Cineplex Odeon Corporation and the Compagnie France Film Announce Plans to Build the Magnificent 20-Screen Latin Quarter Megaplex in Montreal, Quebec.

TORONTO--(BUSINESS WIRE)--Aug. 27, 1996--CINEPLEX ODEON CORP. (NYSE, TSE: CPX) Cineplex Odeon Corporation today announced plans, in conjunction with the Compagnie France Film Inc., owner and operator of the Theatre Saint-Denis, to invest $25 million in the development of a 20-screen, leading-edge megaplex in the Latin Quarter, which is destined to be a major and unparalleled entertainment attraction in the city of Montreal. The easily accessible theatre will be located in the very heart of the city and encompass the entire south side of Emery Street between St-Denis and Sanguinet Streets.

The expansive 100,000 square foot, 2-level megaplex will seat in excess of 3,200 guests in luxury and comfort, featuring large, curved screens and stadium-style seating in eleven of the auditoriums.

Construction is scheduled to begin the fall of 1996 and is expected to be completed by the end of 1997, in time to meet the demands of the holiday movie season. The creation of this dynamic new cinema complex will result in approximately 100 permanent and part-time job opportunities.

The theatre will be an integral part of the Latin Quarter complex, which will house boutiques and restaurants, and offer convenient indoor parking for 200 cars. The development will provide Montrealer's with a first-class, all-encompassing cultural, retail and entertainment experience.

Included in the plan is a 6,000 square foot "Cinescape" multi-media entertainment centre, which will offer guests a multitude of recreational and leisure elements under one roof, including a diverse selection of cutting-edge amusements such as electronic motion simulation games and animated video attractions. The theatre's sixteen concession stands will ensure expedient service while the Cinecafe will enhance the traditional selection of concession items.

Allen Karp, President and Chief Executive Officer of Cineplex Odeon Corporation stated, "We are extremely proud to be involved in the development of this very important cinema complex, which will be one of the largest and most exciting in our circuit."

President and General Manager of the Compangnie France Film, Pierre Rene commented, "It has in fact been ten years that our company has looked forward with great anticipation to providing this location with a sophisticated entertainment complex that would serve diverse cultural purposes and which would complement the existence of the Theatre Saint-Denis cinema."

The state-of-the-art Latin Quarter cinema complex will incorporate the most advance film presentation and sound technology, with Dolby Stereo Sound in addition to DTS and SDDS in select auditoriums. All auditoriums will be accessible to handicapped patrons and incorporate chairs with transfer arms - a swing-away design that allows wheelchair patrons to sit comfortably on aisle seats. All auditoriums will offer hearing impaired listening devices with wireless headsets supplied free that broadcast in FM sound and provide adjustable amplified sound.

Architect Franco L. Russo of the well-known Montreal architectural firm, Ruccolo-Faubert, along with Gerald Labelle, esteemed designer with Roux, Labelle, and the design and construction department of Cineplex Odeon are collaborating on the project.

Cineplex Odeon is an entertainment corporation which owns and operates motion picture cinemas and related food service concessions in 6 Canadian provinces, 12 U.S. states and the District of Columbia. With headquarters in Toronto, Cineplex Odeon is one of the largest exhibitors in North America and the largest in Canada, with 1,461 screens in 312 locations. The Corporation's shares are traded on the New York Stock Exchange and the Toronto Stock Exchange.

CONTACT: Cineplex Odeon Corporation

Howard Lichtman, 416/323-6634

or

Cineplex Odeon Corporation - Montreal, Quebec

Anna Klimalanka-Leroux, 514/374-7440