Variety (February 1955)

10 ' PICTURES T Wednesday, February 2, 1955 Court Upholds Exhibs’ Claim on Tax Breakage’ But N. Y. City May Appeal New York City exhibitors won an important court victory yester- day <Tues.) when the second de- partment of the Appellate Division of the N. Y. Supreme Court ruled that the City administration was not entitled to collect the “break- age” on the 5% theatre admission tax. The City of New York, since it levied the tax last July, demanded, for example, that theatres pay 3c on a 50c admission when the 5% tax actually came to 2.5c. The theatres contended that this was illegal under terms of the State’s enabling act and argued for the payment of the lesser sum, or 2c. When the City put the new tax law- on its books, the theatres sought a temporary injunction on the ground that the entire City tax levy was unconstitutional. The Court denied the injunction on the overall issue, but granted the the- atre a temporary injunction on the “breakage” argument. The thea- tres, however, collected the higher sum from patrons when a frac- tional figure was involved. They paid the city the lesser amount, withholding forwarding the re- mainder under terms of the tempo- rary injunction until a final court decision was obtained. In ruling for the theatres in a three to two decision, Judge P. J. Nolan, writing the majority deci- sion. points out that the State’s en- abling act authorizes the collec- tion of “taxes not in excess of 5%” on admission to specified places of amusement. The New York City law, he said, provides for the col- lection of “a tax in excess of 5%.” In a dissenting opinon. Judge Bedlock declared the lawmakers may adopt a practical means to fa- cilitate the computation and collec- tion of the tax. He maintained that the enabling statute to impose a tax of not more than 5% “must be construed so as to be subject to an exception through implication where the tax so imposed results in a fraction of one-hall' cent or more.” He noted that the amount to be paid by any individual pa- tron “is so trifling a* to be neither burdensome nor confiscatory.” Attorneys for the theatres are certain that the City will appeal the decision to a higher court since the exhibitors’ victory may have 'Widespread repercussion* in the en- forcement of the City’s sales tax which has never been challenged on the “breakage” issue. If the theatres are eventually victorious, the question arises of what happens to the coin the ex- hibs have withheld from the City. Do the theatres keep it? Is it re- turned to the patrons? Some the- atres during the fight have been instructing their patrons to hold on to their ticket stubs. A lawyer spokesman for the theatres said the exhibitors probably would have to hold a policy meeting to deter- mine what to do with the money. He said it had added up to a sub- stantial amount. ^ Ceremonial Feb. 9 For Kaye’s UN Kid Short Leaders of United Nations and film industry will gather at UN Headquarters in New York Feb. 9 for preem showing of “Assignment Children,” 20-minutc Technicolor film highlighting Danny Kaye’s re- cent overseas trip on behalf of the United Nations Children’s Fund. Speeches by UN officials and a message from Kaye via radio-tele- phone hookup from the Coast will precede showing of film made in cooperation with Paramount. Picture developed from Kaye’s tour of Asia as UNICEF ambassa- dor-at-large. It shows Kaye enter- taining youngsters at health con- trol centers and hospitals main- tained by UNICEF funds. rilm covers Burma. India, Korea, Japan, Thailand and Hong Kong. Film will be released world-wide on non-profit basis by Par. Narra- tion is being translated into all Eu- ropean languages, plus Arabic. Japanese. Mandarin. Tagalog, and Thai. First prints will be released in U. S. and Canada in mid-March, simultaneous with release in Aus- 1 1 alia and New Zealand to help back UN appeals on behalf of the Childreh’s Fund. Distribution with- in three months will follow in Eu- rope, Middle East, and I.atin Amer- ica. Ban ‘Bamboo Prison’ ' Memphis, Feb. 1. Three women members of the Memphis censor board banned Co- lumbia’s “Bamboo Prison” last week. Chief censor Lloyd Binford did not vote but said he agreed. Mrs. B. F. Edwards explained: “We ladies found this picture inimical to public welfare. It’s about an American who was cap- tured by the Chinese Reds in the Korean War.’ He seemed to be working undercover for us lor awhile but he was progressive. At the end the star, Robert Francis, denounced the United States. They tried to win him back. It was most unpatriotic. He said he didn’t be- lieve in democracy. I do not think it would be a good picture for our young people to sec.” United Paramount And Distribs Probe Video As Film-Selling Medium Various aspects of film advertis- i ing on tv were hashed out at a meet in N. Y., Monday <31). be- tween ad-pub execs of United Paramount Theatres and the major distribs. Powwow, which was conclusive only in that it established both aides’ willingness and even eager- ness to use tv to the fullest as an exploitation medium, went over the lengthy report prepared by the UPT affiliates and distributed to the companies early in January. Recommendations in the report revolved primarily around the availability from the studios of more and better “tools” for pix promotion on tv, particularly longer and more imaginative trailers. The theatre group also had asked for more “gimmicks” to effect tieups with local tv stations. Although it’s rarely mentioned, and the subject again didn’t come up at the Monday meet, one of the' big roadblocks standing in the way of any effective cooperation between distribs and exhibs re tv is the theatres’ reluctance to sink coin into such efforts. Distrib spokesmen have long taken the position that, as one put, “the ex- hibitors talk big, but they won’t back up their ideas with cash.” It's acknowledged, however, that in some instances co-op deals re tv have been effected in time buying ventures. Exhibs’ complaints on the type of trailers they’re supplied with from the companies were brought up at t»ie confab Monday. One suggestion was made that distribs should use animated cartoons in trailers to soil their films. Reply was that this might tend to give the impression that the pix them- selves are cartoon subjects. Attending for UPT were Emil Bernstecker, Harold Brown and Henry Plitt. Group commended the distribs for their efforts so far in harnessing tv for the b.o. REPEAT PAYOFF TACTICS OF FIRST CINERAMA Mail order sales and pitches to group audiences, a policy estab- lished for “This Is Cinerama,” will be followed by Stanley Warner to drum up business for its second Cinerama picture, “Cinerama Holi- day.” According to SW prexy S. H. (Sit Fabian, more than 10% of “This Is Cinerama’s” record attendance of 9.500,000 has been through ticket sales other than the purchase at the boxoffice. Fabian considers this something of a record in the his- tory of the entertainment business. He said that for many months the advance sale at many of the Cine- rama theatres exceeded $50,000. In some instances, he said, the mail order sales topped 500 in one day. Another gimmick that resulted in a hefty payoff was the special solicitation of conventions, travel agencies, school and scout groups, business firms, fraternal anch em- ployee associations. Frequently special screenings were given at the convenience of these organized audiences. My Favorite Rifle New Haven^ Feb. 1. Town played host to Robert Taylor last week (26) for its first film world preem on rec- ord. As a tiein with Winchester Repeating Arms division of Olin Industries, Taylor came in for presentation of a rare Winchester gun, firearm being featured Tn Metro’s "Many Rivers to Cross.” Visit of film player included public autograph session, cock- tail shindig for prominent city and state officials, sports edi- tors, and Winchester top brass, a tour of the Winchester plant and kleig light preem of pic at theatre. British Films Into Satellite Countries In films, as in other commercial areas, Britain is beating the U.S. to the punch in initiating trade with the Iron Curtain countries. Feeling seems to be that Britain might as well go ahead and get it- self established in the Red perim- eter while America is sitting it out. If and when the U.S. decides to ease its trading policy with Rus- sia and the satellites, and specifi- cally when Hollywood agrees to establish trade relations, the Brit- ish reason logically that they won’t stand much of a chance. Times of London recently had an article noting the general re- turn of British pix to the Iron Cur- tain countries which, are starved for outside product. British films have gone into Russia and also into Hungary, Czechoslovakia and East Germany. Meanwhile, chances of a