Variety (September 1919)

MOVING PICT UR H S P EXHIBITOR FACTION IN ARMS AGAINST WflTEDS EXECUTIVES KEYSTONE FIRST IN BOSTON. The Keystone Bathing Girls are beating the Mack Sennett outfit into Boston. The former attraction is booked to go. into the National The- Horstman of New England Alleges Mismanagement and Graffc '£&B&&BJ!Jb ^jfe& in the Present Handling^or the united s Affairs. Has Called Meeting of Exhibitor Stockholders. High Salaries and Outside Interests in Producing , Organizations Intimated Cause of Dissatisfaction. Corporation Makes No Reply. ■ ■ The "Yankee Doodle in Berlin" picture was expected to go Into the Park on the same day. but up to yesterday there was no appearance of any under- line in the Boston papers indicating that the attraction was coming. The New England territory is undoubtedly to be the scene of the initial clash of the rival undressed organizations. r , - - i t ntr ■ I , There is an indication an immediate reorganization of the. affairs of the United Picture Theatres of America fa to be brought about if the exhibitor- stockholder faction headed by Ernest H. Horstman, of New England, has its *ay. He has called a meeting of the dissatisfied stockholders, to be held at the Hotel Commodore Tuesday next, and at that time promises to lay be- fore them the proofs of mismanage- ment and outside association on the part of the present executives of the United with a view to bringing about j complete reorganization of the af- fairs of the corporation. In a statement issued yesterday Mr. Horstman, who claims to be the sec- end largest individual stockholder in the United, said he does not like the way that the finances of the United are being handled. His reason for the calling of the meeting is to discuss ways and means by which a complete reorganization of the company might be affected. He stated that in addition to him- self there are a large number of the stockholders who are dissatisfied with the present affairs of the company. Exhibitors in reply to. his call tor a meeting have been answered with let- ,ters to the effect that the individuals were not in accord with the present /management, and a number have em- powered Mr. Horstman to carry their proxies in voting for reorganization. P, One exhibitor in particular stated that whenever he called at the United borne offices to ascertain something l »bout the current affairs of the com- pany, he was always met by a promo- ; tkin proposition that called tor his investing- either $20,000 or $30,000 in the .lew scheme. This finally became so -tiresome that he gave up calling at all. pltr. Horstman said: "When the United Picture Theatres Corporation ' was first organized I put in the second largest amount in actual cash, and at the same time a number of my friends also invested in the corporation. I do ; sot want them to lose faith in me and . that is one of the principal reasons ; *hv I am taking this action. I want •o protect my friends who came into •Ms enterprise with me. , "Anyone can readily see why we have .» kick coming. Those in executive tontrol of the United promised the 'Nat exhibitor body of stockholders .fait they were going to turn.out a Picture a month. At this time, exactly t'ghteen months after the organiza- Bjj of the company, they have tnrned vpt but seven pictures and there is Wtle likelihood that the 'one a month' whey will ever come into being un- fcr their management. ■ " am heartily in favor of the orig- »ar United plan. In fact, the only Wn that will guarantee the eventual jalvation of the exhibitor of the coun- ty is the co-operative plan, and I «ink that the United plan can be so panaged that it will work out ideally ° r the exhibitor, but I do not think lb at the present method that is being employed is the best for those most •'wily concerned." »<|ere was a meeting of United "ockholders called in Milwaukee Monday. Thomas Saxe called the eting and the general expression of »Je attending was pointing to dls- _isfaction of the present regime. According t% the latest reports the "ibership of the United Theatres Corporation is ,2,700 exhibitors, and the average moneyxpaid into the corpora- tion by each member $250, the total reaching nearly $700,000. In addition to this was the original amount paid into the company when it was organ- ized, which would bring the total to almost $1,000,000. It is* believed that one of the causes of the present dissatisfaction hinges on the inflated salaries that four of the executive body connected with the home office are receiving.' This is said to total about $2300 weekly. The home office expense per week is something like $4,500, Each of the exchanges throughout the country pay pro-rata of this and with only seven pictures in eighteen months the overhead per production is added to tremendously. At the offices of the United an effort to see Lee Ochs, vice-president of the company, brought the .information from Milton M. Goldsmith, general counsel for the corporation, that there would be a statement from the execu- tives of the United later. This was not done. In addition to the interest he holds in the United, Ernest H. Horstman, who makes the charges of mismanage- ment, is also a stockholder in twenty New .England theatres and is treasurer of the Motion Picture Exhibitors of America, Inc. :;'., LENGTHY "BIG FOUR" SESSION. . Advices received from the Coast this week indicate that there must be something of tremendous import trans- piring in the United Artists Corpora- tion. During the past week there have been a series of special meetings held in Los Angeles at which all of the members, directors and attorneys for the;stars of the corporation were pres- ent. To date, however, there has not been a leak as to what is happening. BIRTHS. Jay Dwiggin*. Jay Dwiggins died last week of heart failure in a Los Angeles studio. Mr. and Mrs. Hark Vance at Kew Gardens, L, I„ Sept. 18, son. WOODHOUSE WITH GOLDWYN. Los Angeles, Sept. 24. J. Stewart Woodhouse, formerly in charge'of Ralph Ince's publicity, has succeeded Norbett Lusk at the Gold- wyn organization. s - . SELZNICK BIG ADVT. CONTRACT. • Louis J. Selznick closed what is re- puted to be the largest picture peri- odical advertising contract in the his- tory of the industry last week, when be signed with the "Saturday Even- ing Post," "Ladies' Home Journal" and "Country Gentleman" for space which will cost $250,000. The advertising will cover one year's time, with the "Post"Receiving more than the other two publications. It will start with a two-page spread, and advertjsementa for Selznick releases will appear about twice monthly. The quarter of a million dollar con- tract was, in substance, made out for the credit of the Curtis Publishing Company, of Philadelphia, which pub- lishes the three journals. u '•:..„■ C. J. Brabin 111. C. J. Brabin, who directed the last three Theda Bara features for the Fox Film Corp., is in a critical condition at St. Luke's Hospital as the result of an Wesley Barry. It will be about"eight operation for appendicitis, reels in length. ; > - ; --. ----- COLLIER FILMS ON TRIAL The Willie Collier two-reel film comedies now in process of making are in the nature of a screen test for the comedian. Joseph M. Schneck has undertaken the supervision of the preliminary ef- forts, without entering into any agree- ment with Mr. Collier. The intention was to make two com* edies and quietly show them. If suc- cessful and both parties are agreeable Mr. Schenck and Mr. Collier will form a comedy producing organization with Collier the star of all pictures pro- duced. "CUSTER'S FIGHT" IN 8 REELS. Marshall Neilan will produce a screen version of "Custer's Last Fight," founded on "Bob Hampton of Placer," by Randall Parrisb. The picture will be released under the title of "The Eternal Three" and will be distributed by First National. Included in the cast are Marjorie Daw/ Lewis Stone, Mahlon Hamilton and ■ •■. 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