Variety (Nov 1948)

Wcdneaday, November 24, 1948 nCTIJIIKS 7 MAJ0RS"48 NET: $60,000,000 Majors Nix Exhib Assn. s Ropiest That Films Be Kept Off Television Major company presidents have cold-shouldered a request by the Theatre. Owners of America that the big film companies ban the playing of features over television. That decision was made in the course of last week's series, of , liieets on industry problems chairr manned by Eric Johnston^ presi? dent of the Motion Picture Assn. of America. Reportedly, the pitch for a ban on television was made by Gael Sullivan, TOA executive secretary^ m the course ot « presentation of exhib problems;. The argumetat Against an industry commitment Was that concerted action in the form of a video taboo would lay the companies open to anti-trust reprisals either , by the Dept. of Justice or private litigants. , While the anti-trust hurdle was raised, it is believed that the comr panies: were loath to commit them- selves on a program which might prove to be an uncomfortable claiivp on potential revenues in the, future. ,Hence, the blanket ban was refused. It is thought that some less sweeping prohibition, (Continued on page 20) ZANUCK ALREADY HAS EYE ON '50 PROD. SKED Hollywood, Nov. 23. Twentieth-Fox has advanced so far on its production schedule for next year that production veepee Darr>«l F, Zanuck has already started : preliminary work on the 1950 lineup. With some 20 films already com- pleted and in the can, 20th is seven months ahead of schedule at, this time. All pictures slated for re^ lease through next July are fin- ished. First prints on all those to be-released through: February have already been forwarded to the homeoilice for prez Spyros P. Skouras, and other h.Ot officiali to onceover. . Schary Reviews Okay Impact of 'Crossfire' , On the basis of tests made in four key cities, "Crossfire" defi- nitely had an effect upon the public in reducing prejudice: and misconceptions; ■ Dore Schaty, ■ the film's producer, revealed; in NeW' York last week at a panel discus- sion held at Columbia University on "Communications and Human Relations." Before relea.sing the picture, he said, a group of people were polled in Middletown, Boston, Dallas and Denver. ■Upon returning later, Schary dis- closed, the examiners discovered a marked improvement in the atti- tude of those quizzed. Now veepee in charge of production for Metro, hs cited these findings in response to an audience query as to whether . sUch pictures as "Crossfire',' really achieved any- progi-ess with -the publie and, if so, had film com- panies actually attempted: to measr ure the improvement? On the other hand Schary : (Continued on page 18) ' JesseFs Shuttle George Jessel is on a timetable schedule this week, running the famut from playing a "benefit" at . S. 69, in mid-Manhattan, where his daughter, O-year-old Jerilynn, attends, to taking her to the White House Friday (26), to meet Presi- dent Truman. Jessel was one of the few Hollywood rooters for the President. In between, the 20th-Fox pro- ducer emcees Elgin-American's TV show Thanksgiving; guests on Fred Allen's program next Sunday; and he did a couple of personals at the Roxy to give impetus to "When My Baby Smiles At Me," which he pro- duced and which opened there yes- terday (Tues.). At the same time Jessel has the Fred Fisher biopic. Oh, You Beautiful Doll," in pro- ouction at 20th. riCTURK PUBLICIST Maurice Bergman «lv*( • «alf-p«p talk In "Yott'i-e iVo* as Young as You're Gonna Be" • faatura In upeemlny 43d Annivergary Number TV Trailers OnMParPix Paramount, still' certain. of its belief that television dan eventu- ally benefit the film b'oxoifice, is planning to produce special trailers for TV transmission on all future product. According to Par veepee Paul Raibourn, the only factor now holding up the process is the American Federation of Musicians' ban on the use of soundtrack music on films ffir TV. Par plans to produce the trailers on its own lot while the picture is being Icnsed. They would be of 10 or 12-minute duration, with space at both ends for the local theatre advertising copy. ; Trailers could then be slotted on any tele station as a regular show, with either Par or the local exhib buying,the air time/ Raibourn emphasized that they must be shot especially for video, taking into account the aver- age receiving set's small screen. While other film, companies haven't yet announced similar plans, it's believed they'll follow Par's lead as the one , sure method of using tele to their advantage and so compensate for any inroads the newer medium might make. Par has already permitted clips from its features to be Used on certain shows and 20th-Fox tried a radio- type saturation campaign with its trailers on various tele stations for the N. Y. preem oi "Iron Curtain" last year. Exhibs Spurn Newsreels