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NEW YORK (AP) — The Callicoon Amphitheater is a single-screen cinema forth the banks of the Delaware River in the Catskills, in rural upstate New York. It has an art-deco bluff and 380 seats. “We never advertise out,” its box-office buzz band promises. There’s not addition amphitheater for 30 miles.

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Kristina Smith aftermost year confused up from Brooklyn and bought the Callicoon, acceptable alone its third owner. The Callicoon, she says, is added than a abode to see “Frozen 2” or “Parasite.” It’s a affair place, a Main Street fixture, a hearth.

“It’s been like that for a absolutely connected time. All the locals up here, from third-generation farmers to academy agents and families, they affectionate of await on it,” says Smith. “In some of these rural areas in America, a little cine amphitheater is affectionate of a little assault affection of a town.”

Somehow, the Callicoon has managed to accomplish continuously for 71 years. It has survived television. It has survived the multiplex. It has survived Netflix. But, like a lot of alone cine houses with one or two screens, the Callicoon is adverse a new uncertainty. This time it’s not because of article new but the abolishment of article old.

The Justice Department aftermost anniversary confused to abolish the Paramount Consent Decrees, the acceding that has connected absolute the break of Hollywood studios from cine theaters. Hatched in the after-effects of a 1948 Supreme Court accommodation that affected the studios to bankrupt themselves of the theaters they owned, the Paramount Decrees disallowed several then-common practices of flat control, like “block-booking,” or banishment theaters to booty a block of films in adjustment to comedy an accepted hit.

Their dissolution isn’t assured. Courts will analysis the Justice Department’s arguments and ultimately adjudge their fate. But the abeyant crumbling of a basement Hollywood assumption has led to boundless alarm from one bend of the cine apple added than any other: small, absolute theaters. The fallout for above studios and ample amphitheater circuits is beneath certain. But in interviews with bodies on all abandon of the cine business, one takeaway is agreed upon: It’s bad annual for alone cine houses like the Callicoon.

“There is a abundant bulk of advance aback and anxiety on the allotment of mid-size and baby exhibitors and, frankly, there should be,” said a flat administration controlling who batten on the action of anonymity because he wasn’t accustomed to allege on his company’s behalf. “The abate exhibitors will get hurt. And that’s absolutely a shame. It’s advancing that the showmanship of the abate towns will abandon in the accident of this happening.”

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The Paramount Decrees may complete like a antique from a ancient time. They were active aback best cine theaters were single-screen studio-controlled cinemas, aback TVs had yet to access best homes, aback Gene Kelly and Humphrey Bogart were top stars. But the decrees accept played a massive role in the history of American movies, abstraction what, area and how admirers see what they see.

While added accepted antitrust laws would still apply, theaters angle to lose acknowledged aegis on issues apropos block booking and amount ambience — issues that can accept an outsized aftereffect on abate cine houses. Studios already sometimes authorization a three-to-four anniversary run for a accepted picture. If a flat turns about and says that in adjustment to comedy one answerable blockbuster, a amphitheater charge additionally booty a beneath accepted blur for an connected run, that could accept acute furnishings on a cine abode with alone so abounding screens.

“Because of the citizenry size, I don’t accept abundant bodies up actuality to bear a four-week run of a picture. I don’t affliction what cine it is, by anniversary four, I’m accident money,” says Smith. “Tether that to a beneath accepted picture, you could apparently alone do that two or three times to the Callicoon Amphitheater afore we abutting our doors.”

During the Justice Dept.’s analysis of the decrees, the loudest beef came from baby theaters and drive-ins. They are abate in cardinal than they already were, but they’re still out there. Regal, AMC and Cinemark annual for almost bisected of the 41,000 screens in the U.S., giving them affluence of advantage in negotiations with studios. The 91 actual single-screen venues and the few hundred houses with a scattering of screens, naturally, accept far beneath acceding power.

“Without these decrees, beyond circuits could accomplish business added difficult for theaters like mine. The cine studios are not as motivated to assignment with our needs and would adopt to accumulate their artefact to ample circuits that will action exclusivity,” argued the two-screen, about 1927 Falls Theatre in Falls River, Wisconsin, in the DOJ’s accessible comments.

These are additionally theaters that, accouterment to rural, beneath flush areas, don’t advertise exceptional $15 or college admission prices. So the anticipation of studios ambience a civic admission amount on a cine is additionally awkward to them.

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“The abatement of the decree on resale amount aliment is addition footfall in the afterlife altitude of the independent, bounded chains, and baby theaters in rural and city areas,” said the Trinity Amphitheater in Weaverville, California.

Most abate absolute theaters are already aloof squeaking by. Funneling as abundant as 65% of a movie’s box appointment aback to distributors, any profits mostly appear from concessions. And they feel like they apperceive their admirers bigger than abroad corporations. The United Drive-In Amphitheater Owners Association, for example, acclaimed that they accept their own programming considerations abstracted from “indoor cinema.”

The Justice Department and Makan Delrahim, arch of its antitrust division, about absitively the decrees “have served their purpose,” abacus that “their connected actuality may absolutely abuse American consumers by continuing in the way of avant-garde business models for the exhibition of America’s abundant artistic films.”

Under President Donald Trump, the Justice Department has been affective to abolish abundant bequest decrees. AMC and Regal didn’t about article to repealing the Paramount Decrees but they are arduous affairs to annihilate the ASCAP-BMI decrees which accept absolute implications for music rights.

The Justice Department’s accepted deregulatory access has already played a role in about-face the mural of Hollywood. It bound elastic formed the Walt Disney Co.’s accretion of 21st Century Fox, which by accumulation two of the industry’s best acclaimed studios, created one of its best ascendant distributors ever. About a third of all tickets awash this year accord to Disney.

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But University of Pennsylvania Law Academy assistant Herbert Hovenkamp, an able of antitrust law, says the bazaar is abundant added aggressive now than it was in the backward ‘40s. There are TV and alive ball options and the majority of cine houses are multiplexes accustomed a array of product.

“There could be some baby towns that accept a distinct amphitheater or two theaters and they may lose out on article like this,” says Hovenkamp. “But the actuality is there are many, abounding added markets that are abundant added aggressive and abounding screens. Freeing up the bazaar would accomplish added accessible to them.”

The affected business has beyond problems. It’s adverse added antagonism over its acceptable affected exclusivity window from alive casework like Netflix, Amazon and Apple. (None were anytime allotment of the decrees, nor was Disney. It was advised a beneath consequential cipher in 1948.)

Ticket sales this year are bottomward about 7% from aftermost year, according to abstracts close Comscore. Meanwhile, the top studios are all active rolling out their own alive services. Those, in effect, already amalgamate production, administration and exhibition — the vertical affiliation the decrees already aimed to stop.

The fate of little old cine houses is appealing far bottomward the account of the industry’s concerns. Smith knows studios, afford of the Paramount Decrees, won’t accept abundant acumen to accomplish exceptions for theaters like the Callicoon. Still, she’s acquisitive that altered regulations can be set for theaters with three or beneath screens. Their survival, she says, matters.

“We charge added places in this country appropriate now area we can appear calm and allotment amplitude with one addition and animation the aforementioned air. Those places in avant-garde association are disappearing,” says Smith. “You’ve got your boondocks hall. You’ve got church. And, sometimes, you accept your bounded cine theater.”

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Copyright 2019 The Associated Press. All rights reserved. This actual may not be published, broadcast, rewritten or redistributed.

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Originally posted 2018-09-12 12:30:47.