Prestigious Space Institution Upgrades Existing IMAX(R) Theatre

Timed to Release of Magnificent Desolation: Walking on the Moon 3D

TORONTO, Sept. 29 /PRNewswire-FirstCall/ - IMAX Corporation (Nasdaq: IMAX; TSX: IMX) today announced that Kennedy Space Center Visitor Complex is upgrading the capabilities of its 2D IMAX(R) theatre to present The IMAX 3D Experience(R). The Visitor Complex is home to two IMAX theatres, the first of which opened in 1984. That theatre received an additional projection unit this month, which is being installed and will enable it to present films in stunning IMAX(R) 3D. Kennedy Space Center's other IMAX theatre is already capable of showing IMAX 3D films, and given emphatic consumer response to the format, the Space Center moved to offer IMAX 3D presentations in both theatres.

"IMAX's critically-acclaimed space films offer the most realistic representation of what it's like to be in outer space, and IMAX 3D takes the experience to another level completely," said Dan LeBlanc, Chief Operating Officer, Kennedy Space Center Visitor Complex. "We've seen tremendous consumer demand for The IMAX 3D Experience, so we felt it would be advantageous to offer even more great IMAX space films in this unparalleled format. It was exciting to begin showing Magnificent Desolation: Walking on the Moon 3D this past weekend, which was heavily attended and enables moviegoers to walk alongside the twelve brave astronauts that have been fortunate enough to stand on the lunar surface."

"The Kennedy Space Center has been a fantastic venue for our highly successful space films and we're very pleased to see this world renowned institution move to offer The IMAX 3D Experience in both of its theatres," said IMAX Co-CEO's and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "With the release of Magnificent Desolation: Walking on the Moon 3D, we have once again taken moviegoers to where very few have gone, and continue to reinforce IMAX 3D as the most advanced three-dimensional cinematic experience in the world."

Presented and narrated by Tom Hanks, Magnificent Desolation: Walking on the Moon 3D features rarely seen NASA footage, CGI imaging and live-action renditions of the lunar landscape to propel audiences nearly a quarter-million miles above the Earth's surface. The film is the next in a series of extremely successful IMAX space titles, which have grossed more than $350 million and been enjoyed by over 85 million people worldwide.

About IMAX Corporation

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Founded in 1967, IMAX Corporation is one of the world's leading entertainment technology companies and the newest distribution window for Hollywood films. IMAX delivers the world's best cinematic presentations using proprietary IMAX, IMAX 3D, and IMAX DMR(R) 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(R). The IMAX brand is recognized throughout the world for extraordinary and immersive entertainment experiences. As of June 30, 2005, there were 259 IMAX theatres operating in more than 36 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR , The IMAX Experience(R) and The IMAX 3D 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 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; 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