Variety (May 1926)

VARIETY PICTURES Wednesday, May 5, 192$ PAT POWERS OUT OF A. L ORGANIZATION Wll H OSCAR PRICE REMAINING IN CONTROL Bankers Reported Behind Film Concern Up to $2,500,000—First Difference Over Associated Exhibitors 9 Studios on Coast—No Future Policy of Control Yet Settled Upon—Outside Creditors Paid—A. E. Currently Has Income $50,000 to $60,000 Weekly A clash between P. A. Powers and the financial interests behind Asso- ciated Exhibitors has resulted In the resignation of the former as chairman of the board of the dis- tributing corporation at the request of the latter. The bankers are said to be behind A. E. to the extent jf approximately $2,600,000. Powers arrived from the Coast a few days ago, his resignation hav- ing preceded him by wire about 10 days previously. On the inside there are a number of stories told as to the reason for the row between the financial pow- ers and the chairman that was. Originally P. A. Powers secured $500,000 from a trust company on his paper for the purchase of Asso- ciated Exhibitors from the rathe organization. Oscar Price is said to have acted for the trust company and Powers in the purchase of the distributing organization. It being stated that had Pathe believed or known that Powers was to have had a hand in the operating of A. E., they would not have disposed of it. Later Powers is said to have secured an additional $115,000 from the trust company also oi. notes for the purpose of carrying the company along;. The other banking firm Is said to have advanced over $600,000 on negatives. Powers made "The Sky-Rocket" with Peggy Hopkins-Joyce rs the star and turned it over to A. E. for $200,000. The picture is stated to have brought in to the distributing organization in actual cash up to the end of last week $225,000. This takes them out of the barrel as far as the advance to Powers Is con- cerned and has started them oflT toward paying off tho prints and advertising. $60,000 Weekly A. E. within the past few weeks has passed the $50,000 mark in col- lections weekly and last week al- most reached $60,000. The manner of operation in the A. E. between themselves and the producer has been that when they thought well enough of a producer to sign him he would receive a guarantee of 50 per cent, of nega- tive cost on delivery and that the balance would be paid him over a period of 12 months. During this period A. E. would be on the sh >rt end of a 60-40 split on rentals "When the producer was paid out the arrangement would be that a 40 per cent distribution charge would first be deducted and the balance of 60 per cent would be divided between the producer and A. E. each receiving .TO per cent, in the nature of profit for both. Studios Como Up One of the bones of contention between the capitalists and Towers was over the manner in which the A. E. studios in Los Angeles were being conducted. Towers obtained about $75,000 from A. E. to take over the studios, he Insisting that all contracts for releases tdiould be made subject to the productions be- ing made ait A. E. studios. In this connection it ' said that Powers also had stars and directors under (Continued on page 22) Light as Tip-Off Los Angeles, May 4. During the past winter a pic- ture exhibitor holding forth at Arrowhead Lodge, mountain resort, hit upon a new method of announcing his pictures. Because of heavy snowstorms film shipments were often de- layed and patrons from distant camps would often be disap- pointed when the cans would not arrive. To offset this, the exhibitor rigged an electric light In a giant pine tree which could be seen for miles around In the winter evenings. If the light was on, the film had arrived and the theatre was open. If no light showed, the audience could stay home telling bed- time stories. KARYL NORMAN QUITS VAUDE. FOR PICTURES PAULINE MILLER Remembered In "Mme. Pompa- dour" and now prima donna in many of the recent Mark Strand Frolics and other stage presentations pro- duced by Joseph Plunkett, has won the distinction of being the first woman in the world to sing Irving Berlin's honeymoon love song, "At Peace with the World." PORTOLA'S VAUDE. BILLS 'Frisco House Adds 5 A. & H. Acts —4 Shows Daily on Split Week Signs With Carlos to Make Films and Personal Appearances San Francisco, May 4. After several years as a 16-cent "grind" picture house, the Portola will hereafter show five acts of A?kernv.p and Harris vaudeville, with a feature picture, at a 25-cent top. The acts are to be booked out of Chicago. There will be four complete shows dally, programs to be changed 'twice a week. A new orchestra will be Installed under the direction of Charles An- derson. The Keith organization seems to have lost another of Its box-office feature attractions for all time. Karyl Norman, the Creole Fashion Plate, following a contract with the vaudeville people for a period of five years, has walked out on them and is now playing motion picture house dates. That he will not re- turn to vaudeville seems to be defi- nite, inasmuch as he has signed with Abe Carlos for a series of fea- ture pictures