resump- tion of film trade between the American film industry and the Russians are seen diminished in the light of reports that Metro’s “Waterloo Bridge” is playing in Moscow. Film, which was never licensed to the Russians, presum- ably is another one of the batch of pix that the Soviets have claim- ed as "wac booty” captured in Berlin. Metro spokesman said last week that the company didn’t see much sense in protesting these illegal showings in the light of past ex- periences with such complaints which were delivered in Moscow by the U.S. State Dept. He said Metro had no prior knowledge that the Russians had “Waterloo Bridge” and>that he could only assume this was another of the films tagged as Russian “prizes of war.” ^ Even though the State Dept, has indicated to the industry that it* would no longer object if a deal with the Russians were to be con- summated. no move appears to be on foot to establish contact with potential Moscow buyers. Sindlinger Tells Philly Exhibs Will Give Public Abolished Tax (of 10%) Philadelphia, Feb. 1. Proposals to halve the city’s 10% amusement tax were backed by film and athletics spokesmen at a hearing in City Council, with pronTTSes to pass the tax-cut on to the public. Albert E. Sindlinger, business analyst representing the Council of Motion Picture Organizations, told City Council’s finance com- mittee that the theatre operators ►would give all tax cuts to the pa- trons. Reduction of the tax was also asked by Jeremiah Ford, director of athletics at the University of Pennsylvania. Cost of the tax cut in lost revenue would be approxi- mately $1,500,000, city revenue officials estimated. The amuse- ment tax is the city’s only revenue source which has been declining steadily in recent years, propo- nents of the cut argued. 3 Columbias in Feb. Columbia has scheduled three releases for February. They are “Ten Wanted Men.” Randolph Scott Technicolor out- doorer; “Women’s Prison,” star- ring Ida Lupino, and “Pirates of Tripoli.” starring Paul Henried and Patricia Medina. Inside Stuff-Pictures Echoes of the famed “Birth of a Baby” case, litigated in 1937 and 1938. sounded Friday (28) in the unanimous decision by the Board of Regents upholding Dr. Hugh M. Flick’s ruling of Sept. 23, 1954, that “Mom and Dad” could not be licensed in this State with the brief “Normal Birth” sequence retained. The Regent’s resolution supporting the chief censor’s finding, pointed out that “The Court of Appeals affirming the Board of Re- gents has held that such a scene cannot be shown in the amusement theatres of the State because it is indecent when shown in such theatres (American Committee on Maternal Welfare, Inc. v. Mangan, 257 App. Div. 570, affirmed unanimously 283 N. Y. 551).” New printing of the Production Code, incorporating all revisions and amendments through 1954. is now available through the Motion Pic- ture Assn, of America. Changes in the new edition are comparatively insignificant. Eliminated, for instance, is the prohibition against showing methods of smuggling Miscegenation is no longer taboo but, like liquor and drinking, must be treated within the limits of good taste. Branding of people or animals as a “repellent subject” is no longer in the document. “Hell” and “damn” can now be used in moderation. — Joseph Kaufman, producer of “Long John Silver,” believes, he says, 1 that Walt Disney’s telecasting of “Treasure Island” should serve as a multi-million-dollar trailer for his. Kaufman’s feature. There had been some suspicion that Kaufman would burn over Disney’s tv ex- I posure of "Island” because of the similarity of the two properties. Kaufman makes the point that his pic is in CinemaScope, color and stereosound whereas the Disney film, on tv, was on the small home screen in black and white. A special series ol' comic books, aimed at helping exhibitors combat juvenile delinquency as well as interesting school and teenage children in film-going, is being prepared under the direction of Martin Starr, Broadway and Hollywood commentator. Comic books will be pub- : lished by Timely illustrated Features, beaded by Arthur Jilfrey, | longtime film publicist. TIF is a subsidiary of Martin Goodman Publications, publishers of 50 regular newsstand comic books. In a move said by studio to meet increased property taxes, labor ' charges, et al. RKO-Pathe studios in Culver City has upped rental ! rates 10% for theatrical film