As Payees Complain They Saw It Earlier On Tele In what is probably the first overt example of television's in- roads on-the film business; major distributors are finding it extreme- ly difficult to renew their news- reel, contracts for the coming year with exhibitors in tele market areas. Many exhibs for the first time in years have decided not io. buy the reels at all. Others, citing tele's consistent scooping of the theatrical reels, are demanding lower terms than last year. Exhibs base their demands strictly on the fact that the reels, because of TV, have lost whatever value > they might have had. Fact that Fox Movietone now services most tele areas with a special video reel and other major reels are reportedly ready to ink a similar TV deal has nothing to do with the situation, the exhibs claim. Theatre operators point out that the newsreels have never appealed to more than a limited segment of the audience. With the exception of the key city deluxe houses, most theatres have found that the reels provide only a breather for the audience to go out for a smoke or to buy some candy. Even those who formerly sat through the reels now complain, however, that they saw the same events one or two nights earlier on tele. Hence, ac- (Continued on page 18) |UUU| GROSS SO FAII Net profits of the seven major companies for fiscal 1948 crossed the $40,000,000 marker last week when Paramount and 20th-Fox both turned in third-quarter returns. All majors, except United Artists, have now showed up with; total earnings of $43,941,732 indicating a $60,000,000 net for the entire year.. Included in the estimate is a nine-month loss of $1,709,807 by Universal. In: the equivaleii period of 1947, the companies turned out a take of $77,446,954. From Securities & Exchange Commission .reports and other sources, Variety estimates the gross to date at $663,000,000. Against this, revenues before ex- penses came to $110,000,000 for the same stretch in 1947. One notable factor,,is the stu'rdy profits this year by Par and 20th, which have not declined as sharply as those of other companies. Par reported $20,015,000 for nine months, against $25,512,000 in '47; while 20th came through with $9,119,613, compared to $10,608,- 098. Significantly, the duo operate the two largest theatre circuits in the U.S. Breakdown of 20th's report, how ever, shows other factors as im- portant in the company's strong standing. Scored as rents from tenants and other income is $10,- 348,300, sum which exceeds last year's: figure by $2,000,000, This increase, company spokesman said, cime from foreign remittances which, were earned in prior years but only received during the current stanza; Important in this (Continued on page 20) Par, Along With 20th, Reported Interested in Settling; Balaban Said to Favor Retaining Theatres Hornblow to Review Italo Prod. Problems Paris, Nov. 23. Metro producqr Arthur Horn-' blow, Jr., currently m Europe to prepare"Quo Vadis,'- will leave for the U.S. after a short stay, in London to huddle with Louis B. Mayer and Nicholas M. Schenck on Rome conditions before deciding to shoot the film there. , If Metro execs okay the project, they will have to send' a' lot of equipment to Rome and get permission to unfreeze, some of their lire from the Italian government. While in London, Hornblow will meet Eddie M'annix; Metro produc- tion exec,: who : was planning to leave for the U.S. on the. Queen Elizabeth this week before, the sailing was cancelled due to the U.S. dock strike. Leo McCarey can't Mt Why Intra-Trade Spokea- men Give tfie FUm Bi» (and Themselifea) a Hot Foot * * * an redlterial .featHr* In the upcoming " 43d Anniversary Number of P^niETY . RKO Bank Loan Snarls Split-up Hollywood, Nov. 23. The $10,000,000 production loan which RKO obtained from a group of banks last yeat ,is posing as a possible obstruction to the conj- pany's plan of severing its theatre arm from the production-distribu^ tion end of the business. RKO has yet to obtain the okay of the banks to the split into two companies, it is reported here. It is: believed that the approval is a necessary preliminary to the reorganization. As the loan now stands, it Is an obligaition' on which the parent company is responsible, with both its theatre and studio, profits pledged to meet the Indebtedness. The complex question now being faced is how to allocate the loan between the two companiesrto-ber - (Continued on page 45) 20th's 5-Year Spread Washington, Nov. 23. One condition asked by 20th is a five-year period in which: to sell those theatres divorced by a con- sent decree. Heretofore, the Gov- ernment has been seeking to limit liquidation transactions to a maxi- mum of two years. ; Twentieth wants the long stretch to insure it from taking a loss b^ forced sales. National Boxoffice Survey Pre-Thanksgiving Biz Dull—'JuHa,' 