We have recently received several unsolicited inquiries, and believe this preliminary interest shows that there is awareness of the strength and attractive qualities of our business.

The record-breaking box office year at IMAX theatres combined with our unprecedented film slate for 2006 is generating greater interest from domestic exhibitors. Goodrich Quality Theaters represents the growing number of innovative exhibitors who realize the earning potential of the IMAX theatre business. We are confident that the continued box office success of Hollywood event films in IMAX theatres will drive network growth, both in domestic and international markets.

We are excited to expand our partnership with Sony Pictures to bring Open Season to IMAX theatres in September. Sony Pictures has always produced incredible films, and as the studio invests in the animation business, the addition of Open Season to our strong 2006 film slate will enable IMAX theatre operators to attract moviegoers of all ages through the fall season.

We believe 'V For Vendetta' is a fantastic addition to the IMAX 2006 film slate, especially given the popularity of 'The Matrix series' and our own excitement upon screening the film. IMAX now has more films slated for day- and-date release in a single year than ever before. Beginning with this film, we expect a Hollywood film to be released to the IMAX theatre network every six to eight weeks in 2006, and we are confident that the rising number of event titles will continue to drive the growth of the IMAX theatre network worldwide.

Warner Bros. Pictures has done a masterful job in turning a magical story into a captivating film, and executing a flawless marketing and distribution campaign, which has resulted in record-breaking grosses as well as advance ticket sales throughout the IMAX theatre network - providing an excellent indication of the box office legs of the movie. Warner Bros. has consistently delivered fantastic films to the growing IMAX theatre network, and we're thrilled that our partnership is continuing to get more people out of their homes and back into theatres to experience the greatest movies in a truly unique and premium way in both 2D and IMAX¨ 3D.

As we kick-off one of our most exciting holiday seasons yet with our partners at Warner Bros. Pictures, we're thrilled to report a record-breaking week and weekend at IMAX theatres. The sustained box office performance of 'Harry Potter and the Goblet of Fire: The IMAX Experience' and the better-than- expected opening weekend results of 'The Polar Express: An IMAX 3D Experience' proves that the two films play very well together, maximizing IMAX theatre show schedules at all times of the day. We are confident that both films will generate healthy financial returns for Warner Bros. Pictures and the growing IMAX theatre network.