Variety (Aug 1940)

IB PICTURES Wednesday, August 7; 1940 P(Xt Balks At CotiSmt . cdhtinued. Irom page 4. hands by Sept 1. Tiie entire agree- ment would hot immediately go into effect but just those portions of it Which, do not seriously affect the present status of. the. industry.. This would mean that the selling iseas.6h other majors because of the large Under the_ consent ba!5ed onjpf 19^4^^ |?e^tpuched,jind number .ot .theatres.in its bx^ * ' " " - empire. . On the one hand-it. wants to retain : Its : vast theatrfe interests, yet on the other' in view .<>f the size bf its chiairi;^ arcmnd-1,500 houses, :it stands to face a stronger; shock: thai> 6thers! under,. the burdensdme • pro-- posals'of the donseht decree. It dif- fers from . RKO, Loew's, : 20th and ^ftB: alsx),: ' :. that it: has: .so . many . ipartners associated .with , it':.' , :lhe- atre operation; /■ Wilby arid-Par. Partners.':■■■■■■:-.. .. ... ... .. w--- .i- One of these R B. ■ Wilbv, of A.t^S blame them:,' said a leading attorney,!.grated. 'One speeiflc^s " ■- - '- dest.; 'theyS'e been-oa the cbnseh^ lanta, ' often ..called .the vshrevydest operator, -in: Amieri: .("also ■ orie of. ■ the mdst fe.arless), is', riepresenting all Piar partners in the anti-dbn^eht moyfeirt^ent- tbgcther with Fred Kent, general couhiiei,for the J;. Sparks- Florida .circuit. ..also a - Par: partner- ship. .They were ej^'pected iri .New York; Monday (5) but postponed, the trip and may be up- toward the end of the current week instead with a view to pressing their demand thait Par turn. ■down', tbe suit "settlement plan a.s now written; Reached in the south by long/ distanGe/ telephbne. Wilby stated he; jihd'Kent' represeiit all Par .jpattiiers and . might .be in New York this week '. to talk to the Government attorjieys and> others. He stated they had al- ready had one talk, with . Department of Justice men .on the .consent de-; tree negotiations. . Wilby takes, exception principally to the provision calling for the sale, of pictures ill'blocks of five, though he and other Par associates are gen- erally against the whole consent de- cree and various [ other 'proposals tuch as trade screenings, making a run available, diserimination,,by: dis- tribs and iirbitratiori features, . Wilby points out that in his talks - with exhibitors it is eviderit that the^ .majority .does riot realiz^^ that the blocksrof^five-plan would riot be ; ''breakable,' :' other w'oi'ds -permit financial findings arid practicability l anythirig in the decree in: c of the . plan, would determine! with this would bie delayed year, whether it should come to an end or However, such things as the eliminaT hot.. I tion of unfair trade practices and . "What would happen then is. doubt-; discrimination .against independents ful—a new : administration . might, will go^into^effect imihediately uppri; even be in Washington—but if the, signing.-; • -:'- flig -Five-doesn't come, •along .unani ■, ' . o 'BootleeVHouses. ^ mously on the consent how, it ifiy. cither questions which. arose dUr- stafed as presumable the suit :woiild ihg the. week at the conferences go to trial. Goyernment attorneys; which stiir remain to: be liegotiated are: pushing; fbr : a- quick answer by l ^re the: machinery to be set up for the Big Five now. 'After all^^^^^ what can; be arbl- ^turhbiing block be ironed out thing a .long time now. ;It inearis;. ,^o6n . the question of 'bootleg' lot to them but rcan't see where it. hOuses. about which the defendants will dp any good in the picture in- ■ made a \great adO; In this: instancfr dustry.' j. ^- ; • ' it; is claimed indeperidents have arid .••:.-.■.■ .1.