IMAX to Enter Two New Markets With First IMAX(R) Theatres in Guatemala and Costa Rica

TORONTO, March 8 /PRNewswire-FirstCall/ - IMAX Corporation (NASDAQ: IMAX; TSX: IMX) today announced agreements to install two IMAX(R) theatre systems at multiplex locations in Guatemala City, Guatemala and San Jose, Costa Rica, the first IMAX theatres scheduled to open in each country. The deals are with Circuito Alba and Repretel, leading media and entertainment companies with operations in Guatemala and Costa Rica, respectively.

The two agreements reflect the considerable interest IMAX is seeing from commercial exhibitors around the world, as additional operators move to capitalize on the success of Hollywood blockbusters in IMAX's format. In just the past two months, IMAX has announced a series of deals for multiplex-based IMAX theatres in Europe, Asia and the Middle East. The agreements announced today broaden the Company's footprint in the rapidly developing Latin American market, increasing the number of countries in the region scheduled to have an IMAX theatre by the end of 2007 to five.

"The compelling economics of including an IMAX theatre as part of a multiplex are relevant everywhere in the world," said IMAX co-Chairmen and co-CEOs Richard L. Gelfond and Bradley J. Wechlser. "Latin America is a relatively untapped market where we have the opportunity to expand into many other countries across the region and these deals underscore that potential. We're very excited to be partnering with two of Latin America's most successful entertainment companies - Circuito Alba and Repretel - to introduce The IMAX Experience(R) to moviegoers in Guatemala and Costa Rica. We believe these new theatres will help fuel growth of our network across Central and South America."

"The IMAX Experience has been very well received by visitors to IMAX theatres in Guayaquil, Ecuador and throughout Mexico," said Ricardo Villanueva, Circuito Alba. "The success of these theatres, as well as the excellent performance of Hollywood movies in IMAX's format, provided the impetus for us to open IMAX theatres in Guatemala and Costa Rica. We feel IMAX represents a profitable business opportunity and look forward to working with the Company to offer Central America's moviegoers a cinematic experience unlike any they've had before."

The Guatemalan theatre will be operated by Circuito Alba, the leader in the country's cinema business, as part of a nine-screen multiplex in the developing 225-store Pradera-Concepcion mall, and is anticipated to open by the end of this year. The theatre in San Jose will be operated by Repretel, a leading TV, radio and media company in Costa Rica, and is scheduled to open during 2006, with the specific location to be announced. Both locations will be capable of playing Hollywood event films converted into the unparalleled image and sound quality of The IMAX Experience, as well as original IMAX productions in 2D and IMAX(R) 3D.

About IMAX Corporation

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Founded in 1967, IMAX Corporation is the newest distribution platform for Hollywood content and 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(R) (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 September 30, 2004, there were more than 235 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

CONTACT: Media: IMAX Corporation, New York, Romi Schutzer, (212) 821-0144, rschutzer@imax.com; Business Media: Sloane & Company, New York, Whit Clay, (212) 446-1864, wclay@sloanepr.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 (IMX. IMAX)