DIGITAL PROJECTION'S DIGIMAX™ D-CINEMA PROJECTOR TO BE FEATURED AT LOS ANGELES FILM FESTIVAL

KENNESAW, Ga., April 2001 - Digital Projection, Inc. (DPI) - a wholly owned subsidiary of IMAX Corporation - today announced that its DIGIMAX™ digital cinema projector will be utilized for a digital screening of Vertical Limit at the 2001 Los Angeles Film Festival. The screening will be held in the Director's Guild of America theater on April 28 at approximately 10:15 a.m.

The DIGIMAX projector, based on DLP™ CinemaTM technology by Texas Instruments, will display the high-definition digital content on a 40-ft. wide cinema screen. Vertical Limit (courtesy of Sony Pictures) was digitally mastered from its original film-based format and will be stored on a digital server that is "fed" to the DIGIMAX projector as a bitstream. The DIGIMAX projector processes this data and displays it with premium clarity and superior brightness without the visual impurities associated with film.

Richard Raddon, Festival Director said, "DPI are the masters of digital projection technology. We wouldn't have chosen any other display system to showcase our festival films to such a discriminating audience of film-goers."

DPI will partner with American Hi Definition (AHD), a high-end production equipment / projection services company in Calabasas, California and authorized Digital Projection dealer, to supply the DIGIMAX projector for the event, one of the only rental units in the United States.

The two companies will also provide several of DPI's high-performance HIGHlite, POWER and LIGHTNING Display projectors, based on DLP™ technology by Texas Instruments, from its rental fleet for smaller festival venues that are scheduled to host additional digital films, including documentaries, features and shorts.

"This is a great opportunity to demonstrate to a discerning audience the outstanding image quality of which the Digital Projection DIGIMAX digital cinema projector is capable," said Doug Darrow, Business Manager for DLP Cinema™ products. "The DLP Cinema™ technology on which it is based is enabling a remarkable revolution to take place in the movie world, and Digital Projection are well placed to capitalize on the significant demand we expect to see."

The DIGIMAX projection system is the only digital cinema display that offers proprietary technology to maximize DLP Cinema™ performance as well as three models suited for the varied needs of the industry.