Music Trade Review

Issue: 1928 Vol. 86 N. 13

Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
News Number
THE
JfUJIC TIRADE
VOL.* 86. No. 13 Poblished Weekly. Federated Business Publications, Inc., 420 Lexington Ave., New York, N. Y., March 3 1 , 1 9 2 8
8ln e
10 Cents
*l 2 .£>°& Per e r s Year
Metcalf to Demand Change
in the Instalment Tax
Rhode Island Senator to Introduce New Clause Eliminating
Double Taxation in Revenue Act on Instalment Sales
When Bill Comes Before Senate Next Month
Ellison Branch in Olean
BUFFALO, N. Y., March 26—The Ellison Piano
Co., with headquarters in Buffalo and- stores in
several New York and Pennsylvania cities, has
opened a branch at 235 North Union street, Olean,
where a full line of musical instruments will be
carried. The company is seeking a suitable store
room as a permanent location in Olean. The
new branch store is under the management of
J. H. McCasker.
ASHINGTON, D. C, March 26.—Amendment of the instalment provisions of the rev-
enue law so as to eliminate the double taxation now imposed upon changing over to the
instalment plan of reporting, will be demanded by Senator Metcalf of Rhode Island
when the Senate takes up the tax revision measure next month.
The Senator has served notice that when the bill is taken up on the Senate floor he will pro-
pose an amendment to eliminate the present requirement of paragraph (C) of Section 44, requir-
ing: "If a taxpayer elects for any taxable year
BUFFALO, N. Y., March 24.—The F. Erion Cb.,
to report his net income on the instalment basis, the need for which was one of the motives of
musical
instrument retailer, has provided group
the
move.
The
C.
C.
Mellor
Co.,
under
the
then in computing his income for the year of
change of any subsequent year, amount actually local management of Walter R. Stumpp, insurance for its employes. Employes receive
received during any such year on account of handles Steinway, Steck and Vose pianos and from $500 upwards in insurance, depending
sales made in any prior year shall not be ex- also the Duo-Art, phonographs and music rolls. upon their length of service with the company.
cluded," substituting therefor the following:
"If a taxpayer elects for any taxable year to
report his net income on the instalment basis,
in any case where the gross profit to be realized
on a sale or contract for sale of personal prop-
erty, has under the provisions of the revenue
acts of 1916, 1917, 1918, 1921, 1924 and 1926, or
this act, been reported as income for the year Approximately 30 Per Cent of Membership Shows Fifty-nine Against and Twenty-
three in Favor of Affiliation With the National Association
in which the transaction occurred, and a change
is made to the instalment plan of computing net
income, no part of any instalment payment re- p O L U M B U S , O., March 27.—According to joining the national Association, Otto B. Heat-
w
f / 1
1
iL
--—••---- "-
- - affirmative,
^ '••— and
Columbus,
taking
the
ceived subsequently to the change, representing ^ the vote of the members of ' the Music on, of ~-
income previously reported on account of such Merchants' Association of Ohio thus far Dan F. Summey, of Cincinnati, the negative
transaction, should be reported as income for recorded and reported at the midyear meeting side.
The business session of the trustees was bri^f,
the year in which the instalment payment is of the trustees of that organization held at the
received; the intent and purpose of this pro- Neil House here yesterday, the majority are and was presided over by R. E. Taylor of Cleve-
vision is that where the entire profit from in- opposed to the affiliation of the state organiza- land, president of the association. Reports were
stalment sales has been included in gross in- tion with the National Association of Music made by a number of committee chairmen, they
being in addition to Mr. Boyd, B. G. Burrier,
come for the year in which the sale was made, Merchants.
no part of the instalment payments received
The report on the vote was made by O. H. of the Membership Committee, Henry T.
subsequently on account of such previous sales Boyd, Chairman of the Committee on National Stucke, of the Mutual Insurance Committee,
shall again be subject to tax for the year or Affiliation, who stated that 297 cards and let- and H. C Wildermuth of the Toledo Conven-
The membership,, report
years in which received."
ters were sent out to members on March 6, and tion Committee.
showed
that
there
had
been a slight loss in this in-
that eighty-two replies had been received up
to yesterday. Twenty-three of the answers fav- direction since the convention in Oeve'landJ
ored affiliation, and fifty-nine expressed opposi- when the rolls carried.^487^, names. '^Through •
l
retirement
from from'•hh««-
busi-
tion to the plan. Although the vote so far resignations, A->n* h > l «-x>'~>
*ir* m ii.r&
ness,
thirty
have
been
dropped,
while thirteen
reflects the opinion of less than 30 per cent
WHEELING, W. VA., March 24.—The C. C. Mellor of the membership of the association, it is re- new members have been added, making a total
membership at present of 470.
