Variety (February 1952)

Wednesday Febnuwr *, 1952 mctvbes Latest quarterly reports from six major companies show gross-, revenue on a nice upbeat in all instances. Quarterly periods end on Sept. 30 for Paramount, United Paramount and 20th-Fpx; Nov. 3 fof Universal, Nov. 22 for Loew’s, and Dec. 1 for Warner Bros. Eric Johnston, who yesterday-f (Tues.) concluded a round of visits to distrib homeoffices in New York and studios in Hollywood, report-: edly will next embark on a series of exhibitor tours. Improvement of exhib relations has been one of the points most frequently pressed by the distribs on John- ston as a vital industry necessity. Tremendous worry to company toppers are the gigantic antitrust suits which theatremeri. continue to bring against the majors. There are said to be 156 of them now pending, with total damages of more than $350,000,000 sought. It is feared that a number of these won in quick succession by exhibs could break the back of the in- dustry. With that in mind, company chieftains would like to see the Motion Picture Assn. of America prexy use his tact in an effort to head off further antitrust actions and stimulate exhibs to call off or reasonably settle those pending. Process would be one of pointing out to them that ‘they are en- dangering their sources'of supply, that they ‘ and their customers in the long rUn are footing the bills for these suits, that arbitration and other methods of solution are cheaper and simpler than lawsuits. Johnston, it is expected, will hit the road for exhib meetings and individually visiting and chatting with leading theatremen. Such a course of action was one of the most frequently recommended points during the MPAA boss’s cir- cuit of the homeoffices. With a determination since his return to active MPAA service last Dec. 1 to concentrate on domestic activity, Johnston initi- ated the tour of h.o.s. and studios to sOund them out oh industry needs. Report RKO Re-Editing ‘Las Vegas’ in N.Y. As Legion Eyes ‘C’ Rating RKO has reportedly flown a cut- ter into New York from the Coast to make its “Las Vegas Story” con- form to Legion of Decency require- ments. It is understood that the Catholic organization was. planning a “C” (Condemned) rating for the film unless cuts were made. Pic, starring Jane Russell and Victor Mature, is a Howard Hughes production. It is in its second week at the Paramount, N. Y., and has opened in various other spots throughout the country. Some five films, including Cecil B. DeMille’s Paramount release, “The Greatest Show on Earth/’ were rated Class B (morally ob- jectionable in part for all) last week by the National Legion of , Decency. In regard to the DeMille picture, the Catholic group pointed out that “especially because of the youth-appeal of. this film the fol- lowing objections should be care- fully noted: “Despite certain mitigating con- siderations an emotional impact of this film tends to condone, and arguments presented to justify, the sinful act of mercy killing. It also contains suggestive costuming and dialog.” Griffis Exits Pic Biz Stanton Griffis, retiring U. S. Ambassador to Spain, declared in New York Monday (4) that he won’t take an active part in the picture business or any other business. The chairman of Paramount Pictures’ executive board, who arrived pn the Independence,, emphasized that he is returning tO private, life. Griffis closed 10 years of govern- ment service , when he resigned from his post as Madrid envoy last month. With the Supreme Court agree- ing on Monday (4) to hear oral argument on Joseph Burstyn’s bat- tle to have the Italian-made film, “The Miracle,” shown in New York. State theatres, Ephraim London, Burstyn’s attorney, has invited the Motion Picture Assn, of America to submit a brief in conjunction with his <jlient. Court’s agreement to hear the case marks the first time since 1915 that a motion, picture censor- ship case has been permitted to come before the high court. Lon- don said he extended the invitation to the MPAA because he feels “The Miracle” fight offers the in- dustry the test case it has been seeking. He indicated that Burstyn and the MPAA. were “fighting for the same thing” and that, in his opinion, it would be “foolish” for the industry group to wait for its own test case. London expects the- hearing to come before the high : court in mid-April. MPAA has been nursing its own test case, playing a