-'^' ^ ' T throw .Aip . houses' which ; they Downtown Legalists bee . l-j^a^v^ no intention, of operating, and t rdem arid . .arbitration . p .'as against an : established affiliated Signaturing :: : Pesijite> :the; -uptown': wrangling arriorig trade ■ executives, the down-' town end avers that, after almost niriie weeks: of bickering, :the Depart- merit .of Justice and defeflse attor- neys for - the major film companies are riearirig; an accord; Agree- rtients have ;■ been reached on all priricipal irtatters to: b0 ihtorporjaited; in a decree,- arid all that rernains to be done is the smodthirig over the; wordkge of that decree, and the draftihg thereof, these .sources ciairn: ; On l^iiursday ; (1) :Paul "\yilliams. prosfecutbr of the casi| for the dov- ernmerit, left for a riiinirriuni of two weeks' stay iri" Washington, where he Will "consult Vith "ITiurmaii' ArrioW head; of th^ anti-trust\ diVisiOn, arid Robert Jackson, attorney general, ori the . terrhs to he . set up. Left in :N. Y. A. ;H. Felier and Robert Sher, -specia 1 assistants to the \. attorney general; : the ' - sent decree staff, who, together with a committee to be appointed. by the defendarits/:wiU draft the, decree.;- At the t)resent tinie it is planned an exhib to buy less thari the five if to have a trial period for the decree he waiited. In single-feature terri- tory this Avould . particularly bring about a hardship, WUby opines, ber cause for ev'tiry: good: picture suit-, able for sirigle-biliinij, the account would haVe tostake several clucks he couldn't, do anything about.: . Proposals IJrichiahgred . , Contrary to some incorrect reports in the trade, the consent decree has riot ; been changed as to . substance, although there has been soine jug- gling: with the ; legal language. Basically, it is- the. same as' it .'was when a: storm against it developed in the exhibition field. .The provision for sellirig in blocks of five without; any cancellation re;r mains in, as' does trade screenings of all pictures before they can be sold which will be nine months.; At: the end- of- that time, if everythipg -has : worked out to the satisfaction of both sides! the decree will: tjti'en ;be incorporated ' . legislation. "While the position- Of Columbia, United Artists and "(Jriiversal stili;; remains the:s:arn^, with the three coiripanies adamarit in theii* refusal tp sign ainy- thing, U. S. spokesmen are.hopeful that after, attorneys for these .com- panies see the firial draft, a tenta- tive: ; copy:: of:, which Was sent to Washington 'Friday (2), these three will sign also. It Is: planned to In- vite Monogram, Republic arid any other independent producers to Sign, the decree; 'making it similar, to the NBA code in that it will be standard and .effective for the entire industry,- house. .The Government is inclined to scoff at thi^, but the defense is taking it seriously. Proportionate ar- bitratipri is also under cpnsideratibri with the percentage of houses of one j circuit against; another :not yet de- lierririried.■.:;.:;: ',.:•': ' :■-.■■ -■:; In other Ayords, if a/miajOr circuit has 40 "^houses yand plays 'iri opi)'psi- tibri.; to an iridependeri;t^ with 5, the independent may ask for arbitratibn, but if the independent has .15 houses, he may. not receive :ariy cOnside in arbitration. The type; of houses and their newness. Ideation, seating capacity, etc:, are all to .be. takeri into (»nsideratibh in haridling-^ this^^ lem. ^.■■';..; V . .•-'..; '.. -'■ ■ Last, Friday another problerri arose. This was the question; of the 'escape cliau.se.'. The minimum and ; riiaxir murriS suggested .vary'. frbni riirib tO' 18. months. .A -basis :<)r.standard will necessarily have to be set up^ to take, care of this .clause,:and' ilrial decision ;wiU rest in the hands of Judge: Goddard after . an arbitrator has proved unsuccessful. .The iGov- ernm ent is.: attempting, .tp .make; .thi s clause stiff one, as v it. has no stbrtiach, ifor the thought, the' diefend-- ants, through one means or another, might pull out of. the decree six months frbm its signing. Every pos ^^ible. thought that might have bear- ing on why a conipany might desire to get but of the. .decree is being thoroughly investigated arid iricOrpo rated with varying provisions in the draft. • ■ '•:-.