change, representatives has not started actual work thus far, infor- mation collected through Hayslan channels and the Academy indicates that there will be little opposition to adoption of the larger reel. The entire bill for the 2,000-foot reels Is expected to be compara- Uvely little in view of the $225,000 annual saving expected from use of the bigger reels. Present- plans for handling pic- ture houses, not equipped with 2,000-foot magazines, call for the exchange shipping on the old 1,000- foot spools, and where necessary breaking down the 2,000-foot lengths for these spots. Same course will be followed In supply- ing three foreign countries sup- posed still to "be employing the 1,000-foot magazines. In the United States, out of some 14,000 theatres, a recent survey made by the Aca- demy revealed that less than 1 per cent, have no 2,000-foot magazines. Local and state ordinances and statutes may prove the only stumb ling block although reports obtained thus far indicate that Chicago alone h.is an ordinance making 1,000-foot reels prerequisite. Assurances have been received from exhibitors in the Illinois metropolis that they anticipate no difficulty in getting approval of 2,000-foot reels. Projected plans of Trans-Lux Movies Corp. and the Pullman company, to show daylight motion pictures In specially fitted cars made by th^ Pullman people recall the similar use of pictures oh the Chicago & Altoa railroad several, years ago. A special , car was arranged for picture proi jection, with Universal hooking up with the railway corhpany to use its features. 'Were used on the'short run (only five or six hours) betweea Chicago and St. Louis. There was no charge for these train screenings, the railroad company figuring it wa-; a good builder-upper for biz. Pro-. Ject nev(^. rated a huge success, largely because Installed for such a short railroad run. On his way back to New York, John E. Otterson's orders to the hom.i!) office were that he didn't want 'any reporters meeting'him "at the statiort« It was explained that Par couldn't control this exactly. If any newsmen wanted to buttonhole the new Par president, t!ut that }f' he wanted to avoid this he might get ofC at Harmon or the 126th Sireet station.. Then- was no report back as to what method Otterson followed. Otterson had also given orders that he didn't .'p-arit a reception com^ mlttee from the Pa,r honrie offlcg to. itieet him on.ai-rlYal. Abolition of' ffeld censorship In Ohilo was .recommended. Jn a report oj the Ohio gdvernrrient survey' committee, submitted to Gov. Martin Ln Davey, by Col. C..O.. Sherrill, head of the survey. .The committee- as'i sorted that film censorship activities were .necessary,, that the board oC film censors,' is more than self-sustaining, and pointed out that It turned In additional revenues to the state's general fund. It added, however, that 'field censorship of films can be discontinued without in iany way, affecting the purpose of this division.' U. A. Changes Policy From Flat Rental to Straight Percentage Chicago, Sept. 3. Completely reversing Its former sales policy. United Artists sales- men have been instructed to secure .straight percentage de.nls for com- ing season's product. For the past few years U.A. haH been selling on a straight rental b.isls in the ma- jority of spots.. In most inntancos the exchange a.skcd for and received a higher flat rental figure than the •iverage run of pictures, partlcu larly for the so-called specials. United Artists is a.sking percen ta.ge deals ranging up to a 50-5 split from the flrst dollar. P.'irtlcu larly Is aaldn.c: for thi.s percentage on the new Charlie Chaplin. U.A. is at present selling on a basis of 23 releases for the coming season. Eleanor Powell is considered one of the year's best prospects at Metrd and nearly-e-veryone is taking credit for getting the tapper her break In Broadway Melody.' That is about everyone except her real discoverer, Louis Mayer. Metro's chief spotted the dancer at a benefit show. Even against the advice of taking such a long chance on a screen novice, Mayer stood pat on his Judgment and now laughs at those who are stealing bows. Although able to date the Will Rogers picture, 'Steamboat 'Round th0 Bend' early, some operators are deliberately holding off for a few weeks on the ground that It It better to wait and avoid possible unfavorable public, reaction. Of course, on a new picture like 'Steamboat,' Fox has contracted witli exhibitors to deliver this picture and it must ri-spect such contracts and' general release dates where accounts want it right away. Past decade of agency dlsputes.due for an airing In L. A. Times Sunday section. Result of an editor wondering just who is responsible for all the "bickering. Mat^ial is being gathered by .lean Bosquet, sheet's feature writer. Understood all parties to squawks over raiding and other Bor» spots in agency field have spilled plenty, Ayhich, while familiar to th© trade, is new stuff to general public. Syndicate columnist got his chief hopping mad when he picked on the wrong gal in poking around a Hollywood divorce. Called the femme by name and said"" she was the cause of the split. Happened the gal Wafal entirely innocent and didn't even know the chap concerned. Item was killed off quick on the Coast and .columnist was given, .strong rebuke. Because he wouldn't fly to the Coast, Bernard Sobel, erstwhile dra- matic critic of the N. Y, Daily Mirror, lost out on a Metro assignment In connection with 'The Great Zlegfeld' (film). Sobel, before joining the Mirror, was the, late showman's publicist, and Metro wanted him as a technical director. Sobel couldn't see the neces- sity for such haste as making an air hop. Announcement was made last week by Dillon, Read, sinking fund agent for Loew's, Inc. 15-year 6%' sinking fund debentures, due in 1041, that $247,500 principal amount of the debs has been drawn for redemption on Oct. 1, as a result of the operation of the sinking fund. Payment wlH be made at $101. John J. Friedl, general manager of the Publlx Northwest circuit, pro- tested in vain to the Minneapolis Star here against that paper's use of Sid Skolsky's Hollywood column. The paper i-efused to discontinue -its use which only started a few weeks ago. 'Romeo and Juliet' (Metro) look.s like a'money m.aUcr for costumers and drc-ssmakers in Hollywood. Already 250 design.s have been okayed tor costumes, both for principals and atmo.-^phere people, with more to come. Work on the costumes started last week. 'March of Time' landed Walter Wanger for Ha next .issue in which he win discuss the development of picture talent and how it feels to be a uroducer. I') : ii iti- -I o.nt