large part in the.' defense of theatre manager William L. Gelling, who is involved in a censorship case in Texas. Tex- as Court of Criminal Appeals last week upheld the conviction of Gel- ling for disobeying a specially- constituted censor board. by play- ing “Pinky” (20th) in 1950. Court’s (Continued on page 16) Gross revenue chalked up by Lb ew’ , Paramount, 20th-Fox, United Paramount, Universal and Warner Bros, in the quarterly pe- riods covered by their most recent statements climbed to $189,900,000, Total income for comparative pe- riods in the preceding year amount- ed to $169,300,000. Although the gain of $20,600,000 will not be matched commensurate- ly by an upturn in net earnings, mainly because of the heftier tax provisions in the new year, finan- cial analysts believe the overall figures should serve nicely in: bol- stering industry morale. Consensus is that, the monetary upbeat further reflects that the public will support good product such as had been in release in late summer and fall, as covered by the reports. Business has been up in both the domestic and foreign markets. Another plus fac- (Continued on page 55) Extent to which the industry an- titrust actions are proving a heavy financial strain pn the film com- panies is pointed yp via the dis- closures that Loew’s laid out $511,271 for suit settlements, legal fees and expenses during its last fiscal year. This hefty item was charged directly to profit and loss. (In L. A. last week Theatre Own- ers of America’s exec director, Gael Sullivan, stated that 156 exhib ac- tions now are pending against the companies.) In addition to the $511,271, Loew’s, like all other outfits, is called upon to maintain extensive and expensive staffs of legalites at the homeoffice. While the Other companies haven’t disclosed the specific amount of legalistic costs they in- curred last year, it figures to be as burdensome as Loew’s in pro- portion to their corporate stature. Universal, for example, set aside $500,000 for “contingent liabili- ties;” Bulk of this entry will be to cover the court battles; Warner Bros, carried the same item at $700,000. on Defense as FCC Shoots m . Washington, Feb. 5. Legal staff of the Federal Com- munications .Commission trained its character qualification gun- sights on Paramount. Pictures prexy Barney Balaban today (Tiles.) in an attempt to determine whether. Par is qualified to oper- ate as a television station licensee. Question is part of the Commis- sion hearings on .the'-, proposed United Paramount Theatres-ABC merger, and it became apparent from today’s questioning that the six-man FCC legal Staff has de- veloped a well-documented back- ground on Pay’s previous practices. With Balaban ‘ continuing on the stand today after his lengthy ses- sion yesterday, the bulk of the questioning was centered around FCC efforts to determine how Par had obtained its interest in thea- tres prior to the consent decree. From these questions, the .FCC hopes to determine if Par’s nego- tiations reflect on its character qualifications. Since the character issue is considered highly crucial in these proceedings, the Commis- sion is probing even deeper than did the Dept, of Justice during the consent decree hearings. . Commission counsel Frederick (Continued on page 21) Nate Blumberg. will probably New York for the Coast Fri- day. (8) by train. Universal prexy plans to remain in Hollywood two months or longer, He'll huddle with studio toppers William Goetz and Leo Spitz, but because of his recent illness will be restricted to a very limited schedule of activity. Sent to Showers Film industry’s newsreels, con- ceding it’s impossible to compete with television’s pictorial spot cov- erage, are switching to analytical and broadened presentations of major events in their twice-weekly releases. So far as TV is concerned, reel, reps insist there’s no real com- petition, similarly as a twice-week- ly newspaper and a daily are not exactly competitive. In line with the policy, which has evolved over a long period, rather than being an overnight change, the reelers are. cutting down on the number of subjects covered so that each can be given more extensive handling. Recent issue of Paramount News, for ex- ample, carried material only on Capt. Kurt Carlsen’s return to N. Y., Prime Minister Winston Churchill’s address before Con- gress, and the snowbound train on the Coast. Universal