The Washington times., 1922-09-02
ADEssssHoss HHAHHHs BUSINESS AND FINAN C. E. da#a
FINANCE
AND
BUSINESS.
Now Investigating Conditions in
flie West.
BY b. @. FORBES.

| Now Investigating Conditions IN
fhe West.
4 I've just had hurried trip
| through the Lasky studios, at far.
| famed Hollywood and drive
through the home of the movie in
| dustry.
Yes. that's what the movies spell
here; an important industry. one
of the most important on the Pa
cific coast.
visited a habitat of movie
notables one evening and everything
was exactly as one would expect to
find 1t, namely, the same as any
similar place Of evening entertain
ment in New York or Chicago or
San Francisco, no more hilarious.
! no more sedate.
May / say, however, that the talk
! here is that every star whose mode
of living has tended to bring the
movie business into disrepute is TO
be dropped as contracts expire, this
at the behest OF VIII Hays and with
the general consent Of the reputable
producers. Now that the motion
picture industry has entered the
realm of big business, scrupulous
care, is to be exercised, one is as
sured, to raise It and keep It above
| criticism.
Even my short glimpse of the
| preparation of films impressed
upon me this thought, that the
| business has developed into a huge
industry. There Is nothing toylikc
or playlike in the production Of u
film. II is just as serious a bust.
ness as constructing a locomotive
or an automobile-and demands
for artistic skill.
When I INQUIRED as to where I
could get accurate information con-
Corning the magnitude of this Cal.
ifornia industry I was referred to
the research department Of tho
First National Bank of Los Angeles
as being a veritable mine Of up-to-
date information on all financial,
Here are some Of the facts which
may interest you:
Southern California produces 20
per cent of all the motion pictures
made in the United, States.
The capital investment approx
mates $500, 100000 in the motion
picture plants OF this country, ex-
elusive of the investment in allied
businesses which have sprung up.
The films turned out I'm the Los
Angeles and Hollywood districts
last year Appropriated $3.50, ,0O0, 900
in value.
From $1,000 to 10000 people are
steadily employed and extra en-
ployment is furnished for probably
as many more.
The cost Of producing a typical
feature play averages $4,000 to
$3.50. 900. OF this, approximately
SS5 900. or 60 per cent, is spent in
salaries, including directors and
staff, acting personnel, administra-
i've officers, mechanics. electricians,
etc.
On such a feature at least $4,000
IS spent for materials used in scenery
md sets and for rental and pur-
chases Of properties used. Some
features cost fabulous sums.
Nearly fifty foreign countries are
regularly showing films produced in
Los Angeles including such remote
countries as Trinidad, Tobago, Labra-
dor, Bolivia and Uruguay. Austrilia
Is the largest foreign consumer,
with Canada, England, Argentina,
Brazil and Japan following in the
order named.
The export of American-produced
films has increased from 81 900, 900
exposed lineal feet and 100000
unexposed lineal feet in 1919 to
It's 900 900 exposed lineal feet and
SO 900 900 unexposed lineal feret in
1920, the latest figures available.
Until the last one or two, years.
most of the financing of motion
picture producers was done in New
York city, but the financing of
pictures is coming to be localized
more and more in Los Angeles and
the industry is being placed upon
commercial basis, which makes
IL practical for producers to tap
investment funds and even, in
many instances, to operate on a
bank loan basis.
The industry has now practic-
ally completed its readjustment to
postwar condit/ MS, with most of
the undercapitaIized and improp-
erly financed concerns dropping out
of the field and leavin git to the
properly organized operators.
There are more than $4,000 mo-
ton picture theaters in the United
States. OF these 80 per cent are
OF the smaller type. charging from
10 to Is cents admission. This
compares with approximately II.
500 theaters in the rest of the
world.
1t is estimated that the motion
picture theater ownersl lin this
country take in $4,000, 900 a day
in admissions, or over s70o. .0o0. 900
a year.
The motion picture and it's allied
industries mean the annual exnen-
diture of not less than 5000 ,OOO. 900
in Southern California and probably
close to $1,000, 100000 throughout
the United States.
And only a beginning has been
made in the utilization Of moving
pictures in on-entertainment fields,
don't you think?
Copyright, 1922. by b. c. Forbes)
RUSSIA INSTITUTES
REGULATION COURTS
MOSCOW, Sept. "A regular ut.
torpav.0eneral's office similar In