Variety (July 1923)

80 P 1 € T U R h \;^«J •^ Thursday, July 12, 1023 BALABAN & KATZ LISTING STOCKjAJ)™Ii!l!l™ EiF: 250,000 SHARES, 50,000 TO PUBUC Chicago Picture Firm Hat Attets of $10,000,t)00— Influential Stockholders—Lewis Stern May Be President and B. &. K. Faction Hold Other Offices /, Chicago, July 11. Balaban A Katz la the most re- a %«nt firm of theatre operators to join |b« list on the stock exchange. This flrnn started with the Central X^ark theatre. After Jones, Linick 'A Scbaefer secured the Riviera they .took control of it. Later the flrm (built the Tivoll, which cost $2,500,- •00. The firm also came downtown and built Itae Chicago theatre. There were 15 original partners in the enterpiise. Their lineup at present contains iiuch powerful names in financial circles as Lewis Stern, the Qreenebaum banks. Ros- •nwald, John Hertz and others. S'here were nine investors in the i^Tvt Balaban A Katz proposition. The flrm made money froni the btart. Th« Chicago theatre cost •1,500,000 more than contemplated. This led the Balaban A Katz people to draw salaries from the Central I'ark to cover their personal ez- |>en8es. and none of the other the- atres have ever been called upon to •hare in this. 4 The Central Park's worst seaioon has shown $30,000 profit and its best $85vtl00 profit. The Tivoll has had seasons with as much as $400,000 net. The Chicago started off with a profit of $700,000 a year. The as- sets of the flrm arje now $10,000^000. When the stock is listed it is ex- pected Lewis Stern will be presi- lent of the new corporation, but that the Balaban & Katz crowd will hold the other offices. The 15 stockhold- •rs will be directors. The plan Is to flo^t 260,000 shares of common stock, of which 50,000 Will be offered to the public by an Investment house at $50 a share. The remaining 200,000 shares will be exchanged for stock of the present four corporations on a basis, it is reported, of three for one for Chi- cago theatre stock, six for one for Tivoll stock, eight for one for Riviera stock and one a basis yet to be determined for Central Park stock. The four theatres are understood to show earnings at the rate of $1,250,000^ on the present common stock and $1,750,000 of 7 per cent, preferred stock, which Is to be ex- changed share for share. The pro- ceeds of the stock sale will be used, It is announced, to pay off outstand- ing real estate mortgages of about 12.000.000. With the theatres the Balnban & Katz interests include the Associ- ated First National Pictures, Inc., of Illinois; Educational Film Ex- ch.anKe of Uftnoi."?, and Second Na- tional Film Company of Illinois. PLANS'COVERED WAGON' RUN INTO NEXT APRIL Grauman's Hollywood Will Run Film Until ''Ten Com- mandments'' Is Ready FILM BOYCOTT Sever* Docision in Pe«l(skill •tr« Case The. SOCIETY FILM Thelma Morgan's Idea for Newport Folks I Providence. July 11. Exclusive Newport will be filmed «ext month if Mrs. James V. Con- verse, formerly Thelma Morgan, has her way about it. Mr.s. Convri«e has organized a moving picture company, it is reported, fror^ th.it exclusive summer colony, and as a starter wants her friends in New- port society to assist her in crealInK a nim. 14 ie planned to use the pictures in various fetes to be BtfiKed by American ."society. In the cjust wih be a number of young men and women whose names bulk large In .social regi.ster.s. A scenario is now under completion. Mo«t of the scenes are to be laid along the pic- turesque shores of Newport. Vin- cent A.stors yacht will be used in the venture, according to the plans. Among those mentioned to .ap- "irrar In the film pro«luctlon are Countess de Braganza, Violet Tangcman. Natica Nast, Adele Key- nal, ConAuelo Vanderbilt, Edith Woodward, Louise Clews, Ethel Haven, Mrs. Reggie Florence Haven eyer. .Sylvia Hill- house. Vincent Astor, John Bige- low Clark, Theodor^ P. Grosvenor. Jr., James Gordon Dougla.s, Jr., Craig Riddle, Jr., and a score of other prominent persons of the •mart b»* ■«■..••■■■:'.;■- The Paramount special "Ten Commandments," which is being counted on at this time as the big picture of the year te be released b^ that organization will not be ready until «bout April. Already Sid Qrauman has booked the picture for his Hollywood house to succeed "The Covered Wagon" there, figur- ing that the latter feature will con- tinue to draw until the new DeMille production is ready. Figures furnished by the account- ing department of the Lasky studios show that the organization and maintenance of Camp Cecil B. De Mille at Guadalupe, Cal., and the erection there of the sets used for the prolog of the production, is the. biggest single location feat in the history of motion picture produc- tion. Guadalupe is about 200 miles from Los Angeles and a tremendous tent city has been located there for the 2,500 people and more than ^000 animals, including 900 horses. 