-v : : . "Making some run available has. not j now and forever, been changed, either, noir has the ' Some Of the arguments of the IVve provision relatirig to the filing' of [ producer-exhibitors thus wiU be met complaints for adjudication by arbi- tratipn. . .TJie -basis for bringing an arbitra- tion proceeding is referred as silly by one of the highest attprneys in the iridustry. Arbitration cannot be brought by a complainant if he ot the corporation coritrols more than five theatres. At first this proposal .was that arbitration could not be resorted to if the exhibitor had more than one. 'That was even sillier,* it was added. -..,•■■•..,.. ".;::, A theatre operating spokesman points but if an operator wants a run other than he :no'w has, the question Of whether he is erititled to it would be deteirrriiried: by arbitra- iiori and then, in buying, there would be pp.en biddinig ytrith.ihe distrTButor.: The distrib ;who discriminates against, a regular _custombr is- also siibj ect. to arbitratibn but if the ex- hib asking for an increase in run has more tiian five theatres, he isn't, air: lowed in.: Operators for this. rea- son call .thie arbitratiori setup prie-.: sided, bstensibly ; the , idea of ; the Government is to give these arbi- tratipri Wrights riiairily ;to the little fellow.- ■ V- Agree on Nine Months' Trial■ , Iri the event 20th-Fox and. Par swirig. alpng on the consent decree, as, presently ; standing,: then it wiU be ■placed irito effect without regard to the: 'Little.-Three* ; (Columbia, UA :and . Universal), which have; with- ; drawn arid are out of the U. 9. :pro - ceedihgs 'without prejudice'; to the Government. ' •: \ ;: The plan, in the event of agree- ment by' the .Big ]Five, ,is to place the icorisent decree pact into effect in the : marketing bf' the -1941-42 prod.uct, probably sbriietime •• next sumriier when selling : gets under way. In . th^t event, agreement .has been tacitly reached that the consent de- cif?e, .woiiid be given a nine months- trial on '41-42 product At the ex- piration of that; period, thje results Propose Checking Continued frOm page-5. for they, with an eye to the future, have protested that perhaps they will not remain on top forever, and should economic circumstances make it hard for them in the future, they would, not desire to be* bound by certain conditions .' ; which . rivals, griowing in Strength,: w^ by: Legislative action and a general signing: by those in t)ie business to- day, and those who might enter in the future, will take care of this: ob- jectiorii the Government feels. ; Par Still Balky Paramount ha.s still not withdrawn its bbjectioris to Clauses 1, 3 and 6 of the decree, but it is felt that the company may do So. soon. The Jus- tice Dept. feels that further cbhces- sibris to .the coriiipariie:s in tlie . block- booking field are out of the question and has rriade its position, clear to the deferidarits; It is felt that the largest concession has already been granted iri/ eiiriiinating the issue ; of theatre; divorcement,' arid: the ;. deferidarits thu$ 'ishould cooperate: in .elimiriatirig bther 'evils* which ' the :Goverriment suggests. :■ -.-X It was pointed out by one U S. representative that at the start bf the discussions tlie Go'wernment had a fairly .strong case, which it felt sure of wmriingi:; This case has. been immeasurably strengthened by the; meetings,' since a great deal of in- formation was secured .by the ;U.' ;S. which it was ■ uricertairi of before, but the defendari.ts gained nothing,, .since-they, already.,knew practically aili the Groyerrtment's case.