Variety (August 29, 1951)

Wednesday, Augnat 29, 1951 ncrous T Get Back Lost Glamor,’ Warns Balaban; Life Yarn Blessing in Disguise,’ Mayer 4 Chicago, Aug. 28. Robert J. (Bob) O’Donnell’s •Movietime, U.S.A.” caravan hit Chicago last week to brief local film chieftains on the intricacies of the Council of Motion Picture Organizations' bally campaign, and to set up what amounts to a Aim anti-defamation league here where, it* generally conceded, insults smack right to the vitals. While O’Donnell, BAK prexy John Balaban, and COMPO head Arthur Mayer all slapped back at •our critics,” several of Chicago’s exhibit admitted that Life maga- zine. for example, "carried more than a grain of truth,” in so far as Chicago is concerned. Balaban. co-chairman of the Illinois bailiwick, told the meeting a slightly different story than what was mumbled about by smaller cir- cuit owners. "Our Job now,” he said, "is to get back our lost glamor. People don’t talk about us anvmore unless it’s disparagingly, and we've been kicked around, criticized and ridiculed.” Despite this. Balaban said, business is beginning to show more signs of life and the public is starting to respond again "after the initial shaking out.” Mayer said that while "Life mag- azine is seeking to destroy*us," the story was "a blessing in disguise.” lie said It should drive members of the Aim industry into a much harder Aght. "If it doesn’t,” he said, "we deserve to be slaught- ered.” Loop Pulse Stronger Many exhibs later scoffed at the business upbeat here, although they admitted the Loop pulse has been stronger recently than at any oilier time during the past year. Neighborhood business has perked, but only to the extent that the price-cut battle at the early part of the summer has partially worn itself out, and because exhibs are becoming more selective in book- ing. Additionally, there's the factor of big pix making a sudden, splash in the Loop and their impetus carrying on to tfe* neigh- (Continued on page 18) ABPC $7.011356 PROFIT GAIN OF 83CG IN YEAR London, Aug. 28. In its annual report covering the year ended last March 31, Associ- ated British Picture Corp., which is controlled by Warner Bros., dis- closes a trading proAt of £2.504,273 <$7,011,856), representing an in- crease of £293.651 ($836,222) over the previous year. ProAta and income taxes for the new year amounted to £1,217,464 ($3,408,899). Net earnings were £650,802 ($1,822,243), compared vith a 1950 net take of £532,314 < $1,490,479). Par Int’l CoDarites Gain Hike, End Strike The week-old strike of Motion Picture Home Of Ace Employes Lo- cal No. H-63 against the Para- mount Internationa) homeofAce *as settled satisfactorily for both parties yesterday (Tues.) after- noon. Russell Moss, business agent for Local H-63, said that the wage in* crease granted averages 9Vi%, plus an automatic increase at the end of one year, based on the con- sumers place Index of the U. S. Department of Labor for New York city. Local H-63 originally had de- manded a 10% increase, but the company had refused to go beyond * $4.50 per week pay hike. The piesent settlement was described as “very agreeable.” The employes began a "strike- rs ’ picket iA front of the Pan- mount Building, Times Square, on Aug. 16. Last Thursday (23) it waa • switched to an outright strike Picket. life* Walter-Upper Vote of thanks is due Life editor Henry R. Luce for that article the mag recently ran on the Aim industry, Ned E. Depinet said yesterday (Tues.). Depinet, prez of RKO, is also head of the Council of Motion Picture Organisations. He declared that the pan- ning article served as a cata- lyst to get the industry work- ing together and was in a large way responsible for exhib en- thusiasm throughout the coun- try for the forthcoming "Mov- ietime U. S. A.” drive. "It took * something like the Life article to wake them up,” Depinet asserted. Levy’s Blast Seen As Bid to Revive Arbitration Setup Blast by Theatre Owners of America chief counsel Herman M. Levy at the distribs for their com- petitive bidding practices, was seen in trade, circles this week as a new. indirect attempt to revive sentiment for an industry arbitra- tion system. Levy, along with other TOA top- pers. consistently has been antag- onistic to licensing by bids. But they also have been angling for industry arbitration as a means of creating some semblance of intCa- trade harmony in lieu of the grow- ing number of courtroom hputs. Blocking arbitration is Allied States Assn. Latter theatre org might consider it eventually, but only on the quid pro quo condition that it's accompanied by modiAca- tion of the distribs' bidding habits. Thus, if TOA is successful in its maneuvers to scuttle bidding. In itself a highly desired objective, this also would have the effect of winning Allied into the arbitration fold. Allied’s thought on bidding is that it originally was designed to enable an indie operator to com- pete with theatres which had been or still are affiliated with the majors. The exhibition outAt could be expected to accept a system of arbitratibn, if this revision of the bidding practice were granted by the distribs. REAGAN’S PRO-H’WOOD TALK IN CONG. RECORD Hollywood, Aug. 28. Ronald Reagan's defense of the ! Aim industry, contained in an ad- dress delivered at the Klwanis In- ternational convention in St. Louis, will be reprinted in the Congres- sional Record. Insertion was made possible by U. S. Sen. Alexander Wllev, who said: "It answers certain false notions | which are being spread, intention- ally or unintentionally, about the motion picture industry and about ♦hose who are members of it. The American cinema is composed, by and large, of honest, hard-working, patriotic Americans, who yield to no group in their devotion to this country and' in their Americanism.” 