Boxoffice-September.23.1950

Film Clinic Agenda:
The following agenda has been prepared
for the film clinic to be held at the National
convention:
(A)
(B)
Film prices, terms and conditions.
Competitive bidding.
(C) The misallocation of films and the
remedy therefor.
(D)
Col. Cole's plan for incentive selling.
(E) Proper u.se of the right of selective
buying.
(F) High price of theatre supplies and
equipment. Desirability and practicability
of buying supplies and equipment
cooperatively.
(H) Prices, quality and service of concern
selling trailers and advertising
accessories.
the motion picture industry, is brought to
the attention of the Allied board of directors
it will become an important topic on the
convention program," Rembusch said.
ITOA Joins Protest Over
Martin-Lewis TV Satire
NEW YORK—The Independent Theatre
Owners Ass'n has joined in the protest
against the satirical treatment handed motion
pictures in the Martin-Lewis television
program Sunday (16).
"Personalities who work for financial gain
in the industry and who continue to profit
through the medium should not slur or smear
the industry which is so good to them," read
a telegram addressed to Hal Wallis, who has
the players under contract.
"Only recently," the telegram continued,
"the Screen Actors Guild urged all its members
to help promote motion pictures whenever
the opportunity arises, particularly in
other mediums of communication such as
radio and television. Apparently Martin and
Lewis are unaware of this effort, as witness
their completely distorted picture of industry
conditions."
The telegram was signed by Harry Brandt,
ITOA president.
'Lost Boundaries' Case
Has Trade Guessing
WASHINGTON—Industry hopes for a
clearcut decision by the Supreme Court
on the rights of state and local censoring
authorities dimmed somewhat as the Atlanta
censors told the Supreme Court this week
that only Film Classics has the right to
appeal the Atlanta ban on "Lost Boundaries."
The petition for court review was by the
RD-DR Corp., producers, with Film Classics,
the distributors, not formally a petitioner.
Phonevision Film Test
To Start October 1
CHICAGO—Zenith Radio Corp. has begun
installation of 300 Phonevision sets in homes
here with the intention of starting Its 90-
day pay-as-you-go television film test October
1. No major company will supply first
run product.
Zenith officials say they have enough
films, but do not name them.
Allied Regional Units
Lead Equipment Fight
FRANKLIN, IND.—Several Allied States
units are behind the plan to form a cooperative
buying association to reduce theatre
equipment and supply prices, according
to Trueman T. Rembusch, president of National
Allied. He especially mentioned Abe
Berenson, director of Allied Theatre Owners
of the Gulf States, as urging consideration
of the plan at the October 2-4 national convention
in Pittsburgh.
Benny Berger, president, and Stanley Kane,
executive secretary, of North Central Allied
about three years ago advanced the cooperative
idea. Rembusch said they will bring
to the convention all of the background
information necessary toward establishing
a cooperative, and that he expected the subject
to be one of the highlights of the
gathering.
Rembusch cited a letter from Berenson as
typical of the complaints he is receiving. This
said that carpet for theatres has risen in
price the last few years from $3.25 a yard
to $9.60 a yard. It also said that instead
of a reduction in prices on discontinued
patterns, "as is usually followed by carpet
retailers outside of the motion picture industry,"
theatre carpet suppliers "invariably"
push their stocks of discontinued patterns
by price increases on the new patterns.
It added that by discontinuing patterns, exhibitors
are prevented from obtaining enough
carpet yardage of the pattern in use in
their theatres for repairing worn spots in
severe travel areas.
CITES PROJECTION EQUIPMENT
Berenson also took the projection end of
the equipment industry to task. His letter
said there has been a "terrific" increase in
the price of new projection heads, although
the number of moving parts in projection
heads manufactured today has been reduced
substantially, thus reducing manufacturing
costs and calling for a corresponding decrease
in price.
Rembusch quoted Berenson as saying that
in December 1949 "there was a whispering
campaign by suppliers that carbons would
take a 10 per cent jump in price. However,
one of the small independent manufacturers
of carbons refused to go along on the price
increase with the manufacturer dominating
that particular market, and the price increase
did not take place. Until outside
manufacturers entered the outdoor theatre
speaker field, the price of these units was
in the neighborhood of $40 per unit. Since
competition entered that field, good units
have become available for as low as $14 per
unit."
"It Is obvious," Rembusch said, "that the
monopoly and price-fixing inherent within
the theatre equipment and supply market is
due in no small part to the closely-knit
organization known as TESMA."
Berenson further charged, according to
Rembusch, that the markups used in the
business are greatly in excess of markups
used in other industries, and that the former
markups run from a minimum of 100 per
cent to as high as 300 per cent. Berenson
took the position that a National Allied cooperative
"would eliminate the terrific profiteering
in the theatre equipment and supply
field."
Equipment Company Executives
Decline to Enter Controversy
NEW YORK—Executives in the equipment
and supply field told BOXOFFICE they did
not wish to indulge in any controversy with
National Allied and therefore could not be
quoted. One executive said a certain commodity
his company handles had increased
in price since 1939 less than 50 per cent
while labor and materials have increased
U7 per cent. Another pointed to a 30 per
cent increase in automobile tires since June
1, 1950, and still another to price increases
from 6 to 13 per cent on appliances by
General Electric within the past week, as
evidence that upward trends are not confined
to the film industry.
One carpet executive said that no industry
is able to buy carpets as cheaply as the
film industry, and that if National Allied
tries purchasing through a cooperative, it
will find the procedure more expensive. Exhibitors
evidently do not realize that they
get more per dollar in carpet value than
in any other commodity, he said.
The executive claimed that the criticism
about discontinuance of certain patterns illustrated
an ignorance of facts. His argument
was that carpet companies have never
been able in recent years to accumulate any
great quantity of most patterns because of
the heavy demand, which has also come from
other industries, such as the hotel industry.
However, he said, his company is still carrying
some 25-year-old patterns Just to accommodate
customers.
Another executive argued that in other
industries carpet purchases above immediate
needs are made to provide a backlog of patterns
for replacement purposes, that this is
not generally done in the film industry and
that it should be done as a sensible precaution.
Johnston Named to Head
1950 Brotherhood Week
NEW YORK—Eric Johnston. Motion Picture
Ass'n of America president, will head
next year's observance of National Brotherhood
week. February 18-25, under the sponsorship
of the National Conference of Christians
and Jews, It has been announced by
Dr. Everett R. Cllnchy, NCCJ president.
Johnston wrote to Dr. Clinchy that he
accepted "as a chance for solid spadework
where it counts the most. We talk about
building bridges of brotherhood around the
world in answer to the Communist pretensions,
and that's a splendid vision. But
Brotherhood begins on a man-to-man basis
here at home and not a mass-to-mass basis
across oceans. Without that footing, it Is
idle talk and an empty vision."
BOXOFFICE September 23, 1950