Co., one of the oldest music stores in the Ohio garded by the officers as a proper indication of
The trustees of the association were full of
Valley, has moved from 38 Twelfth street to the sentiment of the membership as a whole.
With the letters and return cards when sent optimism regarding the future of the organiza-
new quarters at 1420 Market street. The new
if
store will afford considerably more floor space, out were included arguments for and against tion,
W
Insurance for Employes
(JhlO ASSOCiatlOIl
C. C. Mellor Go. Store in
Wheeling, W. Va., Moves
Oil AlllliatlOIl
UpOll t lTSt
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
The Music Trade Review
P. L, Deutsch, President of Sonora,
Outlines Progress of the New Company
New Firm, Besides Sonora Co., Includes Associated Firms of Acoustics Products Co.,
Bidhamson Co., and the Premier Laboratories
D R O G R E S S is being made daily by Sonora
and the Acoustics Products Co., according
to P. L. Deutsch, who took over the presidency
of these two important firms at their inaugura-
tion last fall. Mr. Deutsch is busy night and
day whipping into shape a vital new organiza-
tion and a new line of products that is ex-
pected to impress the trade.
One of the first facts in the new Sonora pro-
gram was the move last week to its attractive
new headquarters in its own building at 50
West Fifty-seventh street, New York, together
with the moving to New York of the head-
quarters of A. J. Kendrick, general sales man-
ager. In order that the readers of The Review
may have a basic understanding of the new
Sonora picture, Mr. Deutsch has outlined the
reorganized structure of the company.
P. L. Deutsch, for twenty years associated
with the Brunswick-Balke-Collender Co. and
one of the foremost figures in the phonograph
industry, last October with a group of financial
associates, organized the Acoustics Products
Co., Inc., which acquired the Sonora Phonograph
Co., Inc., the Bidhamson Co., and the Premier
Laboratories. Among Mr. Deutsch's associates
are Richard F. White and Arthur Sherwood, of
Hayden, Stone & Co.; Harris Hammond, An-
ihony J. Drexel Biddle, Jr., and Dr. Miller
Reese Hutchinson.
MARCH 31, 1928
The Bidhamson Co., the name a combination
of Biddle, Hammond and Hutchinson, is a patent-
owning corporation including among its stock-
holders such prominent and successful leaders
in American business as John Hays Hammond,
Ogden Mills, Louis Kaufman, James J. Burden,
E. F. Hutton, Harris Hammond and Anthony
J. Drexel Biddle, Jr. The Premier Laboratories
is a well-known research and scientific organi-
zation headed by Dr. Miller Reese Hutchinsbn,
for ten years chief engineer ^of Thomas E. Edi-
son, Inc. Premier Laboratories" controls valu-
able patents embracing radical and vital de-
Percy L. Deutsch
Reproducing Grand (Welte*M.ignon Licensee)
POOLE popularity and successes are built on quality, fair prices,
and loyalty to our established dealers.
Our policies are constructive and up-building for dealer and manu-
facturer alike.
We invite inquiries for POOLE representation.
Poole Piano Company
Cambridge A
BOSTON, MASS.
velopments in the radio, electric phonograph,
recording and loud speaker arts that are of
outstanding importance.
Mr. Deutsch is president of both companies
and Harris Hammond is chairman of the board
of the Acoustics Products Co.
One of Mr. Deutsch's first important appoint-
ments was that of A. J. Kendrick as general
sales manager. Mr. Kendrick was for many
years general sales manager of the music divi-
sion of the Brunswick Co. He is not only one
of the most popular members of the industry,
but is recognized as a leading authority on
phonograph and radio merchandising.
Another important appointment which came
with Sonora's announcement of a record divi-
sion for the first time in its history places
Walter G. Haenschen as head of the record-
ing laboratories which are now being built in
the new Sonora building. Mr. Haenschen is
another old-timer in the industry and is recog-
nized as one of the leaders in the development
of the recording art.
The manufacturing and marketing programs
for Sonora are not in shape for announcement
at the present time, but Mr. Deutsch states that
the Saginaw factories are busy getting Sonora
products in production. Announcement of the
new records will depend upon the progress
made in the construction of the new labora-
tories, which will have a twenty foot ceiling,
which requires the breaking through of an en-
tire floor. This work is in charge of the firm of
architects which built the studios of the Na-
tional Broadcasting Co.
Sales offices have been opened in Chicago and
San Francisco in addition to the New York
offices.
The financial structure of the Acoustics Pro-
ducts Co., Inc., comprises 40,000 shares of 8
per cent accumulated preferred stock with a
par value of $100 per share, and 825,000 shares
of common stock with no par value. Twenty
thousand shares of preferred stock have been
issued, 10,000 in exchange for the outstanding
Sonora preferred stock and 10,000 shares for
new capital. The balance of this issue will be
treasury stock to be sold as the business re-
quires.

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