Variety (May 1946)

Wednesday, May IS, 1946 PICTURES PLAN STILL LONGER FIRST RUNS Breen Accepts Ranks London Invite; Johnston on Films' Foreign Problems Washington, May 14. ■¥ Joseph I. Breen; in charge of the ' motion picture code, goes to Europe this summer to tackle film problems fn England and probably France, Eric Johnston announced yesterday (13). Johnston said the export sit- uation was the industry's, biggest, headache currently and disclosed that he, himself, hopes to go abroad for about three months to work on it after he has all domestic wrinkles of MPAA ironed out. He did not indicate when that might be. Brcen's trip was set as the result of a wire from J. Arthur Rank, who cabled Johnston: • "The British Film Producers' As- sociation are very anxious to have a visit from Mr; Breen. I do hope it will be possible for you to spare him for this trip as our members would be glad to meet him and hear at first hand the principles and details ot your code. Any time after. May 20 would suit me." Johnston cabled back yesterday: •I am delighted to notify, you that Mr. Breen accepts your invitation and will arrive. late in June Or early in July. Will inform you later of definite^ date. We arc confident that Mr. Breen's visit will serve further to strengthen the cooperation and friendly relations between the 'British and American motion picture interests." Johnston added to the newsmen: (Continued on page 22). Joe Cooper Bequeaths Much to Charities; Par Litigation Yet Unsettled Joseph H. Cooper, wealthy mid- western circuit operator and Para- mount partner, who died recently, leaves a" large portion of his estate to charity, according to his will which has been filed for probate in Surro- gate's court at Poughkeepsie, N. Y., by his attorneys, O'Brien, Driscoll fit Battery, of New ' York, and firm of Bechtol & Rankin, of Lincoln, Neb. After payment of all depts, funeral expenses, trustees fees, taxes and provision of a trust fund for his mother, Cooper divided his estate between next of kin and a long list of charitable institutions, hospitals, ■ etc., ranging from one-fifth down to one-twentieth. In. addition, the in- " come from a trust estate of $200;000 Is to go up to one-half of the total to various charities and institutions. Individual beneficiaries are legion, including close and distant relatives, friends and business associates. One provision bequeaths to Austin C. Keough, v.p. and general counsel for Paramount, a painting called "Mig- non" now located at the Buffalo theatre. Buffalo, which will states Cooper has right to repurchase from the Shea Operating Corp., plus a -three-and-one-half carat blue-white '. diamond ring. . Keough and Sam Harding, retired partners in Cooper .theatre opera- tions, are the executors of the Cooper estate which, in addition to theatre properties in Nebraska* Oklahoma and Colorado, include a large farm at Moore's Mills, N. Y. Cooper, whose Hobby was the breed- ing of Holstein cattle, left a herd of 80. The finest of pedigreed stock, only last week a bull calf six months old was sold for $25,000. Cooper's philanthropies did not start with his death. Some years ago he turned over various theatre Interests for' the establishment and upkeep of the Cooper Foundation tor Boys. Litigation involving Cooper and Paramount; embracing two actions «}' Par against Cooper and . two counteisuils by the latter, remain to be disposed of. James Duw% Produce Hollywood, May 14. . James Dunn, recent winner of the thesp Oscar, is going into indie pro- duction. . First picture will be "The Pitch- man," based on a yarn by Vivian Crosby. Filming starts when Dunn completes his current starring role in "That Brennan Girl" at Republic. Par's Smasheroo $11,587,000 Net Profit for 13 Wk Paramount smashed ahead for the first quarter of the current year with a towering take of $11,587,000 after all charges including estimated taxes, the company reported last week. Substantial gain was scored over the equivalent quarter of '45 in which Par showed earnings of $4,- 007,000. Current earnings included $3,08C,000 which represents Par's di- rect and indirect interest as stock- holder in the combined undistributed profits of partially owned sub- sidiaries. Board approved a 2-1 stock split which would increase common stock from 4,455,800 shares to 9,000,000 of $1 par vnlue. If approved by the stockholders, they, will receive one additional share of common stock for each held by them. With the in- crease in shares, the board declared its intention to establish a regular quarterly dividend of 40c per share. Stockholders at their annual meet on June 18 will also be asked to ap- prove a proposal eliminating all au- thorized first and second preferred stock. ■ Quarterly earnings of $11,587,000 represent $3.09 per share on 3,752,136 shares of common outstanding on March 30 as compared with $1.07 per share for the similar period last year. Company also declared a quar- terly dividend of 50c per share on capital stock of the parent concern payable June 28 to stockholders of record June 7. Board also authorized prepayment on June 15 of $2,500,000 of company notes due 1949-51. A 10-year pro- gram of debt retirement will be completed with this final payment, the company noted, and Par and its subsidiaries will then have no out- standing mortgage or funded debt ot any kind other than $2,000,000 par- ent company notes due in 1951 which are convertible into common slock. " E INDIE B.Q.S TO EXPEDITE IT With marathon first-runs having proyed themselves during. the past five years unprecedented sources of profit to producer, distributor