- This, fact; declaried this attorney, makes it doubly imperative that the aptioiV be. settled as ; as possible by the defendants.. .Present ;estirriates' of the length of time necessary. :r.arige -froni:: three weeks to three months^. '\ It is esti-: mated by the Government; that a final draft can; be secured by late August, arid.: sigried arid placed in many accounts on. the hpixest side as in the past. . It is claimed that gypping is riot only among; the little fellows but among some of. the larger chains, though these things are'not always easy . td ;prove.. Whether or not a stf-called cen tral checking .bureau .'maintained by the distribs • themselves will be or ganized is one thirigi whether - it would mean, a better solution of the problem is ariother. One. angle is that it would be under the direc: control of the distribs themselves, :. Around 11 years; ago when. the distribs were swinging over to the sales of film on percentage, they gave much consideration to various -ways bf meeting the problem. The late - Felix E, Feist, salfes rnariager of Metro, is declared to have sport sored an idea along the same central checking bureau lines as now re- ported; A; comrnittee was organizec to discuss it butc- ripthing was ever done. : '■;; :;; ' The piroposal, as now - reported would call for a ' branch checking office in each exchange key and a hortie bffice in N. Y.. Skourases' Theatre Swing •; Los Angeles,- Aug. 6. • Charles-p. Skouras trains out to. mbrrbw. n'ight-for Milwaukee, where hie meets:, his brother, Spyrbp. pn from New York. Dub will start a tour of: all .National Theatre bpera^^ ing ; diyisibns, . awarding chec .'tb winners: in the recently Closed Spy ro^ Skouras shbwmanship "drive Andy .-•Krappriiaft,;' assistant Charles Skouras, accompanies him on the circuit S'wirig. Judge HeriVy Warren Goddard's I Aug. 24 KEP POISES THREE :":: ■ Hollywood, Aug. ;6 Three starting dktes for this month were S<Bt by M. J. Siegel ;at Republic begirining AuS- 10 with 'Melody, a Mobrilight,' a Robert North produc tion to b.e.drrected by Gus Meins. Other two are 'Border Legion,' Roy Rogers starrer, .starting Aug. 16, and a Gene Autry hoss feature tp; tary and time elemevt, uuir.nced. ad- justment;; possibly ■through a: 'block-; booking' sysievi': takh}g into consid- eration seasonal price variations, Oniitting ..films whibh havebig; .home'representiation in- every coun- Iryi bther phases' of. show biz still' consider this . : " urichnrted land. Touring talent coritirivies":to ."barge iji unprepared, unnwnre of •what must bie faced. And likely not, they are disappointed and the;audience feeis the same way,:but'iouder.;- : . ; Several bad ^flops' :of undoubtedly first-class- performers have; occurred ler^ .already^simply . because of: piobr;. arrangements,.. ;fa ilijre:; of one side or both .to kribw the other, lari- guaige difficulties .(and no real inter-: prefers) and lack of real Understand- ng. ;■■-■ :; A little more bf that, sort of thing, arid Mr;; and Mrs; South American ublic (who, unlikie the average custoriier in the U. S;, gives a star, a Second chance) will snap a razz at footlight visitors froriti . up north. Arid kill what, should bie .:6fte bf the' greatest opportunities, the Ariierican eritertairimerit field : has . faced': in many a year.; .• .. Hiirok Rates "Topi , Impresarip Sol Hurpk, rated as one of "the smartest i.ri: the -game, appears as a cbnfradictipri.-: ifte started down ;he Atlantic coast several months ago, . some fimie hiefore. the 75-niem- ber Mofite : Carlo:; ballet; trbupe left' New York. He sized up; the' .situation in F^io; and helbed his. local repre- sentative line thVryrs into shape.