TORONTO, Jan. 3 /PRNewswire-FirstCall/ - IMAX Corporation (NASDAQ:IMAX; TSX:IMX) announced today that on December 21, 2007 it received a summons and complaint from the trustee under the indenture (the "Indenture") governing the Company's senior notes, seeking a declaratory judgment confirming IMAX's position that The Catalyst Fund Limited Partnership II ("Catalyst") has no basis for its legal claims against IMAX under the Indenture.

The trustee, U.S. Bank National Association (the "Trustee") is seeking a judgment affirming its own, independent conclusions that, despite Catalyst's repeated claims to the contrary, absent a finding of bad faith: (1) no event of default existed under the Indenture as of November 6, 2007, (2) the maturity of the Company's $160 million of 9 5/8% Senior Notes due December 1, 2010 (the "Senior Notes") was not accelerated as of November 6, 2007, and (3) Catalyst has no basis for legal action under the Indenture.

On October 29, 2007, IMAX received a letter from Catalyst, advising the Company that it had instructed the Depository Trust Company, through its nominee Cede & Co., to issue immediately a notice of acceleration to the Company, pursuant to the Indenture, to accelerate the maturity of the principal amount of the Senior Notes and any accrued interest. The Company had previously received seven purported notices of default from Catalyst, who unsuccessfully opposed the Company's consent solicitation in April 2007, all alleging that IMAX breached the financial reporting covenant and related provisions under the Indenture and that such breaches constitute defaults under the terms of the Indenture. On September 7, 2007, Catalyst brought an action in the Ontario Superior Court of Justice, seeking, among other things, a ruling that IMAX is in default under the Indenture.

It is the Company's position that no default or event of default has occurred or is continuing under the Indenture, and accordingly no bondholder has the right to deliver an acceleration notice and the purported acceleration notice delivered by Catalyst is of no force or effect. The Trustee's complaint seeks a declaration confirming this position.

About IMAX Corporation

IMAX Corporation is one of the world's leading digital entertainment and technology companies. 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(R) 3D, and IMAX DMR(R) technology. IMAX DMR is the Company's groundbreaking digital remastering technology that allows it to digitally transform virtually any conventional motion picture into the unparalleled image and sound quality of The IMAX Experience(R). IMAX's renowned projectors and new digital systems display crystal-clear images on the world's biggest screens. The digital system being developed by IMAX is configured for an IMAX MPX-style auditorium, which is designed specifically to enable multiplex operators to more cost effectively enter into the IMAX theatre business. The IMAX brand is recognized throughout the world for extraordinary and immersive entertainment experiences for consumers. As of September 30, 2007, there were 296 IMAX theatres operating in 40 countries.

IMAX(R), IMAX(R) 3D, IMAX DMR(R), IMAX MPX(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 IMAX 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 financial reporting and accounting, 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, risks arising from potential material weaknesses in internal control over financial reporting 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 IMAX's Annual Report on Form 10-K/A for the year ended December 31, 2006, as well as IMAX's Quarterly Reports on Form 10-Q/A and Form 10-Q.

SOURCE  IMAX Corporation
    -0-              01/03/2008
    /CONTACT: Media: IMAX Corporation, New York, Sarah Gormley, (212)
821-0155, sgormley@imax.com; Entertainment Media: Newman & Company, Los
Angeles, Al Newman, (310) 278-1560, asn@newman-co.com; Investors: Integrated
Corporate Relations, Amanda Mullin, (203) 682-8243; Business Media: Sloane &
Company, New York, Whit Clay, (212) 446-1864, wclay@sloanepr.com/
    (IMX. IMAX)

CO:  IMAX Corporation
ST:  Ontario
IN:  ENT FLM
SU:  LAW

    -30-

NM
-- TO309 --
0538 01/03/2008 09:00 EST http://www.prnewswire.com