IMAX signs theatre deal in China

IMAX signs theatre deal in China

IMAX(R) Theatre Network Continues to Expand in Fast-Growing Market

TORONTO, July 25 /PRNewswire-FirstCall/ -- IMAX Corporation (Nasdaq: IMAX; TSX: IMX) today announced an agreement with the Nanjing Deji Plaza Co., Ltd. to install an IMAX(R) theatre in the recently opened and highly successful Deji Plaza Mall, the largest mall in the city of Nanjing. The IMAX theatre will be part of the project's second phase of development, which will include the largest multiplex in the Jiangsu province. The deal was signed following continued strong box office performances from Hollywood movies that have been digitally re-mastered into IMAX's format and released to IMAX theatres. The new theatre is scheduled to open in mid 2010.

"China's IMAX network is expanding in both commercial and institutional markets," said IMAX Co-CEO's and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "We believe that participating in the city's largest entertainment and retail development with a prominent developer such as the Deji Plaza Co., is an effective way to introduce the IMAX(R) brand to consumers in Nanjing."

"The IMAX brand is recognized by consumers in many countries worldwide as the premiere way to experience cinema and it's universal appeal, combined with the ability to show Hollywood movies in a unique and powerful way, makes the IMAX(R) theatre an anchor attraction that will draw more people out of their homes and into the new Deji Plaza Mall," added Madam Zeng Wenwen, General Manager of Nanjing Deji Plaza Co., Ltd..

The new theatre will utilize IMAX MPX(R) technology, designed specifically to enable multiplex operators to more cost effectively enter into the IMAX theatre business, either by retrofitting an existing stadium seating auditorium or via an economical new build. The IMAX theatre will be capable of playing Hollywood event films that have been digitally re-mastered into the unparalleled image and sound quality of The IMAX Experience(R), as well as original IMAX productions in 2D and IMAX(R) 3D.

When IMAX established its Asian headquarters in Shanghai in June 2002, there were two IMAX theatres open in the country, with two more in development. There are currently 12 IMAX theatres open in The People's Republic of China, and the total number of IMAX theatres scheduled to be open by the end of 2010 is more than 25.

About Deji Plaza

Deji Plaza is the leading cosmopolitan shopping mall in the city of Nanjing. It houses some of the most prestigious and internationally recognized brands in the world and features a broad collection of high-end boutiques. After completion of phase II of the development, the Deji Plaza is expected to attract 36 million visitors annually.

About IMAX Corporation

IMAX Corporation is one of the world's leading entertainment technology companies, specializing in digital and film-based motion picture technologies. The worldwide IMAX network is among the most important and successful theatrical distribution platforms for major event Hollywood films around the globe, with IMAX theatres delivering the world's best cinematic presentations using proprietary IMAX, IMAX 3D, and IMAX DMR(R) technology. IMAX DMR is the Company's groundbreaking digital remastering technology that allows it to digitally transform virtually any conventional motion picture into the unparalleled image and sound quality of The IMAX Experience(R). IMAX's renowned projectors display crystal-clear images on the world's biggest screens, and the IMAX brand is recognized throughout the world for extraordinary and immersive entertainment experiences for consumers. As of March 31, 2007, there were 283 IMAX theatres operating in 40 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR(R), IMAX(R) MPX(R), 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 ongoing discussions with the SEC and OSC relating to their ongoing inquiries and the Company's financial reporting and accounting, 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, risks arising from potential material weaknesses in internal control over financial reporting 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 for the year ended December 31, 2006.

Source: IMAX Corporation

CONTACT: Media: IMAX Corporation, New York, Sarah Gormley, (212)
821-0155, sgormley@imax.com; Entertainment Media: Newman & Company, Los
Angeles, Al Newman, (310) 278-1560, asn@newman-co.com; Investors: Integrated
Corporate Relations, Amanda Mullin, (203) 682-8243; Business Media: Sloane &
Company, New York, Whit Clay, (212) 446-1864, wclay@sloanepr.com

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Profile: International Entertainment