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Non-Tech : IMAX 3D-the wave of the future -- Ignore unavailable to you. Want to Upgrade?

To: Helmut who wrote (139)	11/12/1999 10:37:00 AM
From: Helmut	Respond to of 170

Imax shares rocket 18 percent By Jon Friedman, CBS MarketWatch Last Update: 6:27 PM ET Nov 11, 1999 NewsWatch TORONTO (CBS.MW) -- Shares of Imax Corp., known to the public as the company behind the fascinating big-screen movies, zoomed 18 percent on Thursday following third quarter earnings that beat Wall Street's estimates. Toronto-based Imax (IMAX: news, msgs) reported net profit of $3.2 million, or 11 cents a share, for the period ended Sept. 30, compared to $7.1 million, or 23 cents a share, in the same period last year Analysts polled by First Call/Thomson Financial had forecast earnings per share of 10 cents. Although analysts stressed the earnings of the company for the gain in its stock, they didn't discount the potential appeal of Imax to a Hollywood suitor seeking to increase its ties to family audiences. Investment banking boutique Wasserstein Perella has owned about 34 percent of Imax. "It would make sense that big entertainment companies are looking at Imax," said Angela Auchey, entertainment analyst at Federated Investors in Pittsburgh. "The management has done a great job and the entertainment industry is in a period of consolidation. Plenty of companies would want to buy it." The list of possible suitors, analysts have said over the years, could include the biggest names in the business, such as Walt Disney [dis] or Time Warner [twx]. Imax's co-chief executive, Brad Wechsler wasn't immediately available Thursday to comment on potential alliances. The company makes and leases projection and sound systems for about 200 giant-screen Imax theaters in 25 countries. The theaters are owned by museums, science centers and commercial operators and are licensed to employ the Imax name. They pay maintenance and royalty fees to Imax. Some Imax-theater screens have a height of 80 feet, maximizing the excitement over the years of such widely varied Imax productions as "Everest," "T-REX: Back to the Cretaceous" and "The Rolling Stones at the Max." Lately, Imax has had more good news to tell investors, who have seemed to cool toward the company, which had been white-hot a few years ago. In this three-month period, Imax signed agreements for nine Imax theater systems with a value of $28.9 million, including venues in Egypt and Shanghai. This week, Imax sealed the deal with China's government-supported Shanghai ScienceLand for two theaters to open in 2001. Imax, which has a theater scheduled to open in Shanghai late next year and one in operation in Hong Kong, said it wanted to introduce a theater in southern China and another in Beijing as well. Imax is unique, even in Hollywood. Founded in 1967, it boasts more than 200 Imax theaters in 25 countries, as of Sept. 30. More than 500 million people have seen Imax presentations since their debut in 1970, the company said, pointing out that 70 million will have seen Imax entertainment features by year-end in 1999 alone. Jon Friedman is an online reporter for CBS MarketWatch.