IMAX INKS $100-MILLION CHINA DEAL

While Hollywood movie studios are accusing China of dragging its feet in complying with a WTO order to lift its import restrictions on foreign movies, IMAX on Wednesday indicated that it is encountering no such barriers in that country. The giant-screen company announced that it had signed a deal with Wanda Cinemas, China’s leading exhibitor (71 theaters, 600 screens), to build 75 IMAX screens over the next three years, which will bring the total number of IMAX screens in China to 177. According to trade reports, the deal is worth about $100 million. The deal also includes a revenue-sharing agreement that was not spelled out in a joint news release. In the release, IMAX CEO Richard Gelfond said, “We have been working for almost a year on a new corporate and legal structure to operate in China to reflect our expanding business in the region and facilitate our transition to the increased use of a joint revenue-sharing model. This agreement with Wanda gives us significant momentum to expand our network in China.”