26 Drive-ins Get NPA Okay As Last-Minute ‘Hardships’ Washington, Aug. 28. National Production Board last week okayed the construction of 26 more drive-ins and four roofed- over theatres, plus an addition to an existing theatre. These are almost last-minute "hardship” case okays for the the- atres. NPA has already announced that it will not approve theatre construction during the fourth i quarter of this year. SALES HEADS SEE 10 SUBSTITUTE Problem of what to do about competitive bidding has been placed squarely in the laps of the same exhibs who have been up in arms over what they feel are In- equities and pitfalls in the licensing procedure. Such prominent exhibition top- pers as Abram F. Myers, S. H. Fabian. Ted R. Gamble, Herman M. Levy and others for some time have been complaining that bid- ding leads to all sorts of Injustices, and have begged the Aim compa- nies to abandon the practice. Sales toppers on the other hand told Variety this week they might go for any alternative to bidding. Bjit the big rub Is that they say they know nf no such acceptable substitute for that licensing pro- cedure. However, the Aim company ofAciaii added that they will con- sider proposals for an alternative coming from exhibs. Solutions Welcome William F. Rodgers said in effect that he has no choice other than bidding, when two or more exhibs demand the same run. If theatre- men can come up with any other solution, Rodgers said he would consider it. Other execs echoed the same ob- servation. They claim that bids represent the only certain means of averting court actions on charges of discrimination. With bids the theatremen can’t claim "foul.” Levy, who is general counsel of Theatre Owners of America, rapped this distrib reasoning in a press statement last week. He charged the Aim companies’ fond- ness of bids as a sure way of stay- (Continued on page 14) $14.76 Average For WB Tenders Warner Bros, paid an average price of $14.76 per share for the 1,015.900 shares of its own common stock, which were acquired this month in line with the WB capitali- zation shrinkage program. Includ- ing stock bought In earlier, this brings to 1,152,000 the total num- ber of WB shares which are to be retired, leaving about 5.620,000 shares outstanding. Big buy-up this month followed a decision by the WB board to in- vite tenders from holders on a WB offer to take $15,000,000 worth of shares at up to $15 per share. Stock recently has been trading at about 14*4. Total price for the 1,015,900 shares amounted to $15,000,011. Basic idea behind the action is to cut the capitalization commensu- rate with the drop-off in earnings so that the per-share profit could be maintained along with the $1 annual dividend rate. Of the shares tendered this month, 100,000 shares were offered by members of the Warner family. The corporation purchased 50,650 of these. Par Pays Flat $110,000 For ‘Stalag 17’ Rights Paramount has agreed to a Aat price of $110,000 for screen rights to ‘‘Stalag 17,” the comedy-melo- drama hit now on Broadway. Pur- chase price, it Is understood, is to bo paid to authors Donald Bevan and Edmund Trzcinski in four in- stallments over a two-year period. Billy Wilder Will direct the Aim, which is based on the authors’ own experiences during two years in a German prisoner-of-war camp, in which a Nazi agent was planted to spy on American captives. Filming will start early next year, with release probably in the fall. That will permit the play to continue its Broadway run through the current season, and give a season on the road to a touring company planned for Oc- tober. Mayer Fmds ‘Movietone’ Getting More Than Lip Service By Exhibs Every Bit Helps Chicago, Aug. 28. R. J. (BobJ O’Donnell, na- tional chairman of COMPO’a "Movietime U.S.A.” campaign, told Chicago exhibitors last week to take heart. Batesville, O., he said, which baa the highest ratio of TV aets in the state, has felt an 85% in- crease in theatre business over the last three years. Official 1990 census lists Batesville population at 194. 