TORONTO, April 13 /CNW/ - IMAX Corporation (NASDAQ: IMAX; TSX:IMX) (the
"Company") announced today that it has received consents from the holders of a
majority of its $160 million aggregate principal amount of outstanding 9 5/8%
Senior Notes due 2010 (the "Senior Notes") to extend the deadline to file its
Annual Report on Form 10-K for the year ended December 31, 2006 and all other
reports required to be filed by it under the Securities Exchange Act of 1934,
until May 31, 2007 or at its election until June 30, 2007. The consent will
constitute a waiver of any existing defaults arising from a failure to comply
with the reporting covenant under the indenture governing the Senior Notes.
The Company also announced today that it has extended the consent
deadline for the consent solicitation until 12:01 p.m., New York City time, on
April 16, 2007, and additional holders may consent or consenting holders may
revoke consents prior to such time. Holders of the Senior Notes are referred
to the Company's Consent Solicitation Statement dated April 3, 2007 and the
related Consent Form for the detailed terms and conditions of the consent
The Company expects that the Company and the trustee under the indenture
governing the Senior Notes will execute a supplemental indenture to effect the
proposed amendments and waiver at or shortly after 12:01 p.m., New York City
time, on April 16, 2007.
In addition, the Company was informed by the holder referenced in the
Company's Consent Solicitation Statement dated April 3, 2007 as having agreed
to consent its Senior Notes that the holder was unable to consent with respect
to $25.1 million aggregate principal amount of Senior Notes beneficially owned
by such holder.
The Company has retained Global Bondholder Services Corporation to serve
as its information agent and tabulation agent for the consent solicitation.
Requests for documents should be directed to Global Bondholder Services
Corporation at (866) 857-2200 (toll-free) or (212) 430-3774. The Company has
also retained Credit Suisse as solicitation agent for the consent
solicitation. Questions concerning the terms of the Consent Solicitation
should be directed to Credit Suisse, Attention: Liability Management Group, at
(212) 325-7596 (collect).
This announcement is not an offer to purchase or sell, a solicitation of
an offer to purchase or sell or a solicitation of consents with respect to any
securities. The consent solicitation is being made solely pursuant to the
Company's Consent Solicitation Statement dated April 3, 2007 and the related
About IMAX Corporation
IMAX Corporation is one of the world's leading entertainment technology
companies, specializing in digital and film-based motion picture technologies.
The worldwide IMAX(R) 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 display crystal-clear images on the world's biggest
screens, and the IMAX brand is recognized throughout the world for
extraordinary and immersive entertainment experiences for consumers. As of
September 30, 2006, there were 280 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
management 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, the outcome of the Company's current accounting review, risks
arising from potential material weaknesses in internal control over financial
reporting, the ability to satisfy the reporting covenant by the amended filing
deadlines, risks associated with the inability to obtain the requisite
consents, the extent and impact of the restatement of our financial
statements, the outcome of the appeal of the NASDAQ Staff Determination letter
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 for the year ended
December 31, 2005.
For further information:
For further information: Media: IMAX Corporation, New York, Sarah
Gormley, (212) 821-0155, email@example.com; Business Media: Sloane & Company,
New York, Whit Clay, (212) 446-1864, firstname.lastname@example.org; Investors: Integrated
Corporate Relations, Amanda Mullin, (203) 682-8243, Amanda.Mullin@icrinc.com