'Baby,' 'Belinda,' 'Hamlet,' 'Road,' 'Bride,' 'Song' Top Seven With many theatres marking time until i Thanksgiving : before bringing in new product, biz is far from strong this week in numerous key cities covered by Variety. First blasts of winter in middlewcst and rain elsewhere also were blamed by exhibitors for genei'ally offish tone. Even the topmost pic- tures will not show $200,000 apiece for the session for first time in monthSb "Julia Misbehaves" (M-G) in climbing into first place in the b.o. derby by a wide margin,, after being third nationally or lower for three weeks in succession. Second money goes to "Baby Smiles At Me" (20th), which: is doing better than in previous weeks. Third slot is being captured by "Johnny Be- linda", (WBi. Fourth position goes to "Hamlet" (U), an improvement over last session. ^'Road House" (20th) is winding up fifth with "June Bride" (WB) hot far behind in sixtiv spot. "Song Is Born" (RK.O), continuing to stay up in the money, is landing seventh place and "Sealed Verdict" (Par), eighth. "Tatlock's Millions" (Par), "Red River" (UAi and "Kiss Blood Off ' Sudden postponement of hear- ings in the Government anti-trust action to Dec. 26 has set oif a train of .new reports of settlement nego- tiations by: major companies. Para- mount, it is stated, has again en- tered the compromise arena , with, two alternative plans to present to the Governmetit. Twentieth-Fox is continuing to' press ,for peace but with no agreemetit reached, as yet. Innumerable strings tied to any consent decree by Special Ass't. Attorney General Robert L. Wright, however, ai"e cramping the majors in their quest for a peace, formula. Wright is demanding rigid regulations governing the way in which major distribution and theatre operations can be carried on: under a: decree; His 'demands have raised a doubt among many fiUn execs whether the companies: could operate profitably under his conditions. Wright for instance, is insisting that a, decree permitting retention of showcase theatres include the Government's pet proposal—an ab- , solute ban on cross-licensing. In (Continued on page 45) 20TH'S RUSH PIC JOB ON PRESIDENT TRUMAN Twentieth-Fox has shoved through a rush job on President Harry Truman's reelection at the request of the film section of the U. S. State Department's Office of In- formation & Education Exchange., The one-reeler, put together to give, the. President's biographical back- ground and explain his victory at : the polls, is intended: for wide- spread circulation in all parts of- the world. Russ^l Muth is: producer under ; the supervision of Edward Reek, production : chief for Fox Movie- toncws. Company has also taken on the chores of turning out a; short on the Economic Cooperation Administration (Marshall plan). Hands" (U) are leading runnerrup films. ■ ,:•■,■■ "Rogue's Regiment". (U) and "Kissing Bandit" (M-G) shape as outstanding new pictures on basis of first dates this stanza. "Three Musketeers" <M-G) is measuririg xxp'ta promise of its current; smash run at N.Y. State by pacing L.A. ■with a great week. "Snake Pit" (20th) continues terrific on its Chi- cago and N.Y. initial , playdates, "Fighter Squadron" (WB) is leader in Phllly but disappointing in N.Y. "Joan of Arc" (RKO) still is holding; near opening-week's colos- sal figure on first holdover: frame at N.Y. Victoria. "Blood On Moon" (RKOl also shapes promLsing among new entries, with' fine San Francisco week plus: solid second N.Y. round. "Return of October" (Col), passable in Indianapolis, is doing nicely in Louisville. "Red Shoes" (EL), still torrid in N.Y. and Washington, shapes sock | on Boston preem week. j "The Plunderers" (Rep) looms ! okay in St. Louis. "This Is N.Y." (UA) is sluggish in Louisville. "No Minor Vices" (M-G) looks mild in Cincy and Washington. (Complete Boxoffice Reports on Pages 8-9) Trade Mark Rogifltered FOTTNDKD BY SIME SILVERMAN I'ubUiihnI Weekljr by VARIETY, Inc. ., Sid Silverman, President ISi Wert 4«th St., Now York 19, N, Y. . , Iiollrwood lis 8311 Yucca street , ; WaNtilnKton 4 •' 1292 National: Frew Building ■. ChivB'iro:!.,..:", 880 No. Miehlifiln Ave. London WCS • St. Martinis PI., Trataltrar Ba. SUB.SCRIPTIOX Annual..... :$10 Foreign..... .til .Sinf^le Copies..,;2fi Cents Vol.172 ]» No. 12 INDEX Bills 45 Chatter 54 Concert 48 Film Reviews 6 House Reviews ... . . i i .;: 46 Inside Legit 48 Inside Music ...,.,.. i.. 40 Inside Pictures 14 Inside Radio 30 Inside Television 28 International ............ 12: Legitimate . ,. . . ... i... 47 Literati 53 Music . 34 New Acts '..., 45 Night Club Reviews . .. . 44 Obituaries 55 Orchestras - 34 Pictures 3 Radio 21 Radio Reviews .,i 24 Records .34 Frank Scully 53 Television 25 Television Reviews 28 Vaudeville .41 iMTiTFS'.utiis'rv (PubllslK-d In WoJlywood by Mally Variety. T.td.) Its a Year—|i!0 rorelsn