30 camels, 200 burros and hundreds of sheep and other smaller animals which were utilized for the two weeks during which scenes were shot. The area utilized for the loca- tions and the encampment covered 24 square miles. ' -^ The worJ{ of building the sets was started on April 27 and finished one month later; the actual scenes and shooting was completed on June 10. Two special trains were utilized foi" the company. There were 650 sleeping tents and two huge mess tents each capable of seating 1.000 people also were located. The figures supplied show that there were 33.000 yards of cloth utilized for the costumes and $18,000 was expended for reproductions of ancient harness alone. The set of the ancient city was 750 feet wide and 100 feet in height, 65,000 feet of lumber, 300 tons of plaster, 25,000 pounds of nails, and 75 miles of wire and ':able. hping utilized in its building. • ~~ — A special automobile messenger service was m.Tlntalned between the camp and the Hollywood studios fo^ the purpose of carrying the film shot each day into the studio laboratories and returning the rushes to the scene of action for the director's in- spection the following night. COHEN'S COMMITTEE Sydney .S. Cohen, president of the Motion Picture Theatre Owners of America, has appointed the follow- ing exhibitors to constitute the Na- tional Executive Committee at Lrfirge of the organization: E. M. Fay. I'rovidence, R. I.; Hector M. E. Pasmezoglu, .St. I^uis; A. A Elliott. Hudson. N. Y.; Ernest Horslnian, Worcester, Mass.; Sam- uel Perlin. Oakland, Cal.; A. F. Sams. Winston-Salem. N. C; R. G. Liggett. Kan.sas City, Mo., and Rob- ert Codd, Niles. Mich. The members of the General Ex- ecutive Committee of the M. P. T. O. A. are selected by the State and regional organizations, and this, with the above appointments, gives the organized exhibitors of the country a genorat representation among the national olficers. BUYING ORPHEUM, MINN. ,. Duluth, July 11. The Seventh Street Orpheum. Vanderbilt,^ Minneapolis, is reported sold to the Clinton Moyers Co., of this city, and Joseph Friedman, of St. Paul. It will be operated as a picture house in conjunction with the Meyers Co. Lyceum, of Duluth. Meyers is said to be now in New I York closing the deal. A declaion on the matter of film boycotting was handed down by the Appellate Division late last week In the suit of the Peekskill Theatres. Inc.. against Loew's, Inc.. Associated First National, The Advance The- atre Co. of New York, David Bern- stein, Nleholas M. Schenck and Fred MitchelL The defendants were charged with conspiracy In the mat- ter of Inducing film producers not to book the! rplctures into the Peeks- kill theatre in favor of ^he Colonial theatre, controlled by the Advance Theatre Co., and In which the other defendants were jointly Interested. The Singer Brothers' operate the Peekskill and sued ^ an injunction to restrain further lleged boycot- ting. The lower court held against them, but the Appellate Division re- versed the decision and Justice Wal- ter Lloyd Smith wrote a scathing and severe opinion threatening criminal proeecution at any such re- currence. "QUO VADIS" BY ONE WITH VALENTINO Sim Kleine Reported Agreed Cine, the Italian film producer, is to make a new picturization of "Quo Vadis," according to private cable information. Rodolph Valentino is said to have been offered the lead in the re-make, the query as to his availability having been received here last week. George Kleine controls the Amer- ican rights to "Quo Vadis" and sev- eral years ago re-issued It He is reported having agreed to the re- make. H. B. SMITH'S FILM SCBIPT Harry B. Smith, the musical com- edy librettist, has turned his hand to writing picture scripts. The first work is based on the life of the composer, Richard Wagner, and en- titled "A Chained Eagle." Either Victor Herbert or Walter Damrosch l§ to write a score for the picture when it Is made that is to embrace the works of Wagner. F. Percy Waedon has the script in his possession and this week stated that he bad practically com- pleted arrangements JiWi/lhe financ- ing of the picture. COUNmY-WiDE RELEASE DAIB Arthur Friend Believes in Merit of System of Release ^ ing Pictures by Districts as Local Situation Dio* tat^ Rather Than Formal Advance Listing LOEW HAS TIED UP BOROUGH PARK SECTION Takes West End Theatre as Final Clincher—Has Boro Park and Alpine Marcus Loew has secured control of the West End theatre, located at New Uti?echt t. enue in the Borough Park section, by purchase. Several weeks ago the Loew Interer took over the Boro Park^ theatre, operated by the Levy ^os., and with the West End Loew has con- trol of the first run situation in that section. Al Frledlander, who owns t) e Garden theatre near the Boro Park, secured the West End several months ago and spent considerable money remodeling the house. He took Hacry Brandt into partnership after he had practically completed the deal. With the advent of Loew at the Boro Park it was thought best tc let him take o/er the house and eliminate opposition. The purchase price paid by Loew was slightly Italian May Re-Make—Georgei4>ver $100,000. Loew also controls the Alpine in the section, less th.in a mile.away from the other two houses. WEDS EXTEA— FAMHY EOW Los Angeles, July 11. Because Laura Jean Canfleld, heiress to millions, has secretly mar- ried an extra man in picture produc- tions whose salary is 17.50 a day. her family is raising a peck of trouble for the newly married couple. The bride is a niece of Daisy Can- field, a divorcee, recently married to Antonio Moreno, the picture star. "PEEFECT PKOFILE" AEKIVES Los Angeles, July 11. Nedda Westcott, English actress, reputed to have "the most perfect profile in England," is the latest arrival In the Hollywood film colony. She is under contract to B. P. Schulberg for Preferred Pic- tures. Glass and Gasnier