Dating begins at forty
With 200 jobs and his future riding on the outcome, a desperate Julian rehearses Peggy mercilessly (vowing "I'll either have a live leading lady or a dead chorus girl") until an hour before the premiere.
Billy finally gets up the nerve to tell Peggy he loves her; she enthusiastically kisses him.
That, plus her realization that their situation is unhealthy, makes Dorothy and Pat agree not to see each other for a while, and he gets a stock job in Philadelphia.
Rehearsals continue for five weeks to Marsh's complete dissatisfaction until the night before the show's opening in Philadelphia, when Dorothy breaks her ankle.
By the next morning Abner has quarreled with her and wants Julian to replace her with his new girlfriend, Annie.
She, however, tells him that she can't carry the show, but the inexperienced Peggy can.
By the time of Busby Berkeley's death in 1976, the film had become revered as the archetypal backstage musical, the one that "gave life to the clichés that have kept parodists happy", as critic Pauline Kael wrote.
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The New York World-Telegram described it as "A sprightly entertainment, combining, as it did, a plausible enough story of back-stage life, some excellent musical numbers and dance routines and a cast of players that are considerably above the average found in screen musicals." John Mosher of The New Yorker called it "a bright movie" with "as pretty a little fantasy of Broadway as you may hope to see", and praised Baxter's performance as "one of the best he has given us", though he described the plot as "the most conventional one to be found in such doings." Warner already had a follow-up of sorts – Gold Diggers of 1933 – in production before the film's release, and the success of both films permitted a higher budget and more elaborate production numbers in Warner's next follow-up, Footlight Parade.
The show's juvenile lead, Billy Lawler (Dick Powell), takes an immediate liking to Peggy, as does Pat.
When Marsh learns about Dorothy's relationship with Pat, he sends some thugs led by his gangster friend Slim Murphy (Tom Kennedy) to rough him up.
In 1998, it was selected for preservation in the United States National Film Registry by the Library of Congress as being "culturally, historically, or aesthetically significant".
In 2006, it ranked 13th on the American Film Institute's list of best musicals.