IMAX Corporation (IMAX) reported earlier today that Catalyst Fund Limited Partnership II has officially withdrawn their pertinent lawsuit against the company.

Catalyst was seeking to invalidate the general consent that was reached in the company deciding to extend the filing deadline for the company’s financial reports and debt default status.

IMAX viewed the suit as being frivolous and without merit, and worked attentively towards having the case dismissed through the New York Supreme Court. It was not until October 9, 2007 that Catalyst asked the Supreme Court for their permission to have the civil suit withdrawn. However, Catalyst also filed another suit in Canada for the same purpose. IMAX is contesting that application as well, and holds the same views as the case within the United States.

Catalyst unsuccessfully attempted to trigger an event of default under the Company’s senior notes payable. Catalyst issued a purported notice of default dated October 10, 2007. The Company believes it is in compliance with the senior notes indenture and that Catalyst’s claims are without merit.

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