Trustee of IMAX Senior Notes Seeks Judgment in New York Confirming IMAX's Position That Catalyst Has No Basis for Claims



    TORONTO, Jan. 3 /CNW/ - 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.





For further information:

For further information: 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

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