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:<br />
16mm Decision Called<br />
Of 'Greatest Importance<br />
NEW YORK-^udge Leon R. Yankwich's<br />
decision in the 16mm case was "of the<br />
greatest importance in industry history,"<br />
Herman M. Levy,<br />
Herman Levy<br />
Theatre Owners of<br />
America general<br />
counsel, declares in a<br />
"digest" of the case<br />
j.^ s^"*' xiiv<br />
*° ^^' members.<br />
^ fji If the Department of<br />
^»^ ^i' Justice had won the<br />
decision, he states,<br />
thousands of small<br />
theatres would have<br />
been compelled to close<br />
and some of the major<br />
distributors would have<br />
gone into the red. In<br />
this he agrees with testimony given diu:ing<br />
the trial by Spyros P. Skouras, president of<br />
20th Century-Pox.<br />
In the course of his testimony, Skouras replied<br />
to a question by Judge Yankwich a.s to<br />
what would happen to small exhibitors, generally,<br />
if a general policy of quick distribution<br />
of motion pictures to television, omitting<br />
the value of remakes and reissues, were<br />
adopted.<br />
Skouras' response was: "A majority of the<br />
small theatres of America would close their<br />
doors. At least eight to ten thousand."<br />
Levy puts emphasis on this statement by<br />
saying<br />
"Then, Mr. Skoiu-as, in answer to questions<br />
by his company's attorney, Mr. Mitchell,<br />
stated that the margin of profit of the 'small<br />
theatre' is, at present, very small; that the<br />
impact of television on the 'small theatre' was<br />
great; that the 'small theatre' is a 'struggling'<br />
industry; that, if it were not for the federal<br />
admissions tax reduction, many more theatres<br />
would have closed; that widescreen development,<br />
'such as Cinemascope,' played a<br />
part in helping the small theatres, but not<br />
sufficient so that we can say that the small<br />
theatres of America can be saved, if the entertainment<br />
that they sell with admission<br />
later on is offered to the public gratis."<br />
Levy said the court's decision "discloses a<br />
''—And Now It Is Time,"<br />
Comments Herman Levy<br />
After pointing out the testimony of<br />
Spyros P. Skouras in which he said the<br />
loss of small theatre revenue would put<br />
20th Century-Fox into the red, Herman<br />
Levy commented:<br />
"And now it is time for all other distribution<br />
company presidents to revaluate<br />
their opinions of the position of importance<br />
of the small theatres to their companies<br />
and to the industry, to recognize<br />
Up to this point, all<br />
their sad plight, and to cffcr major relief.<br />
that the small theatre<br />
owner has been confronted with is<br />
demands for prohibitive film rental, untenable<br />
conditions of licensing, and callous<br />
indifference to his welfare and continued<br />
existence. He is the 'forgotten man' of<br />
the industry."<br />
complete understanding by the judge of the<br />
industry and of the problems confronting it<br />
at the times in question. It is fortunate, too,<br />
that the 'memorandum of decision' is so well,<br />
so clear, and so understandably written. It<br />
is highly recommended for reading, in its<br />
entirety, to all people in the industry."<br />
In his closing paragraph Levy wrote:<br />
"We of TOA take this opportunity to express<br />
our thanks and appreciation to those<br />
defendants who decided, as they should have,<br />
to battle with force, with logic and with intelligence,<br />
this attempt by the federal government<br />
to intrude on legitimate business enterprise."<br />
The digest also details D. of J. arguments.<br />
Allied Artists Extends<br />
Revolving Fund Pact<br />
HOLLYWOOD—Allied Artists has signed<br />
an agreement extending until Jan. 1,<br />
1957, its<br />
present loan commitment with the Security-<br />
First National Bank of Los Angeles, in participation<br />
with Bankers Trust Co. of New<br />
York, it was announced Tuesday (13) by Steve<br />
Broidy. AA president, and George D. Burrows,<br />
executive vice-president and treasurer.<br />
The new agreement provides for a revolving<br />