■; . : Then hev pushed ahead tb B.A., pulled in- two -vyeeks before tlie com-: IDariy; By the ■ time the: group -.was oft the gangplank;, he: had the big- gest lineup of press phptogs the town lad. . seen sitting ori the dock. Having dbne a;;lbt of talking to a lot of people and learned the rbpesi, the pres,s appeared in a. rash bf ballerinas the next day; ; '' . - Originally scheduled for less than :;hree.. .Weeks, ..the were - held over for a totai. of; fbiir weeks, and they dragged but: the swankiest silver foxes arid the best white^ties: in: town. Arid Hurok, who. got a big press: promotipn as a talent discoverer.* was. featured iii; a; per- sorial buiidup. as a cerrieriter; of. good will, etc. -It - established him in the minds of many here arid in Rio as the 'foremost* U. S, .'i.rniiresario; Papers featured his < quotes Ori the blitzkrieg situash, on gppd Will arid irifeirnatipriai. : uriderstajiding,. and everythirig: frbm; ; soup, to , huts; There's ho . doubt in. the . minds of showmen here that he^ll cash in. Understood hie's' signed, sbriie ipcal talent - to take back—a Vf urther gesture that doesn't 'do any harm when dealing with a (very sensitive people., Meeting the Ibcal ■ managers —^as ;well : as the socialites whose presence make or break,-'an at traction—^Hurpk hcs been - able , to line tip a series for rieXt season (winter' in So.ath America comes' when the States are:iri mid-summer) based .: his.; personal .'. prestige Worked out deal with; Ernesto De Quesada, only one in South Amer- ica who approximates the U. S. idea of an agency' >yith the class of NBC, William .Morris. Columbia, Judsbn,: Hurpk or any,of the others. De Quesada handles jnost of the big timers here like Rubensteiri, H.eifetz, Anderson, etc. . .. ' .- .De .Qiie'sa'da's;.'Views ' :Aside frPm sharing .ihe views of other showmen regarding a . better understanding bf South American problems, he has this advice to give: U.; S; talent must understand, that, in South America the peso and not: the dollar " . the. standard, In Argentina, for example, the current exchange is a 70c pesb to the dollar. Grosses; are iovyerV-ih, prbportipn: :tp living CbstS; iri^'Brazil and CJhile the local currency ,' ■ worth still less. Artists who expect tb clean up big money had better stay home. :: ■•' But vvhat South America offers is this:- ;; ■'<'': . 5;■;:>•...: ■■ _ A chance tb keep busy—at a profit —at a time when the home season is lowest,-,v -.- .:'-'''. , Opportunity to tackle a fresh audir ence, an: audience, that changes with each new: coiintry. ;' •, ■-: As - riiariy as 10 or riipre-concert.^ in. one city for fi'r.st class ^artists Ori a schedule that would be impossible iri New York; ■'.. ^ ...^:. - \^'.: -. :- Background isrid;:trainirig "field: for yojurig artists: •with undoubted talent.: "The ;smaller .places Of ten. provide the most. unusual response, •;.: >.: . The inspiration- that artists get from -making a Sruccess. in ,'cbuntries away firprin; home. ; Language ■ no / barrier. Ruth Draper, for instance, started in.Rio May 18,: played a week, then. moved Continued from page ? '■ - to ' Sap . Paulo, Brazil's big coffee town, and next to B.A; for eight per-; '.- fbrmances. ■ Followed one-riighters . in the. Argeritine prbviricial towns of Rosario (which has a population, of 600,000) aind Cordoba; In between she ducked across the .. ri\-ier to Montevidipo, Uruguay, fipr a single; ■ Heading , west . from B.^.. ..she played three shows '' ;. Santiago, 'capital of CShlile; one in the Chilean seaport town of : "Valparaisp—three hours away by train—then moved up " the: .West coast for three .shows in. Lima, capital of Peru, and t\yo in Quito, Eci^ador. ;/.