Formula Kino to Install Digital IMAX(R) Theatre Systems in Country's Flagship Mall Developments

IMAX's New Theatre Contract Signing Momentum Continues

MOSCOW, July 1, 2010 (GLOBE NEWSWIRE) -- IMAX Corporation (Nasdaq:IMAX) (TSX:IMX) and Formula Kino, one of Russia's leading exhibition chains, today announced an agreement to install two digital IMAX(R) theatre systems in Russia before the end of 2010. The announcement follows a consistent run of strong IMAX box office performances in Russia, reflecting the growing interest in the IMAX business from exhibitors in the region. The deal brings the total number of IMAX theatres scheduled to be operating in Russia by 2012 to twelve. With this new IMAX theatre contract signing, IMAX has signed deals for 84 IMAX systems year-to-date, which compares to 35 system signings in all of 2009.

Under the terms of the deal, Formula Kino will install an IMAX system at the new Galleria Mall in St. Petersburg as well as a new system in the Mall of Russia, in the heart of Moscow. The first system is scheduled to be installed in time for the IMAX release of Harry Potter and the Deathly Hallows in November of this year, with the second system to follow shortly thereafter.

"The box office results that Russian IMAX theatres are posting clearly demonstrate the growing popularity of the IMAX brand in the region," said Andrei Tereshok, General Director, Formula Kino. "IMAX technology delivers a differentiated first-class movie experience that resonates well with Russian consumers and we are thrilled to be adding IMAX theatres to our flagship complexes in Russia's premier retail destinations."

"The rising Russian exhibitor interest in the IMAX business is a result of the real success that Russian IMAX theatres have had during the past year," said IMAX CEO Richard L. Gelfond. "By forging new partnerships with large, high-profile exhibitors like Formula Kino, we can continue to expand our audience base, grow our brand, and increase the visibility of our business for exhibitors in surrounding markets in Russia and the CIS."

Mr. Gelfond continued, "We're encouraged by the momentum we are experiencing with respect to theatre system signings in 2010. The combination of a strong film slate, growing theatre network and attractive business model gives us increased visibility into our future growth and we look forward to continuing to expand with both new and existing exhibition partners in the months and years ahead."

"This partnership secures our presence in two beautiful mall developments in Russia's major cities, which is an ideal way to build on our success and continue the execution of our growth strategy in the region," added Larry O'Reilly, IMAX's Executive Vice President of Theatre Development.

IMAX's digital theatre system delivers The IMAX Experience(R) and helps drive profitability for studios, exhibitors and IMAX theatres by eliminating the need for film prints, increasing program flexibility and ultimately increasing the number of movies shown on IMAX screens. The system can run both IMAX and IMAX(R) 3D presentations.

About Formula Kino

Formula Kino's first cinema "Strela" (The Arrow) opened in 1998 and is still one of the key cinemas in Moscow. Today the cinema chain has 11 modern cinemas in Moscow with 61 screens, 11959 seats and six million customers annually. Two more flagship complexes are scheduled to open later this year - one in Moscow's International Shopping Mall and the other in Saint Petersburg's Galleria Mall on Ligovsky Avenue.

"Formula Kino" is known for screening blockbusters and the most interesting films in the most comfortable environment with flexible pricing. The cinemas are now beloved leisure places for Moscow's inhabitants and they cover a wide variety of audiences - youth, family, art house -- and all the customer segments - luxury cinemas, casual "around the block" cinemas and shopping mall cinemas.

About IMAX Corporation

IMAX Corporation is one of the world's leading entertainment technology companies, specializing in immersive motion picture technologies. The worldwide IMAX network is among the most important and successful theatrical distribution platforms for major event Hollywood films around the globe, with IMAX theatres delivering the world's best cinematic presentations using proprietary IMAX, IMAX 3D, and IMAX DMR(R) technology. IMAX DMR is the Company's groundbreaking digital re-mastering technology that allows it to digitally transform virtually any conventional motion picture 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 for consumers. As of March 31, 2010, there were 438 IMAX theatres (316 commercial, 122 institutional) operating in 47 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR(R), An IMAX 3D Experience(R) and The IMAX Experience(R) are trademarks of IMAX Corporation. More information about the Company can be found at www.imax.com. You may also connect with IMAX on Facebook (www.facebook.com/imax), Twitter (www.twitter.com/imaxnews) and YouTube (www.youtube.com/imaxmovies).

The IMAX Corporation logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6469

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 ongoing discussions with the SEC and OSC relating to their ongoing inquiries and the Company's accounting, the performance of films, the signing of theatre system agreements, the viability of new technologies, businesses and products, 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, risks arising from potential material weaknesses in internal control over financial reporting and fluctuations in foreign currency and in the large format, general commercial exhibition and out-of-home entertainment markets. These factors and other risks and uncertainties are discussed in the Company's most recent Annual Report on Form 10-K and most recent Quarterly Reports on Form 10-Q.

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SOURCE: IMAX Corporation

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