Latin America's Largest Commercial Exhibitor Increases Commitment from Three to Six IMAX Theatres

Next Location Expected to Open in Guadalajara this June Timed to Release of Batman Begins: The IMAX Experience

TORONTO and MEXICO CITY, May 9 /PRNewswire-FirstCall/ - IMAX Corporation (Nasdaq: IMAX; TSX: IMX) and Cinepolis, the largest exhibitor in Latin America and eighth largest in the world with more than 1,200 screens, today announced an agreement to open three more IMAX(R) theatres at Cinepolis multiplexes in Mexico. This deal is an expansion of the agreement previously announced in September 2004 for three IMAX theatre systems and brings Cinepolis' total commitment to six IMAX theatres. The first theatre under this new agreement is anticipated to open this quarter at a prominent multiplex in Guadalajara - the second largest city in Mexico - timed to the day-and-date release of Warner Bros. Pictures' highly anticipated summer event film, Batman Begins: The IMAX Experience.

Cinepolis opened its first IMAX theatre in November 2004, with the location selling out 80 per cent of its shows during its first twelve weeks of operation. The outstanding debut prompted the company to accelerate the opening date of its next IMAX theatre, with that location launching on March 11th in Monterrey, Mexico - and also opening to sold out shows and great consumer response to The IMAX Experience(R). Cinepolis has the third and fourth highest grossing screens in the international IMAX theatre network for Robots: The IMAX Experience, and this success has been a key factor in its decision to continue rolling out additional IMAX theatres to multiplexes throughout Mexico.

"Both of our IMAX theatres have delivered strong economic returns and been extremely well received by our patrons," said Alejandro Ramirez, Deputy CEO of Cinepolis. "IMAX also provides us with a strategic, competitive advantage over other commercial exhibitors in Mexico. Based on our early success and IMAX's ability to secure a full slate of digitally re-mastered blockbuster releases, we are doubling our commitment, as we believe we can realize even greater returns with more locations."

"Cinepolis has done a tremendous job with its first two IMAX theatres and we are very encouraged to see the exhibitor moving so quickly to secure additional territories," said IMAX Co-CEOs and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "Commercial exhibitors are increasingly opening IMAX theatres, witnessing how The IMAX Experience positively impacts a multiplex, and deciding to open more locations. This is further evidence our commercial growth strategy is taking hold, and we believe this precedent will continue to drive our signings momentum in Latin America and around the world."

Cinepolis will retrofit an existing stadium seating auditorium for its next IMAX theatre, expected to open on June 15th at the Cinepolis Galerias multiplex in Guadalajara. This will be followed by openings in Puebla in 2006 and Mexico City in 2007 - Cinepolis' second IMAX theatre in the country's largest city. The exhibitor's sixth IMAX theatre system will be installed in 2008, with the specific location to be announced. All of Cinepolis' IMAX theatres will be capable of showing Hollywood films converted into IMAX's format using IMAX DMR(R) (Digital Re-mastering) technology, as well as original 2D and IMAX(R) 3D films.

About Cinepolis

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Founded in 1971, Cinepolis is the largest chain of cinemas in Latin America, with a total of more than 1,200 screens. Cinepolis is the leading exhibitor in Mexico, where it holds 45 per cent of the market share, and also has operations in Costa Rica and Guatemala, with openings scheduled soon in Panama. Cinepolis has a rich tradition of innovation, as evidenced by its new alliance with IMAX, through which it intends to bring Mexican moviegoers a powerful and unique cinematic experience, as well as further differentiate its entertainment offering.

About IMAX Corporation

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Founded in 1967, IMAX Corporation 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 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) 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; CINEPOLIS, Mexico, Ramon Ramirez, Luis Villavicencio, (52) 44 33 22 62 11, lvillavicencio@Cinepolis.com.mx; 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