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NATO of CA/NV Annual Membership Meeting Deemed Best Ever

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NATO of CA/NV Annual Membership Meeting Deemed Best Ever July/August 2009 NATO of California/Nevada July/August 2009 NATO of California/Nevada Information for the California and Nevada Motion Picture Theatre Industry NATO of CA/NV Annual Membership INS I DE PREV I EWS Meeting Deemed Best Ever The NATO of California/ NATO of CA/NV Nevada annual membership Membership meeting held last month was Meeting attended by over 150 members Page 1 who enjoyed the hospitality of • Welcome to our The Landmark Theatre in West New Board Los Angeles where Manager Rita Gattegno and Director of Page 2 Event Marketing Daniel Gorski • Report from welcomed everyone. Sacramento Attendees spent the morn- Page 3 ing learning the steps that led Stephen Gilula Kendrick MacDowell • up to the phenomenal success CA Supreme of Slumdog Millionaire from Court Quadruples keynote speaker Stephen Gilula, Damages for president of Fox Searchlight Access Suits Pictures. He was followed Page 5 by G. Kendrick Macdowell, • NATO Vice-President, General History of Counsel and Director of Gov- Exhibition ernment Affairs, who provided Lecture Series an update on the state of digital Page 6 cinema and the Cinema Buying • Group. National NATO Direc- Industry Statistics tor of Media & Research Patrick Page 7 Corcoran provided an optimistic • picture of our industry with his NATO of California/Nevada Board of Directors: Chris Blevins, Dates for statistical analysis. (See story Regal Entertainment Group; Gary Richardson, The Movie Experi- Fall/Winter Film on page 7) The program was ence; Treasurer Frank Rimkus, Galaxy Theatres; Chairman Ray Product Seminar completed with the introduc- Syufy, West Wind Drive-Ins; Hal Sawyer, Cinemark; Scott Lotter, Page 8 tion of the Board of Directors Paradise Cinemas; Scholarship Committee Chairman Bruce Wren, • by Association Chairman Ray Regal; and President and CEO Milt Moritz. Missing from photo NATO of CA/NV Syufy; the Association’s year in are Vice President David Corwin, Metropolitan Theatres; Secretary Scholars Announced review by President and CEO Alan Grossberg, UltraStar Cinemas; Bruce Coleman, Brenden Page 9 Milt Moritz and the presenta- Theatres; Nora Dashwood, Pacific Theatres; Peter Dobson, Mann • tion of the 2009 scholarship Theatres; George Krikorian, Krikorian Premiere Theatres; Ed Calendar of Events award winners by newly ap- Moyer, AMC Theatres; and Ted Mundorff, Landmark Theatres. & Holidays pointed Scholarship Committee Page 11 Chairman Bruce Wren. See more photos on page 2 and www.NatoCalNev.org NATO of California/Nevada July/August 2009 Previews NATO of CA/NV Annual Membership Meeting is published by the National Association of Theatre Owners of California/Nevada 11661 San Vicente Blvd., Suite 830 Los Angeles, CA 90049 Phone: 310/460-2900 Fax: 310/460-2901 E-mail: [email protected] www.NATOCalNev.org Milt Moritz (center) with our hosts from Janet Grumer, Davis Wright Tremaine; Stephen The Landmark Theatre, Director of Event Gilula, Fox Searchlight Pictures, NATO of CA/NV Marketing Dan Gorski and Manager Rita Gattegno. Vice-President David Corwin, Metropolitan Theatres; OFF I CERS and Bruce Sanborn, The Movie Experience. Milton Moritz President & CEO NATO of CA/NV Chairman Ray Syufy, Raymond W. Syufy Chairman West Wind Drive-Ins and David Corwin Charlene Sievers, Vice President NATO of CA/NV. Frank Rimkus Treasurer Alan Grossberg Secretary Representatives of the NATO of CA/NV Scholarship Committee; Chairman Bruce Wren, BO ARD O F DI RECT O RS Regal; Gary Richardson, The Movie Experience; Christopher H. Blevins 2009 winner Mary Alice Chocas of Reading Regal Entertainment Group Chris Blevins, Regal Entertainment Group; Milt Cinemas’ Grossmont Center 10 Theatre; Dale Bruce Coleman Moritz, NATO of CA/NV; and James DuBois, Davison, Metropolitan Theatres and Annie Brenden Theatres Regal Entertainment Group. Casaburi of Krikorian Premiere Theatres. David Corwin Metropolitan Theatres Nora Dashwood Pacific Theatres Welcome to our new Board Members Peter Dobson NATO of California/Nevada proudly welcomes our two new members of Mann Theatres the Board of Directors, Gary Richardson of The Movie Experience and Chris Alan Grossberg Blevins of Regal Entertainment Group. UltraStar Cinemas Gary Richardson joined the family business in 1990 and oversees the George Krikorian Krikorian Premiere Theatres operations of the company’s business in addition to handling the administra- Scott Lotter tion of the corporate offices. Gary has been a long-time member of NATO Paradise Cinemas of California/Nevada’s scholarship committee as well as serving on the CARA Ed Moyer Gary Richardson of Ratings Board. Gary is married to Bonnie and has two children. AMC Theatres The Movie Experience Ted Mundorff Christopher Blevins is vice president of operations, western division for Landmark Theatres Regal Entertainment Group. Chris joined Regal in 1992 as a General Manager Gary Richardson and worked his way up to VP of National Programs prior to moving