Franchot on French Film Finances

When reporter Harmon W. Nichols interviewed Franchot about the production of The Man on the Eiffel Tower, Franchot tried to explain the film’s financial situation. Nichols said a patient Franchot “hemmed and hawed and he drew pictures on the tablecloth,” and finally, Nichols asked Franchot himself to write the article. Here’s what Franchot wrote:

The interesting thing about the financing of The Man on the Eiffel Tower is that because of making it in Paris with a French co-producer, a large part of the cost of the production was paid for in French francs instead of American dollars. These francs could be recouped from almost all countries where American motion picture earnings are blocked. The French have trade agreements with almost every country in the world, which permit them to repatriate to France the foreign earnings of any picture made in France.

The advantage of this picture is that all these countries which will not permit conversion of picture earnings into dollars, will permit the earnings of this one (because it was made in France) to be converted into Francs. The French co-producer of the picture will recoup his investment from countries that an American producer cannot look to at the present time. And the result will be that a large part of the cost of making the picture will be for receipts in countries from which a Hollywood production cannot expect to receive the benefits of his earnings.

Source:
Nichols, Harmon W. "Franchot Tone Gives Lessons about Finance." Star News. February 13, 1950.