and will make per- sonal appearances in conjunction with these productions when they are released. Carlos has boon in conference with Cillllnrd T. Boag, husband- manager of Gilda Gray, who so suc- cessfully handled that star in the motion picture theatres, and tho possibility is that Boag will handle the a flairs of Norman. U Buys "Strogoff" In addition to purchasing tin? 22- reel "Les Miserablos" in France. Universal has bought "Michael Stro- goff" from the French Societo des Cineromans. The story is l»y .Jules Vorne. Its lend in.!; man is Ivan Mosjnu- kine. He will come over later in the year to start picture making. Rosenberg Sells Stock In West Coast, Jr. Los Angeles, May 4. Mike Rosenberg, partner of Sol Lesser in Principal Pictures Cor- poration, and who was one of the four owners X){ the West Coast The- atres, Junior Circuit, disposed of his stock last week to Harry M. Sugarinan. son-in-law of Mike (tore, president of West Coast, Inc. . It is said that Rosenberg, as long as his partner was withdrawing from West Coast felt he should do so also and not be associated with the parent company. The sin k which Rosenberg held is said to amount to around $2.1,000. 24 FILM ROAD SHOWS There will be 14 companies of the "Ben-Hur" picture out next season and 10 of "The Big Parade." By that time the latter will have en- tered into its second season of road- showing, one of the few pictures to ever attain the distinction. "Ben- Hur" is figured to run for at least three or four years as a special road show. It will eventually be taken Into even the small towns of 5,000 for one day with all the trappings of the big city engagements. At present there are four com- panies of "Ben-Hur" in New York, Philadelphia. Boston and Chicago, while "The Big Farnde" has already touched the major cities for extend- ed runs. In Boston, Philadelphia, New York and Chicago it is side by side with "Ben-Hur." Mother and Son Arrived Los Angeles, May 4. After h wild ride to tin- hnspit.il. A son was born to Mrs. Carey Wil- son, wife of the scenario writer, two minutes after she arrived at the Institution. ... . Levee on 1st N. Board Los Angeles, May 4. M. <\ Levee has been elected to the First National's board of di- rectors, suei-eeding ,L M. Roothby, its comptroller. Mr. Li \ < e is the general exe -u- liv in.in.!;;' r of First National. SAUL HARRISON DEAD London, May 1. Saul IlarriM'ii. assistant ni ui;v;'r of the London district for Para- mount, died Sunday, May 2, follow- ing an operation for an ulcerated stomach. lie is survived by his widow and a daughter. His brother Philip was until re- cently exchajo.:*- manager for Para- mount at Manchester. Laemmle Buys Ince's Estate, Dias Dorados Los Angeles, May 4. Carl Laemmle is reported as hav- ing purchased Dlas Dorados, the Benedict Canyon estate built by the late Thomas H. Ince in Beverley Hills for $750,000. Mrs. Ince, the widow, was stated to be iioIai,, H out for $1,000,^0 for the place but later is said to Itave reduced that price to $800,000 while Laemmle first of- fered $700,000. Dias Dorados cost $3,000 an acre and there are 28 acres in the estate. It is not known how much the producer spent on the homo and other buildings that now fcrueo tho land, but it is known that it cost about $6,000 a month to operate the esta blishrnent. 22-Reel German Film? Los AnjveJes, May 4. Universal is planning a 21'-reel film of Victor Hugo's "Les Mise:- ables." Tho picture may be released on Lhe same prineipl.- lust planned by Metre - CnHwyr - Mayer for '< lived," in two sections, one-half ir one house anil the other half in another theatre, or, tho first half one week, followed by tho second portion. THE S. WARNERS EXPECTANT Los Angeles. May 4. Mrs. Sam Warner, formerly Linn P»aHquetto, is evicting the stork early in the fall. WHAT'S A NAME? Through a funny situation and manntr, Norman Kerry got his screen nume from Marshall Neilan. Kerry, prior to going on the screen, was a salesman. While In San Francisco he came under the wing of Neilan, using hie own name at the time, which Is Kaiser. At the beginning of the war. Neilan figured that was no name for an actor. Being Irish, Neilan decided he would change the name of hla protege to Bound as Irish as possible. The method In which Neilan pursued was to think of a lot of Irish names. He thought of about 40, wrote them on slips of paper, put them into a derby and the first one out bore the name of Kerry* And Norman Kaiser became Norman Kerry. BOSS CASE WAS SETTLED Authentic Story of F. P.'s 'Confidential 9 Agreement Variety Bureau, Washington, May 4. Though repeatedly denied by the attorneys of Famous Players-Lasky it has been learned from an au- thoritative source that the picture company settled with Joseph C. Boss during November last for $65,000 under an agreement that the former Oklahoma exhibitor, suing for triple damages on the charge that F. P. had put him out of busi- ness, to the effect that the settle- ment should be treated confiden- tially. The $65,000 was paid in a lump sum just prior to the case coming up In the New York courts and was