H.—22.

Returns to hand indicate that the gross proceeds as a result of the licenses which were directly issued from the Department were approximately £186,000. The expenses involved in raising this sum were approximately £6,000, and thus approximately £180,000 was paid to the funds of the Patriotic Councils. XI. CINEMATOGRAPH THEATRES. A. Film Censorship. During the year, 1,693 films of all classes, totalling 4,597,730 ft., were examined. Of this number, 4 were rejected outright, 6 were deferred for the time being as unsuitable for exhibition owing to the war situation, 125 were passed subject to excisions, 187 were passed with recommendations that they were more suitable for adult audiences, and 18—for various reasons —were passed with the caution that they were not suitable for children. Appeals were lodged against 3 rejections ; 2 were dismissed and 1 was allowed. An appeal was also lodged against some proposed excisions from a film in which certain incidents were regarded as likely to be disturbing to young children. This film was, however, passed by the Board of Appeal without alteration. An analysis of the work shows —

Quota Films : The countries of origin of the quota or feature films examined were as follows : Great Britain, 37 ; Australia, 3 ; United States of America, 413 ; France, 3 ; Russia, 3; Austria, 1 (made before the Anschluss). Rejections : Of the 4 films, 3 wore " quota " or long films originating in the United States of America, and I, a miniature 16 mm. " short " feature, was also made in the United States of America. General Remarks : During the year under review, as compared with the previous year, the number of rejections was 4, as against 6 ; the number of films requiring amendment was 125, as against 127 the number of films recommended as more suitable for adults dropped from 229 to 187 ; while the number considered to be definitely unsuitable for young people was 18, as compared with 13 in the previous year. As anticipated, there was a considerable drop in the number of British films of all classes examined during the year (440, as against 650 in the previous year), due no doubt to production difficulties on account of the war. It is noticeable that the influence of the war is very marked on many of the films produced both in Great Britain and the United States of America, pictures of this type combining a skilful blending of anti-Nazi propaganda with varied entertainment. In this connection, some excellent " short " feature films dealing with Britain's war effort and the activities of the fighting Services were received here for free distribution to the theatres ; and recently films from South Africa and Australia have also been made available for public exhibition. New Zealand, too, has endeavoured to show the people something of what is being done for the national war effort in this country, a recently-made film depicting interestingly the work and training of the Royal New Zealand Air Force. This film, with others to follow, will, it is understood, be shown also in other parts of the British Empire. A number of miniature films (52) were presented during the year, but these were mainly for exhibition to schools, colleges, &c. Industrial or advertising films were, however, conspicuous by their absence. Posters and Press-sheets: There has been a great improvement in the advertising matter submitted for examination, and little or no exception can be taken to it. B. Licensing of Cinematograph Operators. Further satisfactory progress was made during the year in connection with the licensing and examination of cinematograph operators. A large number of cinematograph operators passed the examinations set by the Cinematograph Film Operators' Licensing Board and were issued special grades of licenses according to their qualifications. In addition, a largo number of assistant operators were licensed, and many provisional licenses were issued to assistants who, apart from the usual replacements, were required to relieve the shortage of experienced operators on account of enlistments for military service. One hundred and nineteen new applications for provisional and assistants' licenses were considered and the appropriate licenses were issued, as compared with 101 similar applications for the previous year. This made a total of 698 operators and 228 assistants licensed since the inception of the Cinematograph Operators' Licensing Regulations 1938. C. Standard Form of Film-hiring Contract. The Standard Form of Film-hiring Contract, which is the statutory document governing all agreements made by film-renters and the motion-picture exhibitors for the supply of film, was, after submission to the Film Industry Board, almost completely revised, and the enacting instrument duly gazetted.

2—H. 22.

9

Quota or Long Films. Non-quota or Short Films. Origin. Number. Length. Number. Length. Ft. Ft. British .. .. .. .. 40 292,500 400 393,690 Foreign .. .. .. .. 420 3,157,790 833 753,750 Totals .. .. .. 460 3,450,290 1,233 1,147,440