IMAX Signs Ten Theatre Deal With China's Top Performing Exhibitor

IMAX Signs Ten Theatre Deal With China's Top Performing Exhibitor

Agreement with Wanda Cinema Line Marks IMAX's Largest Multiple-Theatre Deal in Asia Includes Seven IMAX(R) Digital Theatre Systems

Fastest Growing Exhibitor Plans To Begin IMAX(R) Theatre Chain Rollout This Year

TORONTO, Sept. 19 /PRNewswire-FirstCall/ -- IMAX Corporation (Nasdaq: IMAX; TSX: IMX) and Wanda Cinema Line Corporation today announced an agreement to install ten IMAX(R) theatres in The People's Republic of China, with the first two installations scheduled for December of this year. The agreement marks IMAX's largest ever multiple-theatre deal in Asia. Under the terms of the sales agreement, all of the theatres are to be installed either with IMAX's MPX(R) theatre system or the Company's new digital projection technology, which is currently in the advanced stages of development. Wanda Cinema Line Corporation is the top performing and fastest growing exhibitor in The People's Republic of China with 121 screens in 15 locations. All ten IMAX theatres are expected to be installed by the end of 2010 and bring the total number of IMAX theatres scheduled to be open in The People's Republic of China to 39.

"IMAX is a world-class brand that has been received exceptionally well across Asia, and we are very excited to include the IMAX theatre business as an integral part of our present and future growth," said Mr. Bao Jiazhong, General Manager of Wanda Cinema Line Corporation. "Moviegoers in China expect a premium experience when they visit a modern multiplex and our IMAX theatres will be able to deliver on that expectation and beyond, with the biggest Hollywood movies presented in the most engaging and immersive way. IMAX puts you IN the movie, and no other cinema technology can do that."

"China continues to be a key strategic growth market for IMAX, and our partnership with Wanda Cinema Line -- an exhibitor AND property developer -- gives us the opportunity to significantly expand our audience-base and ultimately drive greater interest in the region," said IMAX Co-CEO's and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "This single deal is expected to increase our presence in China by more than 30 percent. We are encouraged by the enthusiasm of our new partners and we look forward to working with them to bring The IMAX Experience(R) to more people in China."

The first three locations will utilize the IMAX(R) MPX(R) theatre system, IMAX's latest film projection technology specifically designed to enable multiplex operators to enter into the IMAX theatre business. The remaining seven locations are scheduled to utilize IMAX's digital projection system. The exhibitor has options to upgrade the three MPX theatre systems to IMAX digital on pre-negotiated terms, and to opt out of the final five installations subject to a material penalty.

All ten IMAX theatres are scheduled to be installed as part of new multiplex constructions. The first two installations are scheduled to take place in December 2007, in the cities of Changsha and Changchun. Other identified cities include Beijing, Chongqing and Wuxi. Each theatre will be capable of playing digitally re-mastered Hollywood event films, as well as original IMAX productions, in both 2D and IMAX(R) 3D.

About Wanda Cinema Line Corporation

Wanda Cinema Line Corporation is the fastest growing and most competive cinema chain in China. Incorporated in 2005, the company is a full subsidary of Dalian-based Wanda Group. As of today, Wanda Cinema Line owns and operates 121 screens in 15 multiplexes with an average annual box office at over 100 million RMB. In 2007 alone, the company has scheduled to construct 10 new multiplexes with 80 screens, bringing its total number of screens by the end of this year to 200. The company has plans to add 100 to 150 screens each year between 2008 to 2010. By 2010, the company would expect to own and operate a total of 600 screens in 70 multiplexes with annual box office to reach 1.5 billion RMB, taking 30% market share of the entire country. Wanda Cinema Line will ultilize IMAX theatre systems as an important means to enter the international high-end cinema market with plans to build five IMAX theatres each year from 2008 to 2010, and by 2010 the company expects to have 15 to 20 IMAX screens, becoming the biggest IMAX exhibitor outside North America.

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. 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 June 30, 2007, there were 290 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, as well as the Company's Quarterly Report on Form 10-Q.

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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