20th Sees Strong B.O. Comeback In 2d Half Year Instead of thinking in downbeat terms of new economy measures in the wake of the company’s an- nounced drop of $3,612,468 in earnings for the first half of this year, 20th-Fox execs are waxing optimistic. They’re anticipating a strong Anancial comeback in the year's second half, basing this on the business upswing which com- menced around July 1 and general- ly is Agured to continue. Contributing to the uplift in morale In the current smash b.o. performance of "David and Bath- sheba," and the prospect of other good money-makers on the balance of the company’s 1951 lineup. "DfcB” is drawing strictly top re- turns currently in N. Y., Atlanta and Kansas City. OutAt disclosed that for the Arst seven weeks of the third quarter, which began July 1, Aim rentals showed an increase of 11% over the same period last year. Theatre receipts also were marking im- provement. Twentieth's net for the 26 weeks ended June 30, 1951, amounted to $1,071,113, equal to 30c per share after deducting dividends on prior preferred and convertible preferred stocks. The two pre- ferred issues both were retired in full on July 13. In the comparable 26 weeks in 1950, earnings reached $4,683,581, including $1,323,841 in income earned abroad in prior years and (Continued on page 16) BRISK1N SETTING NAMES FOR ‘MOVIETIME’ TOUR Hollywood. Aug. 28. Samuel J. Briskin, Hollywood chairman for COMPO’s "Movie- time U.S.A.,” is lining up Aim names for personal appearances in every one of the nation's state capitals on Oct. 8. List of 300 thesps is being checked for ac- ceptances. Following the Oct. 8 teeoff, the players will appear at schools, churches, service clubs and other community centers in the neigh- borhood of the state capitals. Meanwhile, the Golden Jubilee pro- gram will start with a nationwide broadcast on Sept. 24. Bercorici Suing Wallis For 18G on he ‘Balance’ Wallis • Hazen Productions was named defendant In a N. Y. Fed- eral Court action this week insti- tuted by Leonardo Bercovtd. He claims the Aim-making unit owes him $18,000 under an agreement by ~hirh he was to either write or produce a pic for Wallis. Bercovici charged he received only $10,000 from the outAt, where- as the agreed sum was $28,000. He said the reason he didn’t actual- ly handle the chore for Wallis was that he was not given any assign- ment. ♦ As glowing reports of proposed activities and expenditures of ex- hibitors In all parts of the nation continued to pour into the N. Y. office* of the Council of Motion Picture Organizations, Arthur L. Mayer, executive veepee, observed that anyone who contended exhib- itors were offering only^ lip service to the "Movietime U.S.A.” drive is far off base. "It is the most gratifying exam- ple of industrywide cooperation in a common cause than anything I have seen during the 30-odd years I have been in this business,” May- er said. 'These exhibitors are pledging not only hard work but also hard cash. In some cases ex- hibitors are pledging as much as 5c a seat to help finance the drive. Others -r« ribing large sums by other means. Just talk with Bob O’Donnell, who is now touring ma- jor cities, meeting with exhibitors, | About the response this campaign i la getting. He is as constantly amazed by the unbounded enthusi- asm of these showmen as I am.” Mayer accompanied O’Donnell to Atlanta Tuesday <28> to assist in spreading the gospel about the coming boxoffice drive which kicks off with a national radio broadcast Sept. 24. He also will appear with the national director of the cam- paign in Jacksonville today (Wed.) before returning to N. Y. O’Don- nell will continue his tour, address- ing exhibitors in New Orleans, Aug. 30; St. Louis. Aug. 31; Albany, Sept. 5; N. Y., Sept. 6; Pittsburgh, Sept. 7; Chicago, Sept. 10. Other dates are expected to be added to his present schedule. "Movietime U.S.A.” will begin officially Oct. 1, when the industry will publish advertisements in 1,753 newspapers on or near that date. Full-page ads will appear In 220 newspapers published in 92 cities with populations of more than 100,- 000 and half-page ads in 1,533 pa- pers published in 1,318 cities with populations of less than 100,000. Reaching a totai circulation of (Continued on page 18) BETTER TIMES COMING SKOURAS TELLS NT MEET Los Angeles. Aug. 28. Filmhou.se business is on the up- grade and will pick up more altitude during the next six months, according to Charles P. Skouras, chief of National Thea- tres, addressing a meeting of Fox West Coast official? at the opening of the circuit’s 16th autumn sales campaign. He said: "Never have I had greater con- fidence in the motion picture the- atre industry than I have today. Don’t let anybody fool you about the future of this business. Its I place in American life is well established and assured. The beau- tiful, capacious theatre, with its, superior sound and projection.* colorful surroundings and ample parking facilities, will continue as the finest medium of entertainment for the public.” N.Y. ‘MOVIETIME’ DRIVE STARTS ROLLING SETT. 6 Steps in which the Organfzation of the ^Motion Picture Industry of New York City will cooperate with COMPO’s "Movietime U. S. A.” drive were revealed yesterday (Tues.) by Lynn Farnol. public re- lations director of the organization, recently appointed to handle cam- paign publicity in N. Y. The N. Y. drive will be launched Sept. 6 with a meeting of the Metropolitan Motion Picture Thea- tre Owners. Independent Theatre Owners, Allied of N. J., distribu- tion heads, and local film exchange personnel. A committee including Edward Rugoff (A Becker), Fred Schwartz (Century Theatres), Har- ry Mandel (RKO) and Farnol will arrange for a theatre and other details of the mass rally. Special editions of the N. Y. Sunday Mirror and Sunday News are set.