IMAX Signs Theatre Deal in China

IMAX Signs Theatre Deal in China

Twenty Four IMAX(R) Theatres Scheduled to Be Open in The People's Republic of China by 2008

TORONTO, June 13 /PRNewswire-FirstCall/ -- IMAX Corporation (Nasdaq: IMAX; TSX: IMX) today announced an agreement with Thai Tai Enterprises (Liaoning) Co., Ltd. to install an IMAX(R) MPX(TM) theatre system at a mall being built in Shenyang, China, one of the largest cities in northeast China. The mall is expected to be a premier destination for the city's 7.3 million residents, offering the best shopping, entertainment and housing in Shenyang. The IMAX(R) theatre will serve as an important anchor for the complex, helping to differentiate it from other destinations in the city and draw foot traffic to the mall's businesses. With 24 IMAX theatres now scheduled to be open in China by 2008, the country is tied as IMAX's second largest market in the world, and it continues to be one of the company's fastest growing markets.

"We identified China as a market of key strategic significance a number of years ago, and we've been extremely pleased with how The IMAX Experience(R) has been received by both operators and moviegoers in the country," said IMAX Co-CEOs and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "Hundreds of malls and multiplexes are being built across the country, and leading developers like Thai Tai Enterprises are incorporating IMAX theatres into their plans - as a way to differentiate their sites from all surrounding competitors. We're excited to put the first IMAX theatre in Shenyang in such a great location and enthusiastic about the potential for continued expansion throughout China."

"We view IMAX as a way to drive the financial performance of our new development and offer our visitors a fantastic entertainment experience they can't get anywhere else in Shenyang," said Mr. Meng QingHua, President of Thai Tai Enterprises (Liaoning) Co., Ltd. "China has a rich moviegoing tradition and IMAX offers the most powerful and unique way to experience today's biggest event films, so we believe the IMAX theatre will be a significant draw for our mall."

The IMAX theatre in Shenyang is scheduled to open in the fourth quarter of 2007 and will be capable of exhibiting Hollywood blockbusters converted into the unparalleled image and sound quality of The IMAX Experience, as well as original 2D and IMAX(R) 3D films. The IMAX MPX system was specifically designed for the needs of commercial exhibitors, offering a way to easily add an IMAX theatre to a development by retrofitting an existing stadium seating auditorium or via an economical new build.

About IMAX Corporation

Founded in 1967, IMAX Corporation (NASDAQ: IMAX; TSX: IMX) is the newest distribution platform for Hollywood content and one of the world's leading entertainment technology companies. IMAX delivers the world's best cinematic presentations using proprietary IMAX, IMAX 3D, and IMAX DMR(R) technology. IMAX DMR (Digital Re-mastering) makes it possible for virtually any 35mm film to be transformed into the unparalleled image and sound quality of The IMAX Experience. The IMAX brand is recognized throughout the world for extraordinary and immersive entertainment experiences. As of March 31, 2005, there were 250 IMAX theatres operating in more than 35 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR(R), IMAX(R) MPX(TM) and The IMAX Experience(R) are trademarks of IMAX Corporation. More information on the Company can be found at www.imax.com.

This press release contains forward looking statements that are based on management's assumptions and existing information and involve certain risks and uncertainties which could cause actual results to differ materially from future results expressed or implied by such forward looking statements. Important factors that could affect these statements include the timing of theatre system deliveries, the mix of theatre systems shipped, the timing of the recognition of revenues and expenses on film production and distribution agreements, the performance of films, the viability of new businesses and products, and fluctuations in foreign currency and in the large format and general commercial exhibition market. These factors and other risks and uncertainties are discussed in the Company's Annual Report on Form 10-K/A for the year ended December 31, 2004 and in the subsequent reports filed by the Company with the Securities and Exchange Commission.

Source: IMAX Corporation

CONTACT: Media: IMAX Corporation, New York, Romi Schutzer, (212) 821-0144, rschutzer@imax.com; Entertainment Media: Newman & Company, Los Angeles, Al Newman, (310) 278-1560, asn@newman-co.com; Analysts: IMAX Corporation, New York, Cheryl Cramer, (212) 821-0121, ccramer@imax.com; Business Media: Sloane & Company, New York, Whit Clay, (212) 446-1864, wclay@sloanepr.com

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