News* covered the same three subjects plus an account of activities at a prisoner- of-war camp in Korea. It’s noted that neither reel had any display (Continued on page 16) Coplan’s TJ.S. Look David Coplan, managing director of Independent Film Distributors, Ltd., arrived in New York over the weekend from his London head- quarters to look over fresh product. Coplan plans a three to fourr week U. S. stay. Biz Turns Spotty in Keys; ‘Quo Vadis* Still in First Place; 'Sailor* Second, 'Room* Third Korda, Wolff, Rose In N. Y. From Britain Sir Alexander . Korda, head of London Films; Robert S. Wolff, RKO Pictures managing director in Britai , and indie producer David E. Rose arrived New •York yesterday (Tues.) the Queen Mary. Korda, recovering from a long illness, will confer with Ilya E. Lopert, who distributes his product in the U. S. Wolff will hold his annual home- office huddles with RKO foreign uhief Phil Reisman and other top- pers. Rose, who turned out the Linda Darnell starjrer, “Saturday Island,” brought a Technicolor print of the picture with him. United Artists is distributing the. 1 Jamaica, B.W.I., locationer. Trade in key cities covered by Variety this week is inclined to be spotty, with a plethora of holdovers and extended-run pix cutting into overall total. Some exhibitors com- plained that unseasonably warm weather took many prospective patrons outdoors instead of into theatres. Jn direct contrast, the eastern sector had to contend with bitter cold weather early in the session. Cities which had the ad* vantage of sturdy new fare man- aged to do well despite all handi- caps. “Quo Vadis” (M-G) continued out in front by a wide margin with close to $200,000 grossed in main key cities. Second place was taken over by “Sailor Beware” (Par), the Martin-Lewis comedy giving every indication that it would climb even higher. It is out in only five keys currently. ; * . “Room For One More” (WB) lived up to its. promise of last week by pushing Up, into third spot while “Death of Salesman” (Col), now go- ing out into keys more generally, finished fourth. “Lone Star” (M-G), a newcomer, is showing enough to land in fifth position. * “Girl in Every Port” (RKO) took sixth money, \ with “Decision Be- fore Dawn” (20th), seventh. “See You in Dreams” (WB), which has played most of its principal key city engagements, wound up in eighth. “Another Mart’s Poison” (UA) and “Pandora” (M-G) com- pleted the Big 10 list in that order. "Flame of Araby” (U), “I Want You” (RKO) and “For Men Only” (Lip) are the runner-up films in that sequence. “Phone Call Stranger” (20th) shapes as one of best newcomers, based on its showing in preem round at N. Y. Roxy where a sock session looms. “Lone Star” also shapes big. “Green Glove” (UA) is rated only fair on its L.A. launch- ing; “Invitation”,(M-G) is far from promising on its * showing this round. “Bend Of River” (U) looms great on basis of its launching in nearly 100 spots Of the northwest area, ber ing sock -on holdover rounds cur- rently in Portland, Ore., and Seat- tle. “Lady Says No” (UA), given an elaborate campaign plus per- sonals by Joan Caulfield, star of pic, is outstanding in Detroit. “Blue Yonder” (Rep) looks solid in Chicago, “Elopement” (20th) is rated mild in same city. “Lavender Hill Mob” (U) continues solid in three keys. “Double Dynamite” (RKO) looms slow in L.A. “Dangerous Ground” (RKO) looks fair in Omaha but mild in Louisville. (Complete Boxoffice Reports on Pages 8-9) FOA Board Proposes • Americanism Shorts As Anti-Red Project Production and exhibition of a . series of short subjects on Ameri- canism, as a joint film industry project in answer to charges of Communist influence, will be pro- posed to the Motion Picture Assn, of America by Theatre Owners of America. It’s indicated that one major studio already has endorsed the idea informally and others like- ly will follow if the plan carries the endorsement of exhibitors gen- erally. Idea of taking such positive ac- tion as a public service in the fight (Continued on page 16) Trad* Mark Registered FOUNDED BY SIME SILVERMAN Published Weekly by VARIETY, INC Harold Erlcha, President . 154 Weat 40th St. New York 19. N. Y Hollywood 29 0311 Yucca Street Washington 4 1202 National Press Building Chicago 11 012 No. Michigan Ave. -London WC2 8 St. Martin’s PI.. Trafalgar Sq. House Reviews Inside Legit. . . 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