IMAX Expands Theatre Network in Europe with Prominent European Commercial Exhibitor

TORONTO, Jun 23, 2003 /PRNewswire-FirstCall via COMTEX/ -- IMAX Corporation (Nasdaq: IMAX; TSE:IMX) today announced that it has signed an agreement with EuroPalaces, one of the largest commercial exhibitors in Europe (formed by the recent merger of Gaumont and Pathe cinemas), to open a new IMAX(R) 3D theatre at Disneyland(R) Resort Paris in France. The theatre is set to open in June 2004 and will join the 46 IMAX(R) theatres currently scheduled to be operating throughout Europe at that time.

The new IMAX theatre, to be located within Disney Village, the night-time entertainment center of Disneyland Resort Paris, will be a flagship location for both EuroPalaces and IMAX within Europe and should be a central showcase for IMAX(R) DMR(TM) films. The successful launch of IMAX DMR (Digital Re-Mastering), IMAX's revolutionary new proprietary technology that makes it possible for virtually any 35mm live-action film to be transformed into the unparalleled image and sound quality of The IMAX Experience(R), has been an important contributor in new theatre signings for IMAX worldwide.

"The new Disney Village IMAX Theatre is an important step in both IMAX's commercial strategy and the Company's expansion through Europe," said IMAX co-Chairmen and co-CEOs and Richard L. Gelfond and Bradley J. Wechsler. "We are thrilled to be working with EuroPalaces, one of the largest commercial exhibitors in Europe as well as with Disneyland Resort Paris to bring Europeans and Disney guests the ultimate film experience. It is a very exciting opportunity for IMAX to be able to work with such a notable operator and to be located at such a renowned destination venue. We believe that the success of IMAX DMR as well as the success of other recent European openings will help drive additional theatre signings across Europe."

"The opening of the new IMAX theatre will widen the entertainment offer at Disney Village which is a powerful and unique destination in the Paris area," said Eduardo Malone, Chairman of EuroPalaces and Co-chairman of Pathe. "EuroPalaces is already operating the successful Gaumont Disney Village multiplex (15 screens, 3,500 seats), and as the leading exhibitor in France, will bring its unique know-how to provide moviegoers with The IMAX Experience."

EuroPalaces currently operates in countries across Europe, including France, Italy, Switzerland and the Netherlands and is poised to potentially be the leading cinema operator in Europe with plans to operate more than 1000 screens by the end of 2006. EuroPalaces was created in 2002 through the merger of Gaumont and Pathe cinemas.

About IMAX Corporation:

Founded in 1967, IMAX Corporation is one of the world's leading entertainment technology companies. IMAX's businesses include the creation and delivery of the world's best cinematic presentations using proprietary IMAX and IMAX(R) 3D technology, and the development of the highest quality digital production and presentation. IMAX theatres feature the highest quality film presentations on screens that are up to eight stories high and 120 feet wide surrounded by 12,000 watts of pure digital sound to create The IMAX Experience. In 2002, IMAX introduced its revolutionary, proprietary IMAX DMR (Digital Re-mastering) technology, making it possible for virtually any 35mm live-action 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 family entertainment experiences. As of March 31 2003, there were more than 230 IMAX theatres operating in 34 countries.

IMAX(R), IMAX(R)3D, The IMAX Experience(R) and IMAX(R) DMR(TM) 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 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 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 for the year ended December 31, 2002 and in the subsequent reports filed by the Company with the Securities and Exchange Commission.

SOURCE IMAX

Media, Romi Schutzer, +1-212-821-0144, or rschutzer@imax.com,
or Analysts, Stephen G. Abraham, +1-212-821-0140, or sabraham@imax.com, both
of IMAX Corporation; or Business Media, Whit Clay of Sloane & Company,
+1-212-446-1864, or wclay@sloanepr.com; or Entertainment Media, Al Newman of
Newman & Company, +1-818-784-2130, or asn@newman-co.com, for IMAX Corporation
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