Cinepolis to Install Three IMAX(R) Theatres, With First to Open in Time for Release of Warner Bros. Pictures' 'The Polar Express: An IMAX 3D Experience' this November Third Multi-Theatre Agreement for IMAX in the Last Six Weeks

MEXICO CITY, MEXICO, Sep 20, 2004 /PRNewswire-FirstCall via COMTEX/ -- IMAX Corporation (Nasdaq: IMAX; TSX: IMX) and Cinepolis, the largest exhibitor in Latin America and eighth largest in the world with more than 1,100 screens, today announced an agreement to install three IMAX(R) theatre systems at Cinepolis multiplexes throughout Mexico. The first theatre will be located in Mexico City at Cinepolis Perisur, the highest grossing multiplex in the country, and is expected to open in time for the highly-anticipated November release of Warner Bros. Pictures' The Polar Express: An IMAX 3D Experience - the world's first feature-length Hollywood IMAX(R) 3D film. This brings the total number of recently signed IMAX theatres scheduled to open for the film's release to five.

The deal advances both IMAX's commercial and international growth strategies, bringing moviegoers in one of the world's largest cities the most powerful and unique way to experience Hollywood event films. It is also the third multi-theatre deal IMAX has signed in just the past six weeks, indicating that exhibitors are beginning to embrace IMAX theatres as a way to drive additional box office revenues and offer a differentiated cinematic experience.

"We believe IMAX represents an exciting and profitable business opportunity, and were most impressed by the results IMAX DMR(R) and original IMAX 3D releases have posted around the world," said Alejandro Ramirez, Deputy CEO of Cinepolis. "We are committed to providing our customers with an unrivaled entertainment offering, and opening our first theatre with The Polar Express: An IMAX 3D Experience - the first Hollywood event film ever presented in IMAX 3D - will be the perfect way to introduce The IMAX Experience(R)."

"We are excited about the opportunity to put an IMAX theatre in one of the best locations in Mexico with such a great operator," said IMAX Co-CEO's and Co-Chairmen Richard L. Gelfond and Bradley J. Wechsler. "We have been talking to Cinepolis for six years, and the strength of our recent and upcoming film slate provided the impetus for the deal. With audiences around the world paying a premium for The IMAX Experience, and studios embracing IMAX theatres as a new release window, multiplex exhibitors are accelerating plans to join the IMAX theatre network and open in time for the IMAX 3D release of The Polar Express."

Cinepolis will retrofit an existing 8/70 large format auditorium for the installation at Cinepolis Perisur and it will be the first multiplex in Mexico to house an IMAX theatre. The second and third theatres will be new additions built onto existing cineplexes, with specific locations to be determined. All three Cinepolis IMAX theatres will be capable of showing Hollywood films that have been converted into IMAX's format using IMAX DMR technology, as well as original IMAX 2D and 3D films.

About Cinepolis

---------------

Founded in 1971, Cinepolis is the largest chain of cinemas in Latin America, with a total of 1,121 screens. Cinepolis is the leading exhibitor in Mexico, where it holds 45 per cent of the market share, and also has operations in Costa Rica and Guatemala, with openings scheduled soon in Panama. Cinepolis has a rich tradition of innovation, as evidenced by its new alliance with IMAX, through which it intends to bring Mexican moviegoers a powerful and unique cinematic experience, as well as further differentiate its entertainment offering.

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 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; CINEPOLIS, Mexico, Ramon Ramirez / Luis
Villavicencio, (52) 44 33 22 62 11, lvillavicencio@cinepolis.com.mx;
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)