- ;:,' ' , r Amazing, part; of her. ;succe.s.s Is • that she... wprks: .mainly .in .English; gets big Spanish audiences whib prijy Understarid half ;Pf. what shc*s saying. ■ a: favoi-ite. with the socijefy ..set--rinGst : bf whom speak three px four lari- guages-^she traveled alone. De Que- sada bffered ; her aa longer; tour . throughout Central America but she nixied the idea; 'claimed she wanted. ; to go home:for. a rest; . Irrijproved air - transpisrtatipn—now 16 planes a ; Week between B. A. and the S tate.^—^ ■ make a tour .like MisS Di-ajper-s : possible. Situash entirely different whien a-large company; is invpiv^^ ' :: .Eubcitstein Most .iPopular Rubenst«in—handled by llurok in the: States and - by 'Qucsada : hei;e—is ; • perhaps the greatest sin.gie dr,hw;: He first appeared in B. A. 23 yoarsoago. Known as an interpreter: pf Spanish m,ubic, he was 'a -sellput.•fi^pm the.: start as the result of h is prior suc- cess in Spaihi; ^ Recent iom involves . seven concerts in:'Rio, ;three in Sao Paulo plus .iari additional session with- the Ipcal orch; a series of 10 in B/ A, starting July 6, .then ■ briexnighters; iri Rosario, Santa F^, Cordoba; .Men- dbza,'. Biaha; Blarica, L.a Plata arid Sibntevideo. ,-.\.'\' Leaving his f amily here; he Acw tp:; Chile for .10 concerts nd then plarined to; take the wife -and two . kids up the coast, by,,bbat: w.i.tH - a; three-cbnceitt" stbtJO'ver:: iri jPe a solo in Panama. Four months .be- fore starting the preisejit.. jaunt, he did all qf .Central America; \ Heifetz—managed by jnd.spri in the U. ;;S.—had the longest tour ff this season. Starting in Havana. Feb. 12, he played 12 concerts " 13 days: in Cuba. Jamaica,- Dbrninican Republic, Trinidad, Curisal, Venezuela, Brazil,- Uruguay, Argentina, Chile and Peru, then .hopped to Mexico City. De Quesada himself . accompaniied Heifetz and pianist Emanuel Bay on portion of the tourl Grosses'in some plaihes were three times oyer those of last year—prbving that once an art- ist is established here, hi.«! possibill- ties increase. ' As. an indication of South Ameri- can taste, this. schedule of the 1940r-^ best iri years, according to- local showmen—is worth, study. ':: Toscanini and/ the NBC Symph tour . was^ arranged lay NBC. wi th the rrianagerrient of the municipally owned Colon theatre,: a;; ptitting up a $6,500 U. S. guarantee for eabh. of six performances hei-e; Arrange- ments handled by Ftprio M. Ugarte, Colon director, ih New York offices: of NBC, Left Nevir York,: June 17, played only two concert."? in Hip on way down because ship layover per- mitted ;only . that- much time, one esach in Sab Paulo and Santos, then here. Concerts brought about $6 per ticket—which is five times over the nprrrial rate charged for opeira at the Colon, Rip got .$4 .' a . ticket. NBC tobk guarantee of $5,000 for each concert in Rio and Montevideo; -. Stokowski and the AllTYoUth Orch have been getting a far' Itf.'j.ser build-; up. Planning two concerts ' Rio, a. pair in Sao Paulo, a single in San- .tOs and oriiy.fpur in B; A. Concerts here are scheduled: for the Grati Rex, a big, ultra-modern pix hpu.se; Surr prising what a difference this, makes, on- the local audience. If it's hbt in. th- Colon, they don't think, it's so hot. Advance sale seems to be fair,; Gran Rex was chosen because there seemingly Were no bpen dates at the Colon; 'Stoki alsP .scheduled tp do alpair in..Mbritevidepi' a, single: in Rosario and :perhap.'?'.6rie in Gpr- doba, :Two are- on the bppks for Rip on the iiorthbbiilnid .trip; arid one may -be done iri ' POirt-bfrSpai ; Trinidad. Latter di^perids:;ort sailirig.s. .since all Mobre-McCormack:boats doTibt stop ■there. ; :■: .:: :'•-:-:..;■ . .-..;. Arrangements were in : the talk stage concernirig . i: west coast tour, but the low rate bf money In Chlle-r and .the fact. th'atVCrossjng. the Aiide.s v;ia;-l&rid'means a-, ttain- and .bii.s ;ride 'with arrival hburs :uncej-tairi--r-put. the nix on the. idisa. Under,etbod orch .Is getting $20,000 fof the foui* ■IbCal: concerts, which i?; big-tiiTif cash hereabouts.