Boxoffice-May.03.1952

Loews Reorganization
Gets Stockholder Okay
NEW YORK—Stockholders of
Loews, Inc..
this week approved the reorganization plan
to divoi-ce the theatre operation from production
and distribution as required by the antitrust
decree. They also re-elected all directors
who. In a subsequent business session,
renamed Nicholas Schenck as president.
The following directors were elected:
George A. Brownell. Leopold Friedman. F.
Joseph HoUeran. Eugene W. Leake. Charles
C. Moskowitz. William A. Parker, William F.
Rodgers. J. Robert Rubin. Nicholas M.
Schenck. Joseph R. Vogel and Henry Rogers
Wlnthrop.
Officers, in addition to Schenck, elected
by the board at a subsequent meeting were:
Moskowitz, vice-president and treasurer;
Rubin, Rodgers. Edgar J. Mannix, Dore
Schary, Louis K. Sidney, Howard Dletz, Vogel.
Benjamin Thau, Marvin H. Schenck and J. J.
Cohn, vice-presidents; Friedman, vice-president
and secretary; Jesse T. Mills, controller
and assistant treasurer; Dolf Schadler and
Charles H. Phelan, assistant treasurers, and
Nicholas Nayfack, Irving H. Greenfield and
Harold J. Cleary. assistant secretaries.
A resolution of regret over the death of
David Warfleld, a director for 28 years,
was read. Cleary and Morris Sher were
elected Inspectors for the new year.
The meeting proceeded smoothly up to the
point when questions were solicited from the
stockholders. Mia Copping, who appears at
a number of annual meetings in the industry,
asked a long series of questions. She said she
repre.-sented the Women's Shareholders in
American Business, Incorporated Investors,
which owns 57,000 shares of common stock,
She was the one who had unsuc-
and others.
cessfully proposed Norma Shearer as a director
at the session.
Miss Sopping questioned the payment of
$2,750,000 to Louis B. Mayer upon his termination
of his interest in the company, and was
told the matter was in litigation for the court
to decide. She was critical of retirement provisions,
employment of "hordes" of relatives
of Mayer and other executives of the com-
Loew's Considering TV,
Stockholders Hear
NEW YORK—Loew's is considering
seriously an entry into the television field,
but hasn't reached any final decision. J.
Roljert Rubin, vice-president and counsel,
told stockholders at the annual meeting
Tuesday (29). He said applications may
be made to the Federal Communications
Commission for stations for the picture
company and for the theatre company to
be formed, or for either company.
As for plans to enter television production,
Rubin .said none is being considered
at present time but that Loew's "may
change its mind as some other companies
may do." He emphasized that the company
considers films "finer quality entertainment."
NICHOLAS SCHENCK
Re-elected Loew's. Inc., President
pany and alleged expenditures for luxuries
through expense accounts, and asked if President
Schenck or any other executives "had
anything to do with the popcorn concessions."
Rubin said the company planned to set a
ceiling of $25,000 on pensions for future employes.
In answer to a charge of excessive
spending in plans to take 100 exhibitors to
the coast studio by plane, Rubin said it would
be done to show them the latest product and
would constitute valuable public relations.
It was also said that Schary and other studio
executives have monthly expense accounts of
$15,000 and that they are carefully audited.
Neal Grootegood, another stockholder, questioned
the amounts of salaries paid top
management, asked for voluntary reductions
and inquired about the business outlook.
Rubin said dividends had to be decided from
time to time by the board, and reminded that
in the past sums had been set aside for the
payment of dividends as a protection against
decreased earnings, and that the company
wanted always to pay dividends. He also
referred to salary cuts taken by management
in 1932 when it seemed advisable.
In response to other questions, Rubin said
it was his belief that Louis B. Mayer did not
plan to reenter production in a big way, but
only to make one or two pictures a year,
that the company had no plans for the sale
of its backlog of old pictures and that the
Cinerama process had been investigated and
found unfeasible economically. He also said
two theatres had been sold during the past
fiscal year and that two more would be sold
within a week.
Before adjournment another, stockholder
commented on the subject of relatives in business
by saying: "Sometimes we have them
because we have them and sometimes because
we have to." There was general laughter.
After a showing of "Singin' in the Rain,"
luncheon was served in the headquarters
cafeteria. About 150 attended.
RKO Summer Release
Lineup Includes 10
HOLLYWOOD—Despite the studio's current
production lull, RKO Radio will release
ten top-quality features during the summer
and fall, Ned E. Depinet, company president,
disclosed on the eve of his departure for New
York after several weeks of local huddles with
Howard Hughes, managing director of production,
and C. J. Tevlin, studio head.
Hailing them as representing the "greatest
cash investment of any group of films
ever to be consecutively released in company
history." Depinet informed exchange managers
that the Uneup will include
"Jot Pilot" with John Woyne.
"Androcles and the Lion," starring Jean Simmons.
"The Big Sky," starring Kirk Douglas.
"The Adventures of Robin Hood," o Disney Production.
"Clash by Night," with Barboro Stanwyck ond
Paul Douglas.
"The Wild Heart," produced by David O. Selznick
in association with Michael Powell and Emeric Pressburger,
starring Jennifer Jones.
"Montano Belle," starring Jane Russell.
"The Lusty Men" with Suson Hayword and Robert
Mitchum,
"Sudden Fear" starring Joan Crowford.
Depinet urged his distribution personnel to
exploit and merchandise each release with
"intelligence, excitement and enthusiasm"
and promised additional releases when these
have been "properly liquidated."
United Artists to Handle
3 Major Lopert Releases
NEW YORK—United Artists has concluded
an agreement with Lopert Films Distributing
Corp. to handle three major Lopert films for
general distribution in the U.S. The pictures
are: "Outcast of the Islands," "Tales of Hoffmann"
and "African Fury," formerly titled
"Cry, the Beloved Country."
I. E. Lopert, president of Lopert Films, explained
that he is turning over the pictures
to UA because they warrant a major commercial
release. He will act as producer's representative
and supervise the sales of the
three films. He will also retain his sales
organization to continue to handle films of
a more specialized nature, as in the past.
"Outcasts of the Islands," which was directed
by Carol Reed, will open at the Astor
Theatre on Broadway and the Fine Arts on
the east side May 15. "African Fury" played
its only U.S. engagement at the Bijou Theatre,
New York, where it played for nine
weeks. "Tales of Hoffmann," a Michael
Powell-Emeric Pressburger production in
Technicolor, played a 35-week two-a-day run
at the Bijou, New York, and has since played
350 roadshow engagements in other cities.
United Artists will also release "Encounter,"
now being completed in Rome, starring Paul
Muni in his first film in six years, according to
Arthur B. Krim, president. Joan Lorring is
featured with Vittorio Manunta, Italian child
star of the current "Never Take No for an
Answer."
Settled Out of Court
CHICAGO—The Piccadilly Theatre Eintitrust
suit against eight major film companies
and Balaban & Katz Corp. was settled out
of court April 25. One of the largest actions
here, amounting to $5,400,000 damages, suit
filed by Schoenstadt & Sons ace house, was
filed here September 1950 by Thomas McConnell,
attorney for the independent circuit.
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BOXOFnCE May 3, 1952