[Fmpro] AP article

[Scootman Music Productions]

Economy's loss, films' gain

DAVID GERMAIN
Associated Press


LAS VEGAS --Hollywood thrives when the economy dives.

It was true during the Depression, when Americans managed to scrape  
together nickels and dimes for an escape to the movies. And as the  
prospect of another recession looms, studio executives say this time  
is no different.
Even as evidence mounts that people are tightening up on other  
expenses, movie attendance this year has been running ahead of 2007  
numbers -- welcome news at ShoWest, the annual convention of theater  
owners, which opens here today.
Domestic box-office revenues rose in five of the past seven recession  
years dating back to the 1960s, according to research compiled by the  
National Association of Theatre Owners.
While budget-conscious consumers in today's economic downturn may  
hold off buying that 50-inch plasma television, "it seems they can  
always pull together the money to go to the movies," said critic and  
film historian Leonard Maltin.
"They're not making a monthly commitment or a down payment," Maltin  
said. "They're just shelling out the 10 bucks."
Economists are still debating whether the U.S. economy is headed for  
certain recession -- or already in one -- but closely watched  
indicators have been bleak, with employers shedding jobs and  
consumers reeling from high gas prices and tight credit.
Meanwhile, Hollywood is more than holding its own, with revenues  
running 4 percent ahead of last year's, according to box-office  
tracker Media By Numbers.
Factoring in higher admission prices, attendance was up 7 percent  
over last year as of a few weeks ago, before a few box-office duds --  
such as the Will Ferrell comedy "Semi-Pro" -- arrived. It's since  
fallen back to a gain of 0.5 percent.
Though virtually everyone gripes about the cost of snacks at  
concession stands, the average movie ticket price last year was $6.88  
-- cheaper than sporting events, concerts, even bowling.
"Most people would believe that offers a very good value. It's  
certainly much cheaper than a psychiatrist," said Dan Glickman, who  
heads the Motion Picture Association of America, Hollywood's top  
trade group. "To go into a darkened room where nobody can find you  
for two hours is great therapy, particularly when times are bad."
Since the Depression of the 1930s, when a quarter or less could buy a  
full day's entertainment at a theater, movies have been a refuge for  
the cash-strapped -- as a place to forget about everyday troubles and  
a way to stretch tight household budgets.
"We don't want to wish recession on anyone or hard times on anyone,  
but we certainly have done very well during recessions," said John  
Fithian, president of the theater owners group, who planned to touch  
on Hollywood's recession-proof history in a speech at ShoWest's opening.
Amid America's longest and bleakest economic bust in the 1930s, movie  
attendance tumbled initially as investment money for films dried up.  
But in the heart of the Depression from the early to late 1930s,  
attendance shot up.
While detailed box-office figures were not released then as they are  
today, as many as 4.6 billion movie tickets a year were sold in the  
1930s -- three times more than in 2002, the best year of modern  
times. And the U.S. population during the Depression was less than  
half of today's 300 million.
Granted, there was simply less to do then.
"What were your options? Radio, books and movies," said Paul  
Dergarabedian, president of Media By Numbers. "You didn't have the  
iPod. You had your Victrola. We didn't have video games. We had, I  
don't know ... `Tiddlywinks.' "