made over the objections of the attorneys of the company upon di- rect instructions from Adolph Zukor, according to Variety's In- formant. As has been previously reported following the denial of the settle- ment, Mr. Boss severed his connec- tion with the local film supply house by whom he was employed and went to Florida with reports coming through of his rather large Investments in real estate there. The then unverified report was fur- ther enhanced by the fact that the local attorney handling the case for Boss had stated he was no longer representing the former exhibitor. The settlement coming Just prior to the New York court hearings was also just previous to the final arguments before the Federal Trade Commission In connection with the charges of attempted monopoly and restraint of trade brought by the commission. The Bosh case has attracted con- siderable attention due to the charges made against F. P. and the now famed "wrecking crew" ihc.t went throufh the south purchasing theatres. It was charged that after agree- ing not to come into McA!cster. Okla.. in opposition to Boss. F. P. and the others named, when noting the $1J,000 net annual business be- ing done by the exhibitor, first rented and opened a house as the home of Paramount pictures at the same time raising the price of the service on Boss and later cutting him off entirely with it. Outstanding Instance The Boss case has been one of the oul.standing individual Instance: of oppression cited by the commis- sion in Its case against F. P. With but one day left (Wednes- day, May 5) iti which to file the list of exceptions as required of F. p.. in the commission's order to re- open (he case the picture compan\ has not yet flYd the material de- manded. An appointment was made by long distance for K. J. Ludvigh of F. P., who, though chief counsel of the picture company as well as occupy- ing other official connections, has never before entered the case, to go into conference with counsel for (he commission during the past week. This arrangement, however, was later cancelled due to the fact EDITH HARTLEY JAMMED IN PIT] Ran Away With Chas. Brwn- field From L A.—Flirted Over Phone, Then Romance Pittsburgh, May 4. A romance said to have started In Hollywood was halted by m e local police with the arrest Friday of Edith Hartley, 23. blonde, ot Hollywood, claiming to be a screen actress, and Charles Brownlleld, 0 f Los Angeles. The film actress U said to have admitted she fell in love with Brownfleld after convert- ing with him over the phone. They wanted to get married here after eloping to this city. Two years ago, the story goes, the girl left her husband in Portland, Ore., and went to Hollywood. She says she secured a divorce on the ground of desertion but Hhe has not convinced the detectives here of It. A few weeks ago she happened to get on the crossed wire of a tele- phone and heard the musical voice of Brownfleld who was in Los Angeles. The conversation resulted In their meeting. It was love at first sight and the runaway followed with the intention of getting married here. The couple were "broke" here, ac cording to the police, and Brown- field secured a Job as canvasser for silk hosiery. He Is said to have collected money with each order but failed to deliver the goods. Several victims appealed to the police and his arrest followed. When questioned by detectives both related their romance and de- clared their Intention of marrying. They wanted a minister sent for at once but Inspector Clyde S. Ede- burn said he would Investigate their records first. The inspector says he will act an best man nfter he learns the actress has been granted a decree from her husband. Met, Wash., Patting on Presentations Next Season Washington, May 4. The Metro] oliian, the Stanley- Crandall downtown picture house, will go in for presentations on a large scale next season. The house is to be closed during August, when ;he stage will be remodeled. This will permit the Metropolitan to establish the new policy on t sound basis prior to the opening nf the ^Mlllam Fox 3.600-scut house in t'^e new National Press Club building. that Martin Morrison, of the com- mission, could not be present. Should the F. P. attorneys fail to file their reply tomorrow such action will automatically waive the company's right to question the long list of exceptipns to the rul- ings of the trial examiner upon which Robert T. Swaine, counsel for the film company, laid such par* tlcular stress during the final ar- guments of the case. The opinion has been expressed here that following up the reversal in attitude of Mr. Swaine, who has since urged the settlement of the case as it now stands without con-| s'.dcration of the exceptions, thar the picture company may fail to answer the requirements of the re- opening order, thus forcirg a de- cision upon the present status ol the case. Should the proceeding be carried forward it is estimated it will cost i«\ P. an additional $7r»0,ono. F O R¥ M 0th WKKK SAMl'KI, GOI.S»WVN Present!* th«* HENRY KINO Production u( "STELLA DALLAS" TED HENKF.I ind Orchestra