and exhibitor, proposals have been made for methods of still further milking product in key houses before push- ing it through the nabes. Scheme that has kicked around for a number of years but now is forecast in some circles as ah eventual certainty is the formation of a number ot new indie regional theatre circuits. Chains' would not consist of jointly-booked ones. They would be made up of the indie house best suited to compete with the affiliated first-run in each vicinity and would guarantee distribs with whom they made deals runs of at least seven days^-and possibly 14 days or more —for their ' product. They would thus permit these distributors to forego bookings in affiliated circuits which push picture through their houses on schedules of "two or three changes a week. Appeal, of course, is principally to top indie producers, such as Gold- wyn and Selznick, plus the npn- thcatre-owning ■ distribs. And the urge for creation of such indie' cir- cuits, where a picture can play a flock of important day-and-date en- gagements, will certainly be en- hanced by formation of such a dis- tributing company as Samuel Gold- wyn is now proposing. One of the reasons for Goldwyn's desire for his own company, as a matter of fact, is dissatisfaction with the short play- ing time his product gets now be- cause of the exigencies of present distribution and exhibition ma- chinery. Goldwyn and UWP for Instance With a guarantee of product from two such distribs. as Goldwyn and the new United World Pictures, it is said, a circuit could operate success- fully. . Goldwyn proposes to handle 10 to 12 films a year and UWP will provide eight made in this country and eight mad,e abroad, a total of enough for a new film every two weeks. The theatres might be first-run or second-run for an entire city, but would defiiiitely.be first-run in their particular neighborhood. Idea is (Continued on page 24) Mulvey's Coast Huddle With Goldwyn May Key New Distrib Co. s Start MASTER IN 'LIFEBOAT' CASE Federal Judge Simon H. Rifkind has ordered the appointment of a special master to sit in an examina- tion before trial of Sidney Easton, plaintiff in a plagiarism suit against 20th-Fox. Suit for injunction and damages ■ Jjharges piracy of plaintiff's play Lifeboat No. 13" by the film "Life- boat-' Edwin P. Kilroe reps 20UV Esty Sez CostehYs NJ. Stamping a Secret " Hollywood, May 14. ; William Esty agency and NBC are attempting to keep a quietus on fact Lou Coslello goes east May 17 pri- marily to slump New Jersey on be- half of gubernatorial candidate Har- old Hoffman. Both agency and web fear Camel, sponsor of Abbott & Coslello airshow, may groan that program gels a political stamping merely because one of the comics soapboxes for a longtime friend who formerly governed the state. Story ot Costcllo's campaigning originally was printed in Variety several months ago. Since, both Esty and NBC have been soft- pedaling the matter and up-pointing fact that while in New Jersey Cos- tello Will be honored at hometown gathering in Palcrson for his Youth Foundation charities. Entire air- show goes east with Coslello. and programs of May 23 and 30 will be aired from. N. Y. Group then bounces back here. ILL. MULLS ANOTHER 3-455 AMUS. TAX TAP Chicago, May 14. Heads of amusements here—in- cluding John Balaban of Balaban & Kalz. Jack Kirsch of Allied Theatres of Illinois, and Sam Gerson of the Shubert Theatres — were served notice last week of hearings to be heard this week in Springfield, the state capital, regarding further tax- ations on shOwbiz throughout the state. ■ Ahe'ady up to their necks in Fed eral, state and local taxes, as well as headaches occasioned by the dim- out, it's understood proposed tax bill will subject them to a further 3 to 4% on total grosses. Those affected will be film and legit houses, niterics, ballrooms, cocklailerjcs, bowling al- leys, circus and sports events; etc Laudy Lawrence to S. A. Laudy Lawrence, chief of sales ac- tivities for Alex Korda's film enter- prises, leaves New -York .-.for Latin America this week. He'll make a survey trip of two or three months, returning directly from there to London. Lawrence came to the U. S. ..from England with-TCorda about-three months ago. .Esther Pallos, Korda's personal rep in U. SI, leaves June 1 on the Queen Mary for three or four weeks of story conferences in.England, MPA Enlists All Cos. in Survey Of World Pix Market Four companies which "are hot members of the Motion Picture As- sociation will be asked to share in the cost of the research project on world film markets which the MPA has been authorized to undertake. Reps'of the four companies—United Artists, Republic, Monogram and PRC—were present at the meeting with MPA prexy Eric Johnston, Fri- day (10) at which the survey was approved. Because the industry feels it vital to get, as soon as possible, all avail- able dope on markets throughout the world, the survey will be carried on by the seven MPA member-com- panies whether or not the others decide to share in the expense: Non- member participants at last week's meeting agreed to seek approval from their boards for the expendi- ture. Info, once it is compiled, will be kept up to date by the MPA. via con- tinuing surveys. It is expected to take at least six months to a year to get the original mass of data to- gether. What's being sought is a census of theatres throughout the world, seating capacities, admission charbes, operating policies and ex- penditures for advertising. In addi- tion, dope will be tabulated from each country on native film produc- tion, such as quota and