into his The Movie Experience current position. He entered the business at the age of 17 working every posi- Frank Rimkus tion in a movie theatre including managing single screen theatres, drive-ins, Galaxy Theatres 1000 seat theatres, and multiplexes to megaplexes. He resides in Knoxville, Hal Sawyer Cinemark USA TN with his wife Angela and their six children. Raymond W. Syufy NATO of California/Nevada thanks, with much appreciation, our outgoing West Wind Drive-Ins board members Bruce Sanborn and James DuBois for their many contributions ❦ Chris Blevins of Regal Entertainment Group on behalf of the Association. Charlene Sievers Director, Member Services 2 NATO of California/Nevada July/August 2009 Report From Sacramento By Terri Thomas, Thomas Advocacy Inc. Due to California’s ongoing, ever- • Package contains $11.4B cuts – $9.5B revenue changing budget turmoil Terri Thomas had accelerations - $2B new taxes. to miss the NATO of California/Nevada • Since tax increase require 2/3 vote in legislature, membership meeting but provided the following report. therefore, GOP lawmakers can block passage: I want to give you a quick summary of what has led us to Assembly: 25 (D) 15 (R) = Need 2 the point we are at in the Capitol in terms of dealing with our Senate: 49 (D) - 29 (R) - 1 DTS - 1 Vacancy = Need 5 current $24B deficit. I also want to give you a brief synopsis • Vote this week will fail; package will then contain $2B of the challenges facing theatres - and entertainment in general smaller reserve to backfill revenue. - in this tough economic environment that the legislature is grappling with. I am presenting much of this in outline form as it was the basis for my presentation. III. Threat of Services Tax • When Governor proposed new measures in May I. Setting the stage for today’s budget dilemma revise to reduce deficit and bring budget into • Legislature unable to pass a budget last year. balance, he proposed extending State and local sales tax on services and specified certain services in the • Finally enacted 2 year package of revenue, spending entertainment area such as amusement parks, golf, cuts and tax increases totaling $42B in February, 2009; sporting events. this includes temporary increase in sales tax. • He did not specifically propose tax on admissions at • Followed by special election which authorized $6B movie theaters. in cuts and extension of sales tax for 2 additional • However, others quickly caught on to the idea in years. informal discussions and idea surfaced. • Soundly rejected by voters. • Milt Moritz and I, along with other consultants, have been closely monitoring this situation, preparing • Shortly thereafter, new spending gap projected at for the need for quick action, and trying to dampen $24B. the discussion without calling extra attention to this industry. • We will continue to be vigilant and ready for action II. Fast forward to June, 2009 should this proposal surface. • However, the threat may now have moved to a new • Since we already have basic budget for 2009-10, venue. Legislative. Budget Committees have been working to bring into balance by July 1, 2009. • Shortfall estimated at $24B including $4.5B in “rainy IV. Commission on 21st Century Economy (Tax day fund” sought by Governor. Commission) • Central to the debate last year on the budget and an • Budget Conference Committee has completed a plan on-going concern is the extreme volatility of the State to address gap. tax base. • Governor has said he won’t sign a plan balanced with • Governor and Legislature created the Tax Commission tax increases. with charge of reducing volatility; some members want • Legislature’s difference with Governor is that their to use it to go further and increase tax revenues - much plan cuts less deeply into health and social services for debate. the poor, elderly and disabled and replaces some of the cuts with $2B in new taxes on oil production and cigarettes. Continued on page 4 53 NATO of California/Nevada July/August 2009 Continued from page 3 • Business is starting to fight back. Both CalChamber • Commission is chaired by Gerald Parsley, businessman and CalTax are working to raise money to fight back and former chair of UC Regents and is composed of with paid media; message is that business has already academics, government and other interests. Has had 4 been taxed heavily in the last 2 budgets, business meetings and 1 more scheduled before final report due is distributing fact sheets demonstrating the hit on July 31. business. Also trying to demonstrate the link between • On verge of proposing massive tax system overhaul some of the tax incentives and economic growth. to respond to challenge of “reducing volatility”; not • You will hear more about the activities of necessarily increasing base, but certainly possible. the business community in near future as tax • Proposal is theoretically revenue-neutral and will advocates ratchet up their message. probably propose abolishing corporate income taxes and state sales taxes in favor of “net receipts” tax - similar to VAT common in European countries; VI.
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