IMAX signs theatre deal in China

IMAX signs theatre deal in China

Country's Largest Film Entity works with IMAX

BEIJING, April 23 /PRNewswire-FirstCall/ -- IMAX Corporation (NASDAQ: IMAX; TSX: IMX) and China Film Group Corporation today announced an agreement to open an IMAX(R) theatre in a new multiplex development in the city of Tianjin, China. The installation is scheduled to be completed in October, 2009. The deal continues IMAX's commitment to growing its network in China, IMAX's largest international growth market, with 41 IMAX theatres scheduled to be operating in the country by 2012. IMAX has signed contracts for more than 200 IMAX digital projection systems worldwide, with 76 currently in operation and approximately 60 additional locations scheduled to be in operation by year end.

"IMAX is a well-respected brand that represents the advanced movie experience and we strongly believe that working with IMAX will give us a competitive advantage in our marketing development. We will have better prospective cooperation with IMAX," said Mr. Han Sanping, Chairman of China Film Group Corporations.

"Entering into a partnership with China Film Group, the leading player in film production, distribution and exhibition, is an important element of our growth strategy and underscores our commitment to building the IMAX brand in the country," said IMAX CEO Richard L. Gelfond. "Our digital projection system continues to open up new international growth opportunities, by making it more economical to display a range of films in our theatres. We're delighted to have this endorsement from the largest and most prominent media company in China which has substantial expansion plans for its exhibition business."

IMAX's revolutionary digital projection system delivers The IMAX Experience(R) and helps drive profitability for studios, exhibitors and IMAX theatres by eliminating the need for film prints, increasing program flexibility and ultimately increasing the number of movies shown on IMAX screens. The system can run both IMAX and IMAX(R) 3D presentations.

About China Film Group

Inaugurated in 1951 as China Film Corporation, China Film Group Corporation (CFGC) was conglomerated of 8 companies of Beijing Film Studio, CCTV-6 and etc., in 1999. As the most comprehensive and extensive state-owned film enterprise in China, CFCG facilitates film production, film base, distribution and exhibition, film instrument and etc. as a coordinated process and integrates film, TV and video into one single entity.

Since its establishment in 1999, CFGC has produced more than 200 feature films.

Every year CFGC is able to distribute 100-plus films. CFGC distributed the blockbusters such as The Redcliff, Forever and Enthralled, The Warlords, The Promise, The Curse of Golden Flowers, The Fearless and The Banquet.

In recent years, CFGC has formed 7 cinema circuits with equity investment and contracted more than 400 theatres, which accounts for 40% market share of Chinese box-office. It is now building its own proprietary cinema circuit with an objective of 100 multiplexes.

CFGC is also the sole importer of foreign theatrical movies in China and major exporter of Chinese films. CFGC has established business relationships with more than 400 film institutions from more than 100 countries and regions. Its annual event Beijing Screenings has become an important window to showcase China's film culture to the world and exchange platform for film co-productions.

   More information about the Company can be found at www.chinafilm.com.    About IMAX Corporation   

IMAX Corporation is one of the world's leading entertainment technology companies, specializing in immersive 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 re-mastering technology that allows it to digitally transform virtually any conventional motion picture into the unparalleled image and sound quality of The IMAX Experience. 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 December 31, 2008, there were 351 IMAX theatres (231 commercial, 120 institutional) operating in 42 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR(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 accounting, the performance of films, the signing of theatre system agreements, the viability of new technologies, businesses and products, 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, risks arising from potential material weaknesses in internal control over financial reporting and fluctuations in foreign currency and in the large format, general commercial exhibition and out-of-home entertainment markets. These factors and other risks and uncertainties are discussed in the Company's most recent Annual Report on Form 10-K and most recent Quarterly Reports on Form 10-Q.

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Source: IMAX Corporation

CONTACT: Media: IMAX Corporation, New York, Sarah Gormley, (212)
821-0155, sgormley@imax.com; Entertainment Media: Rogers & Cowan, Los Angeles,
Jason Magner, (310) 854-8128, jmagner@rogersandcowan.com; Investors: IMAX
Corporation - New York, Heather Anthony, (212) 821-0121, hanthony@imax.com;
Business Media: Sloane & Company, New York, Whit Clay, (212) 446-1864,
wclay@sloanepr.com

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Profile: International Entertainment