loan of a maximum of $2,500,000 and permits<br />
guarantees up to $600,000 covering bank<br />
loans to producers releasing through AA. The<br />
previous loan arrangement allowed maximum<br />
borrowing of $1,750,000 and guarantees of<br />
$500,000.<br />
Morris Goodman Named<br />
As Lacy Kastner's Aide<br />
NEW YORK—Lacy W. Kastner, president<br />
of Columbia Pictures International, has<br />
named Morris Goodman as his aide on sales<br />
and distribution throughout the world. Goodman<br />
recently gave up his post as sales manager<br />
for Columbia in Continental Europe and<br />
the Middle East with headquarters in Paris.<br />
Columbia Goodman headed<br />
Before joining<br />
Republic's foreign operation for over a decade.<br />
In July 1945 he left Republic to take a special<br />
a.ssigrunent as the industry's representative<br />
attached to the U. S. Department of State in<br />
Germany and Austria where he functioned as<br />
special consultant in connection with the<br />
government's program to rehabilitate the film<br />
industries in both countries.<br />
Kerman Buys Out Interest<br />
Of Felder in 11 Firms<br />
NEW YORK—Moe Kerman has bought out<br />
the interests of Joe Felder in 11 companies,<br />
ending as association that had lasted 11 years.<br />
Kerman will continue to operate them. He<br />
left at the weekend for the coast in search<br />
of new product.<br />
The companies are : Favorite Films, Savoy<br />
Films, Tudor Pictures, Allied Films, Congress<br />
Films, Favorite Attractions, Zenith Features.<br />
Monarch pnims. Regal Television Pictures,<br />
Emblem Television Pictures and Mutual<br />
Productions.<br />
FAMILY-FILM AWARD—Roger H.<br />
Lewis, left. United .\rtists national director<br />
of advertising, publicity and exploitation,<br />
receives the Parents' Magazine<br />
award for "Heidi and Peter" as the outstanding<br />
film for January from Philip<br />
Willcox, director of motion picture relations<br />
for the magazine.<br />
Air Force in Zanesville<br />
'Court-Martial' Premieres<br />
ZANESVILLE, OHIO—The Air Force joined<br />
in a salute to the memory of Gen. William<br />
Mitchell by sending a fUght of jet planes<br />
over this city during the premiere ceremonies<br />
for "The Court-Martial of Billy Mitchell,'<br />
starring Gary Cooper, Wednesday (14).<br />
An Air Force color guard also marched in a<br />
parade, part of the three-day program to<br />
welcome Hollywood stars and to celebrate<br />
the first world premiere here.<br />
Walter Brennan and George O'Hanlon, Tab<br />
Hunter, Natalie Wood. Ann Robinson, Gon<br />
zalez Gonzalez, Fred Clark and Benay Venura<br />
were among those who made personal appear<br />
ances. The openings took place in two houses,<br />
the Liberty and the Waller.<br />
Warner Bros, staged the premiere here because<br />
Zanesville residents purchased more<br />
Christmas seals proportionately than any<br />
other city during the opening week of the<br />
campaign. Dale Tysinger, manager here for<br />
the Shea circuit, carried on a communitywide<br />
promotion urging residents to buy seals so<br />
that the premiere could be obtained for the<br />
town. Home office circuit officials consider<br />
it a top public relations job for the industry<br />
and for the local theatres.<br />
Podhorzer Plans Talks on<br />
Co-production in Germany<br />
NEW YORK—After two months of discussion<br />
with five leaders of the German film<br />
industry, Munio Podhorzer, president of<br />
United German Film Enterprises, says he has<br />
outlined a plan for stimulating distribution<br />
of German pictures in this country and for<br />
encouragement of co-production deals in Germany.<br />
Those with whom he conferred were: Dr.<br />
Guenter Schwarz. head of the German Export<br />
Union; Carol Hellman, general manager<br />
of Omnia; Guenther Stapenhorst of Carlton<br />
Studio; Walter Koppel of Real Film Studios<br />
and also head of the German Film Producers<br />
Ass'n, and Herbert O. Horn of Neue Film<br />
Verleih.<br />
Podhorzer will leave soon for Germany for<br />
further discussions with producers.<br />
14<br />
BOXOFFICE<br />
:<br />
: December 17, 1955