producers and 20% for telepix makers. Differential is caused by fact that former rent stage space for much longer periods, while tv people use stages for comparatively brief periods of time. In a report last week of the activities of the indie distributor, Pacemaker Pictures, it was stated that three of the company’s recent releases grossed $100,000 each. Actually only "The Holly and the Ivy” i grossed $100,000. - "The Sinners” grossed $225,000 and “High Trea- I son” $200,000. LINDA DARNELL TO ITALY Carries Along Own Hair Stylist And Costumer j __________ I Linda Darnell, who arrived in New York from the Coast Sun. (30), planed to Rome the following day to* co-star with Vittorio De Sica in "The Late Five Minutes.” Film w ill be an English version of | a comedy by Italian dramatist Aldo de Benedetti. Venture is scheduled to roll Feb. l5%\ith Giuseppe Amato directing and producing. Accompanying Miss Darnell on her overseas chore are hair stylist Gale McGarry and cos- tume designer Yvonne Wood, UA THEATRE CIRCUIT STOCK OVER-BOUGHT Issue of 400,121 shares of United Artists Theatre circuit stock was oversubscribed the day it was put on the market last week, accord- ing to Allen & Co., managing un- derwriters. They were sold at $17 a share. According to the UATC prospec- tus, the company intended to liqui- date a $5,200,000 indebtedness un- der two collateral bank loans, in- curred in connection with UATC financing of Magna Theatre Corp., distributor of “Oklahoma” in the Todd-AO widescreen process. The remaining $1,600,000 are being re- tained by UATC as "general work- ing capital.” The circuit now owns 839.800 shares of Magna common. United California Theatres Inc., in which UATC has a half-interest, owns an- other 64,000 shares and warrants for the purchase of an additional 73,000 shares. Training Jack Jackter Jack Jackter, until recently a salesman for Columbia in Wash- ington, will assume a sales post in the Panama City headquarters of the company Wednesday (2). He has been training for the assign- ment at the home offices -the past two months. Expected to draw an eventual South American assignment, the 27-year-old Jackter joined Colum- bia in 1948, after army services overseas. He is a brother of Nor- man Jackter. Columbia manager in Albany, and a nephew of Rube Jackter, Columbia sales execu- tive. Jackter studied Spanish at City College. Some Theatres Use *Mixer’ For ‘20,000 Leagues,’ But Mum’s the Word Re Disney A number of exhibitors are getting around Buena Vista Dis- tributing Co.’s insistence that Walt Disney’s "20,000 Leagues Under the Sea” be shown only with Stereophonic sound by using a “mixer.” The Disney releasing org, in making “Leagues” available, required that the early engage- ments of the picture be with stereo sound only. Despite protests for Allied States Assn, and Theatre Owners of America, Buena Vista did not back down from itj original decision. Theatres using the “mixer” are, of course, doing it on the q t. The exact number of houses employing the gimmick is not known, but it’s not considered too many since only a few houses have installed “mixers.” This was done during the time of the fight with 20th- Fox. Latter insisted on a “must” stereo sound policy with all C’Scope pictures. A number of theatremen and 20th got into a hassle over the use of the "mixer,” but the ill feeling was smoothed out when 20th agreed to allow exhibitors to play the C’Scopers with or without stereo sound. Berry Greenberg Upped; WB Widens DagePs Base Berry Greenberg, far eastern sales representative for Warner Bros. International, has been named field division manager, with headquarters in Sydney, Australia. Greenberg will have jurisdiction over Australia, New Zealand, Sin- gapore, Indonesia, India Afghanis- tan, Ceylon, Thailand, Burma, and Pakistan. Promotion takes effect Feb. 13. At the same time, WB Interna- tional prexy Wolfe Cohen gave Jack Dagal, general manager for Japan, added duties. Dagal will as- sume supervision of the company’s offices in Formosa, Hong Kong, and lndo-China. Buena Vista’s Local Rallies Buena Vista Distributing Co. will hold a series of regional sales meet- ings in connection with the release plan of Walt Disney’s “20,000 Leagues Under the Sea.” Confabs are set for Cleveland and Chicago, with sales manager Irving H. Ludwig presiding in Cleveland, and Harris Dudelson. midwest sales supervisor, in Chi- cago.