coin re- strictions. Robert Chambers, who was re- cently added to the MPA stafTlo head the research department, will be in charge of Ihe survey. As far as pos- sible, he plans to use existing facili- ties, such as individual company branches in the various countries, to get the information he is seeking. A special foreign managers' subcom- mittee has been set up to blueprint the actual procedure. Samuel Goldwyn may give the go- ahead signal this week towards real- ization of his projected new distribu- . tion organization. He has been huddling on the Coast with James Mulvey, who will head the new set- up, on deals With producers who may be associated with him in the new venture. Number of producers who can be lined up to turn out the type of films which'Goldwyn desires.his company to. handle will determine whether or not he decides to go ahead with the plan at this time. There's been some discussion as to . the quantity of product the organization would have to be guaranteed for the first year in order to get started and operate profitably: Understood it is figured that even if it only has six or seven pictures it could get by comfortably from a 'financial standpoint, although of course, more 'would be desirable. Goldwyn himself expects to produce four. Goldwyn has withheld his okay on plans ,oi__Mulvey and. distribution chief Arthur Sachson to go ahead on lining up their organization pend- ing outcome of huddles with various producers. Goldwyn wants the minimum product lined up before recruiting of personnel and other de- tails toward establishment of an or- ganization are started. Mulvey returned to New York Monday (13) night. Bill Dozier Exits RKO, May Join International Hollywood, May 14. RKO and William Dozier have set tied the lattei's pact which had 16 months' to go. Settlement was ef- fected yesterday (13) after several months' discussion which was inter- rupted by Dozier's recent marriage to Joan, Fontaine. Dozier, who was executive '. assistant to the late Charlie Kocmer at the studio, will wind up his affairs there shortly then lake a trip cast next week with .his \nfc. According to reports. Dozier wanls an executive post in the industry in the future and will likely wind up ■with an independent producing com- pany with reports current that he may join the iauks of International at Universal studios. RULES LANDLORD CAN'T GET A CUT ON CANDY Easton, Pa., May 14. Judge Herbert F. Laub held in a court opinion here that the Easton theatre does not have to pay rent on income other than straight admis- sions to the theatre. The Pomfrct Realty. Co.. owner of the building, asked the theatre for commission on Federal taxes taken in as well as on receipts from the sale of candy and other articles. Judge Laub interpreted the lease to mean that rental is based only on general admissions paid at the box- office. The lease provides for $3,600 a year, plus 12',;, of gross receipts in excess of $30,000. Many Hurdles Before Army's Psychiatric Pic Can Be Publicly Shown War Dept.,. under pressure from various groups inside and outside the industry, has agreed to make available for public - showing the U. S. Signal Corps' aim, "Let There Be Light" Despite that decision, however, the picture, on psychiatric treatment of GIs, appears to have almost insurmountably tough hur- dles ahead before it hits the nation's screens. . . Print has been making the rounds of major and minor companies dur- ing the past week; under auspices of the Johnston office, in an effort by the War Dept. to determine if any distribution outfit desires to handle it. Although execs have all been deeply impressed with the 58-mihule film, response has been entirely negative so far. Companies don't feel that "Light" is suitable for their schedules. However, release isn't the greatest problem, 6ince Mayer-Burstyn, indie distrib firm, has expressed .itself as anxious to handle the picture if none, of the majors want it. M-B has had experience in distributing specialized pix of this type and figures on play- ing "Light" in art houses. Major hurdle militating against re- lease is necessity of getting waivers from the soldiers In psychiatric hos- pitals who' are pictured, in "Light." Individuals, of course, arc easily recognizable in the picture and even though they are now cured, it is fig- ured that being seen under such cir- cumstances by friends and neighbors would subject them to plenty of trouble in civilian life. There are 26 such waivers needed and Army plans to start seeking them as soon as I arrangements for release are under ] way. Although some cutting could I be done of GIs who wouldn't give their okay, it is feared that not suf- i flcient waivers can be 'obtained to I leave the film meaningful. I Picture, made by director-writer Major John Huston' while he. was serving in the Army, is figured as an antidote for numerous recent Holly- wood films with fictionalized psychi- atric themes. WBYDuo in June Warner Bros., which gave the market only one picture this month, "Her Kind ot Man," raises the ante to two for June. .They are "One More Tomorrow." to be niade avail- able June I, and "Janie Gels Mar- ried." which goes out June 22. "A Stolen Life." current at the Hollywood. N. Y.. will be held back for a whiic, possibly until early fall. Smith Starts July 1 Hollywood, May 14. Bernard Smith, named eastern story editor for Samuel Goldwyn, will start his chores July 1. Smith is currently managing editor and sales manager for Alfred A. Knopf, publishers. Miriam Howell, present Goldwyn eastern literary head, remains as the producer's. eastern production rep.