Peace Cinema IMAX(R) Theatre is Top Performer For Spider-Man 2 In China

SHANGHAI, CHINA, Aug 24, 2004 /PRNewswire-FirstCall via COMTEX/ -- IMAX Corporation (NASDAQ: IMAX; TSX: IMX) and Evershining Large Format Theatre Management Corp., a division of Shanghai United Cinemas, today announced that the Peace Cinema IMAX(R) theatre has become one the top performing theatres in China, selling out over a dozen shows of Spider-Man 2 -- more than any other theatre in the region. The sequel to the 2002 box office sensation Spider-Man was digitally re-mastered into IMAX's format through IMAX's revolutionary IMAX DMR(R) (Digitally Re-Mastering) technology, for exhibition in IMAX theatres. The early success of IMAX DMR in China helps to build the momentum of IMAX's commercial strategy in the Company's fastest growing market.

"The popularity of the Peace Cinema IMAX theatre demonstrates the added value that The IMAX Experience(R) brings to our multiplex, and we are thrilled that Spider-Man 2: The IMAX Experience has drawn such an impressive number of moviegoers," said Wang Bozheng, General Manager of Peace Cinema. "The public's willingness to pay a premium ticket price clearly indicates that there is a demand to see Hollywood films in IMAX theatres, and so far, the feedback has been extremely positive."

"The strong performance of the Shanghai Peace Cinema IMAX theatre's first day and date release of an IMAX DMR film is an important indication of the worldwide appeal of IMAX DMR films," said Larry T. O'Reilly, Senior Vice President, Theatre Sales and Film Distribution, IMAX Corporation. "We have seen that when the popularity of an IMAX theatre grows in a new market, there is often demand for additional IMAX theatres in surrounding markets. The success of Spider-Man 2: The IMAX Experience at the Peace Cinema demonstrates that there is demand for The IMAX Experience in China and with the help of top exhibitors such as Shanghai United Cinemas, we look forward to continued success with our expansion in the region."

In addition to the IMAX Theatre at Peace Cinema, there are three other IMAX theatres currently operating in the region with several more scheduled to open. There are two IMAX theatres located at the Shanghai Science and Technology Museum, and one IMAX theatre located in Harbin, at the Heilongjiang Science and Technology Museum. China is IMAX's fastest growing market, with eleven theatres expected to be operating by 2006.

About Shanghai Evershining Giant Screen Theatre Co. Ltd.

Jointly invested and founded by Shanghai Evershining Culture (Group) Co., Ltd. and Shanghai United Cinema Line Co., Ltd. in October, 2003, Shanghai Evershining IMAX Theatre Co., Ltd.'s businesses include IMAX theatre operation and investment in potential IMAX theatres. Shanghai Evershining IMAX Theatre Co., Ltd. owns and operates the IMAX theatre at Peace Cinema, the first commercial IMAX theatre in China.

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 has developed revolutionary technology called IMAX DMR (Digital Re-mastering) that 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 family entertainment experiences. As of June 30, 2004, there were 240 IMAX theatres operating in 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, 2003 and in the subsequent reports filed by the Company with the Securities and Exchange Commission.

SOURCE Imax Corporation

Media: IMAX Corporation, New York, Romi Schutzer,
(212) 821-0144, rschutzer@imax.com; Entertainment Media: Newman & Company,
Los Angeles, Al Newman, (818) 784-2130, 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
(IMX. IMAX)