TORONTO, April 24 /PRNewswire/ -- Imax Corporation (Nasdaq: IMAX; TSE: IMX) today announced that it expects that its earnings for the first quarter ended March 31, 2000 will be better than expected. The Company currently expects earnings to be in the range of $0.09-$0.10 per share on a fully diluted basis exceeding current analyst estimates of $0.07 per share and exceeding the $0.07 per share recorded in the first quarter of 1999. Imax is scheduled to release first quarter results May 10, 2000.

"Our first quarter results will show the positive impact of our two key strategic initiatives -- attracting Hollywood film product to IMAX(R) theatres and growing our new Digital Projection International (DPI) subsidiary," said Imax co-Chief Executive Officers Richard L. Gelfond and Bradley J. Wechsler. "The success of Fantasia/2000:The IMAX Experience(R) has proven that IMAX theatres can be a successful release window for Hollywood films. DPI is generating stronger results than we originally anticipated and in the first quarter, we expect DPI will report the highest revenues for any quarter in its history."

On January 1, 2000, The Walt Disney Company released Fantasia/2000: The IMAX Experience exclusively in 75 IMAX theatres and the film has become the fastest grossing large-format film in history, exceeding the expectations of both Imax and The Walt Disney Company. Many IMAX theatres have experienced record box office results and the film has grossed more than $55 million since its release. Fantasia/2000 is scheduled to run exclusively in IMAX theatres through April 30, 2000.

In September 1999, the Company acquired DPI, one of the world's leading designers and manufacturers of digital image delivery systems capable of projecting high quality images on large screens from video, computer or HDTV sources. DPI was instrumental in Texas Instruments (TI) Inc.'s initial development of the Digital Micromirror Device(TM) technology that drives these projectors and its systems have been showcased at premiere events and film festivals around the world including the Oscars(R), the Emmys(R) and the Grammys(R). DPI is planning an aggressive roll-out of advanced digital projectors utilizing DLP Cinema(TM) projection technology from TI. The Company believes new markets are emerging for DPI's products including applications for digital cinema in conventional movie theatres and digital media networks including location based advertising systems.

Imax Corporation is one of the world's leading entertainment technology companies, with particular emphasis on film and digital imaging technologies including giant-screen images, 3D presentations, post-production and digital projection, and the IMAX(R) brand is one of the world's most recognized entertainment brands. As of December 31, 1999, there were more than 205 IMAX theatres operating in 25 countries around the world. Imax has forged strategic alliances and relationships with some of the most prominent corporations in the world including The Walt Disney Company, Famous Players Inc. (a subsidiary of Viacom Inc.), America Online Inc. and Loews Cineplex Corp. The Company's web site is located at http://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 effect 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, and foreign currency fluctuations. 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, 1999 and in the subsequent reports filed by the Company with the Securities and Exchange Commission.

Digital Micromirror Device and DLP Cinema are trademarks of Texas Instruments. SOURCE Imax Corporation

CONTACT: Victoria Dinnick, Imax Corporation, Toronto, 905-403-6366, Stephen Abraham, Analysts, Imax Corporation, New York, 212-821-0140/