IMAX Expands Revenue Sharing Agreement With Cineworld Group For Up To Five New Theatres In The UK
NEW YORK, May 29, 2012 /PRNewswire/ -- IMAX Corporation (IMAX) (NYSE: IMAX; TSX: IMX) and Cineworld Group PLC, the UK's largest cinema chain, today announced an expansion of the companies' revenue sharing agreement with the addition of up to five new IMAX® theatre systems. Under the terms of the new agreement, three IMAX theatres will be installed into existing Cineworld multiplexes with an option to increase that number to five. The first two theatres systems are scheduled to open in Enfield and Birmingham in October 2012, with the remaining system expected to open in Nottingham in the beginning of 2013.
After opening three IMAX theatres since December 2011 in Edinburgh, Crawley and Sheffield, Cineworld is increasing its total IMAX commitment from three to six (the additional option taking the total to eight). The deal also brings the total number of IMAX theatres open or contracted to open in the UK to 22 (24 including the option), 19 of which are currently open.
"The response from our customers to our recently opened IMAX theatres has been overwhelmingly positive, and today's agreement is a direct result of our success to date," said Crispin Lilly, Vice President of Business Affairs, Cineworld Group PLC. "IMAX is a key differentiator for our multiplexes and we're delighted to bring the unique, premium, immersive cinematic experience that only IMAX delivers to a wider audience across the UK."
"It's great to see that in such a short time Cineworld is already seeing results with IMAX and adding more theatres to its circuit, which points to a growing momentum for IMAX in EMEA," said IMAX CEO, Richard L. Gelfond. "As one of the region's leading exhibitors, Cineworld is an excellent partner to help us fully maximize our opportunities in the key UK market."
IMAX's digital theatre system delivers The IMAX Experience® and helps drive profitability for studios, exhibitors and IMAX theatres by eliminating the need for film prints, increasing program flexibility and ultimately increasing the number of movies shown on IMAX screens. The system can run both IMAX and IMAX ® 3D presentations.
About Cineworld Group
Cineworld Group was founded in 1995 by Steve Wiener, the current Chief Executive, and is now the #1 UK cinema chain by both box office and admissions. The Group operates 79 cinemas across the UK & Ireland of which 76 are multiplex sites with five screens or more. In 2007 Cineworld successfully floated on the London Stock Exchange.
More information can be found at www.cineworld.co.uk
About IMAX Corporation
IMAX Corporation is one of the world's leading entertainment and technology companies, specializing in the creation and delivery of premium, awe-inspiring entertainment experiences. With a growing suite of cutting-edge motion picture and sound technologies, and a globally recognized entertainment brand, IMAX is singularly situated at the convergence of the entertainment industry, innovation and the digital media world. The industry's top filmmakers and studios are utilizing IMAX theatres to connect with audiences in extraordinary ways, and as such, the IMAX network is among the most important and successful theatrical distribution platforms for major event films around the globe. The Company's new digital projection and sound systems - combined with a growing blockbuster film slate - are fueling the rapid expansion of the IMAX network in established markets such as North America, Western Europe, and Japan, as well as emerging markets such as China and Russia. IMAX deliver the world's best cinematic presentations using proprietary IMAX®, IMAX 3D®, and IMAX DMR® (Digital Re-Mastering) technologies. IMAX DMR enables virtually any motion picture to be transformed into the unparalleled image and sound quality of The IMAX Experience®.
IMAX is headquartered in New York, Toronto and Los Angeles, with offices in London, Tokyo, Shanghai and Beijing. As of March 31, 2012, there were 643 IMAX theatres (510 commercial multiplex, 20 commercial destination and 113 institutional) in 52 countries.
IMAX®, IMAX® 3D, IMAX DMR®, Experience It In IMAX®, An IMAX 3D Experience® and The IMAX Experience® are trademarks of IMAX Corporation. More information about the Company can be found at www.imax.com. You may also connect with IMAX on Facebook (www.facebook.com/imax), Twitter (www.twitter.com/imax) and YouTube (www.youtube.com/imaxmovies).
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, but are not limited to, general economic, market or business conditions, including the length and severity of the current economic downturn, the performance of IMAX DMR films, the opportunities that may be presented to and pursued by IMAX, competitive actions by other companies, conditions in the in-home and out-of home entertainment industries, the signing of theatre system agreements, changes in law or regulations, conditions, changes and developments in the commercial exhibition industry, the failure to respond to changes and advancements in digital technology, the failure to convert theatre system backlog into revenue, new business initiatives, investments and operations in foreign jurisdictions and any future international expansion, the inability to protect IMAX's intellectual property foreign currency fluctuations and IMAX's prior restatements and the related litigation. These factors and other risks and uncertainties are discussed in IMAX's most recent Annual Report on Form 10-K and most recent Quarterly Reports on Form 10-Q.
For additional information please contact:
IMAX Corporation New York
Principal Communications Group Los Angeles
Melissa Zuckerman/Paul Pflug
IMAX Corporation New York
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T +44 (0)20 7920 2339
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SOURCE IMAX Corporation