Want Juries Los Angeles, July 11. Gaston Glass and Louis J. Gas- nier, w*io were arraigned in court charged with vagrancy and disor- derly conduct, demanded a Jury trial. The men were arrested June 2, in company with two women. EXHIBITORS AND MUSIC MEN MAY REACH UNDERSTANDING E. C. Mills of M. P. P. A. Invited to Attend Atlantic City Conference—Sydney Cohen Extends Invita- tion—Cohen and Mills Concur That the long existing differences between the exhibitors and the music Interests on the music tax problem, a long standing tone of contention, may flna'ly be straight- ened out, is suggested by Sydney S. Cohen's Inv'ation to K. C. Mill.s, ex<^cutive chairman of the Mu:,ic Publishers' Protective Association to attend the Atlantic City conven- tion Aug. 7-9 of the M. P. T. O. A. executive committee, consisting of the heads of the various state or- ganizations. Cohe.i concurred with Mills in an unofficial conversation that the ex- hibitors had more than the music tax problem to conte.id with. Overtures have been made to Mills, who has accoiil4>1iHhed much for th« M. P. P. A., to tako a hand in organizing the exhibitors. Mills' statement at one time that he would never consider the propos; 1 until every exhibitor agreed to pay his musir fees regularly convinced the theatre owners that the music man honestly oelieved in the law that made such licen.sing possible. MilKs* plan would embrace a means whnv'by the music angle could be made to pajr at the box ofUce in more tickets sold. The Atlantic City get-together will probably thresh out a number of things not chiefly co.icerning the music angle but which Mills has evolved His granp on the picture exhibitor proposition has been n surprise to qtiite a few fllm execu- tives which was fiie reason he ad- dressed the .Syracuse convention last month. Arthur Frlen'*. head pt Distinctive Pictures and former treasurer of Famoxis Players, is arguing among his associates, in the trade for a revision of the releasing system now in vogue by which a productior bfr comes available4Hl over the country on a given date announced far in advance. . Mr. Friend's Idea is that, the de- sirability of different territoriei varies from time to Hme. It may happen that at a given time certain middle western districts would be* come co.igcsted because of th« flooding of the local market with independent product on top of the regular schedule of the big pro- ducer-distributors. A picture goinc into this territory at a time fixed arbitrarily in- advance frequently would run into an over-crowded market. The idea somewhat resembles the plan now in operation by a number of Industries, notably California fruit growers and the Florida orange producers. They have a nation-wide reporting organization which keeps headquarters informed- by telegraph of local market condi- tione. It frequently happens that there is a surplus of some commod« ity in Chicago, for example, with consequent price breaks, while Bos- ton may be suffering from a famine of the same staple. This happened most frequently when shipping wae done by individual producers or scattered and unrelated groups. Now that the associations- have covered the country with their re- porting agents, distribution is con« trolled and prices made itable. Ne market is ever glutted and no mar- ket is ever under-supplied, within the limits of the whole mass of pro- duction. ***^ Mr. Friend argues that the same system ought to work out ever bet- ter in the case of picture supply than in the case of perishable com- modities, which have to be hurried to markets. "With a film sales force that covers the country with a fine comb, it would be a simple matter to keep in touch with the current picture supply and even forecast the situation a month or more ahead. If, for example, the Detroit dis- trict seemed to hi under less salee pressure than the rest of the coun- try, the best available picture could be hurried into that field to fill a gap and played out in that terri* tory irrespective of the rest of the country. An early release of a pro- duction In one territory would have no effect upon Ita Yalue in another section and the dletributlon ma« chine could take advantage of any unevenness in the local supply all over the States and even abroad. OPPOSING SUNDAY SHOWS Long Island Manager v^fith Tvw Houses Against Glynne's One ■,.vf The town board of PatclMJgue, Long Island, will vote July 16 on an ordinance sponsored by Mike Glynne, owner of the newly opened Patchogue theatre, to legalize Sun- day shows. Nathan Goldstein, owner of the Palace and Unique, in the same town. Is opposing the measure. The new G]ynne house has a seat- ing capacity equal to that of both Goldstein houses combined, and has furnished severe 'opposition since opening. Patchogue has always been a six- day town, with the Goldstein houses having no opposition prior to the opening of the C.lynne the- atre. '4 AFTER CANTOR FOR PUmmES K«l(llc Cantor will take a fling at Plctme acting shortly. Cantor is negotiating with sevrrni picture concerns with nothing definite de- veloping. A proposal to Cantor (o i)]ay out the unfini-shed Jolson picture by the Grifllth people was not accepted by Cantor, who said he would rather try an ori.qinal than the plan offered to follow Jolson. C;intor hriH not appeared In pic- tures other than the short lllm used by him in his act in the "Follies."