TO LORD

I
Goldman Unveils Changes in NATO,
!
Wonderland."
NITE Unalterably'
Alice in
Opposed to Bidding
Raps Govt
VII AN I \ I i > i"
I
Decision on Splitting
> sewn members ot the
Nation.il Independent rheatre Exhibitors
Bj JOHN COCCIII
cate were approved by the executive committee
Goldman will appoint
\sv'n board of advisers met in Chicago
s
ruesda)
i >
NEW YORK—NATO
a committee
president
and adopted .1 resolution overwhelming!)
opposing bidding as
Marvin
to rewrite the bylaws for a continuity "t
Goldman, accompanied by vice-president
an alternative
to sjilnt my. [he on 1> dissenting vote was
service, so lh.il .1 new NATO president will
and executive director Joseph G. Alter man.
not undo the good work done by the previous
administration. Also to he appointed is
held a press
cast hv the operator of 27
conference
screens in the
at the national
headquarters here Monday (4) to speak
Midwest
an oversight committee, which Goldman
The group decided to notify the
about the Department of Justice's
industry,
ruling
will name shortly; with an even number ol
Congress and the Department of Justice that on splits and about the future of the exhibitor
organization. Splitting is a violation
members selected, Goldman will have the
NITE, as a group representing more than
tie-breaking voice but docs not want a group
5,500 theatres, "is unalterably opposed to of the antitrust law and is anticompetitive
merely for the purpose ol rubber-stamping
bidding."
as well as being a criminal offense, says the
all ol his recommendations.
loin Patterson. NITE president, was Justice Department, which also admits that
authorized by the same action to appoint a its ruling is rather inconsistent, since splitting
has been widely practiced in the film
Four-Phase Plan
committee to devise and recommend a viable
alternative to splitting and bidding. On several
occasions, Patterson has made it clear
for restructuring, all of which arc to take
industry for decades.
There are four phases in Goldman's plan
Courts Should Decide
ihat he would not advocate retention of
effect over a four-year period. Phase one
splits if Justice would move against other
ha_s
The Justice Department will not press any been approved: a relocation of national
restraints in the marketplace and he indicated
at the meeting that such assurances out the practice of split weeks. The which will probably take some time to ac-
lawsuits, preferring to let the industry phase
headquarters to Washington, D. C, a move
antitrust
law has never sanctioned splits, except
had been received.
complish. Phase two will be the opening of
In clarifying NITE's position, Patterson with distributor consent. Goldman pointed
additional offices if necessary, with Los
declared. "We are not against bidding in out that now, after 25 years, the department Angeles and New York (replacing the current
headquarters here) as prime locations.
principle. What we are against is bidding has come to the conclusion that this practice
is illegal. He suggested that the courts
that is conducted by parties that we know
Phase three would be the opening of an
all too well. We do not speculate when we should decide if this is really a violation
additional two offices. Phase four involves
sa\ that much of the bidding is rigged. We and he would like a test case to be
the hiring, if it is considered worthwhile,
tried if
know full well of films that are sold on a there could be a guarantee of no sentence.
of a political name for a backup staff.
circuit basis prior to the film being bid and Speaking generally, Goldman stated that
have observed the processes used to cause most members of the film industry are impractical.
Dues Increase Necessary
"It is not written that films must To accomplish these new goals, it the bidding to conform to the pre-arranged
will be
sales.
be made," he stated, "or that they should necessary to increase dues five cents per
"We recall full well the statements of the be made for theatres." There are other outlets
for distributors (TV, cable, etc.) and to $400,000, for the hiring of the additional
theatre seat, thereby doubling the income
Supreme Court regarding the Paramount
case in the 1940s in which they struck down abuses can be rectified without government personnel needed. NATO, Goldman admitted,
does have budget difficulties. He
bidding as a requirement. We recall also the
legislation, he felt. Many smaller exhibitors
statements by the Supreme Court relative to
will be hurt by not having splits. While he would like a man in the field to replace
the proclivity of the guilty parties for engaging
in anticompetitive activity for a
believed that the legislators in the Department
of Justice don't really know the film ed since his retirement. Goldman wants to
George Roscoe. who has not been succeed-
period encompassing decades. To reiterate.
industry, exhibitors created their own problems.
Goldman also felt that NITE presi-
lawyers to represent NATO in state capi-
give members regular reports and to retain
we are not against bidding as a system. We
are opposed to it being implemented and
dent Tom Patterson, while sincere, has been
tals. He favors the formation of a group
controlled by parties who. for decades, have
persuaded to see things the way the Justice to keep track of legislation in Washington
demonstrated a massive disregard for that
Department does.
which
and in every state. Also, he wants consistency
in the consultants to the
is legal and just."
Patterson stated with determination. "We
NATO
Backs Ratings Principle
must,
president.
in any way possible, see to it that
bidding by such parties is terminated. We As for the rating system, Goldman said Since he has headed NATO, Goldman
will come that
forth with a workable plan
NATO is completely behind its principles.
that
has done more work for the independent
will restore legality and
Having
fair play to the exhibition
side of our business."
been involved with the ratings exhibitor than he anticipated, he noted.
themselves. Goldman emphasized that he Referring to EXPRODICO. Goldman and
knew of no case in which independent distributors
Alterman spoke of its new prospectus and
were treated any differently than the fact that it will not be able to distribute
'Prince and the Pauper'
majors. While an imperfect system which the films it makes. However, a bank and
U.S. Rights to Orrin
needs change, it is the best we can devise an insurance company vvill guarantee S2 for
NEW YORK — Orrin Pictures has acquired
short of government authority at this time. every dollar raised. NITE will back this
the feature film "Prince and the he said. Obvious faults are equating a child filmmaking plan and Goldman indicated
Pauper." starring Gene Bud. Tom Fleet- of six with an adolescent of 16 in one category
that, while it serves exhibitors' "seltish in-
and providing a "total lack of informaterests."
it also has \ \ TO's approval.
|wood
*' and Kenneth Schaffel, for distribution
in the U.S., it was announced by president tion on what the ratings mean specifically
Joseph Ornstein. Marcel Brookman produced
to a basically uninformed public." The rea-
Blind Bidding legislation
the picture in Ireland. Elliot Geisinger son for a film's rating should be so stated
[directed from a screenplay which he wrote with the rating. Goldman declared.
I ndav 1 1 ). NATO proposed legislation
with Alex Tartaglia and Albert Mozell. Projduction
supervisor was John Quill, with man revealed that 60 members representing of blind bidding. This would insure that a
Regarding NATO's restructuring, Gold-
in the state of Illinois against the practice
Joseph Bainhorn as associate producer. the board of directors met in Nassau recently
film is to be tradescreened before being
direci
to discuss the motion made in Ana-
ottered tor open bidding.
Two other features on Orrin's current release
schedule are "Treasure Island" and heim. Calif. The formation of a national Win or lose. NATO will initiate similar
organization and the hiring of a paid advo-
legislation in various 1 :i s'.ucs.
BOXOFTICE :: April 18, 1977