2020 ANNUAL REPORT LETTER to SHAREHOLDERS 4 Cineplex Inc

2020 Table of Contents Chair of the Board of Directors' Letter to Shareholders .....................................................................................4 Chief Executive Officer's Letter to Shareholders ...............................................................................................6 Management’s Discussion and Analysis..........................................................................................................9 Overview of Cineplex..................................................................................................................................10 Business Strategy.........................................................................................................................................20 Cineplex’s Businesses..................................................................................................................................21 Overview of Operations...............................................................................................................................27 Results of Operations...................................................................................................................................30 Balance Sheets.............................................................................................................................................45 Liquidity and Capital Resources..................................................................................................................48 Adjusted Free Cash Flow and Dividends.....................................................................................................55 Share Activity ..............................................................................................................................................56 Seasonality and Quarterly Results ...............................................................................................................58 Related Party Transactions ..........................................................................................................................60 Significant Accounting Judgments and Estimation Uncertainties ...............................................................60 Accounting Policies .....................................................................................................................................62 Risks and Uncertainties ...............................................................................................................................63 Controls and Procedures..............................................................................................................................73 Subsequent Events.......................................................................................................................................74 Outlook........................................................................................................................................................75 Non-GAAP Measures..................................................................................................................................77 Reconciliation: World Gaming Network LP................................................................................................82 Financial Statements and Notes ....................................................................................................................84 Management’s Report to Shareholders.........................................................................................................84 Independent Auditor’s Report.......................................................................................................................85 Consolidated Balance Sheets........................................................................................................................91 Consolidated Statements of Operations........................................................................................................93 Consolidated Statements of Comprehensive Income....................................................................................94 Consolidated Statements of Changes in Equity............................................................................................95 Consolidated Statements of Cash Flows.......................................................................................................96 Notes to Consolidated Financial Statements.................................................................................................97 Investor Information ....................................................................................................................................162 Cineplex Inc. Letter to Shareholders Letter from the Chair of the Board Dear fellow shareholders, It is my pleasure to address you today as the Chair of the Board of Directors of Cineplex Inc. As a former Cineplex board member and previous Chair of the Board, I am honoured to be back leading this great group of Directors and to be part of an organization that I believe in so strongly. In light of the ongoing public health concerns related to the spread of COVID-19, this year Cineplex will once again host a hybrid in-person and virtual Annual General Meeting (“AGM”) on Wednesday, May 19, 2021. Registered shareholders and duly appointed proxyholders can participate in- person or via live webcast, which will include voting on the motions put forward and the ability to ask questions, all in real-time. During a year that challenged us all, the Board remained guided by our corporate strategy, took strong, decisive action to ensure the ongoing viability of the Company and upheld our commitment to protect employees and support customers and communities. Navigating A Year Like No Other When I look back on 2020, I am extremely proud of the Cineplex team for managing through what was a truly unprecedented year in the company’s history. We began with a strong focus and commitment to completing the proposed Cineworld transaction, which was ultimately repudiated by Cineworld and is now in litigation. Then the pandemic hit in early March and the negative impact was significant for both the movie exhibition industry around the world, and the other industries in which we operate. Pivoting with great agility, the team’s top priorities were to protect the health and safety of employees and guests, as well as manage costs and address liquidity options to solidify the financial health of the Company. As a result, Cineplex significantly reduced operating and capital expenditures, worked with partners to abate or defer payments, initiated a number of liquidity measures, and focused on growing and supporting our diversified and online businesses. In anticipation of re-opening, the team also developed an industry-leading health and safety program to ensure that employees and guests feel comfortable when they return to our venues. Continued Good Governance and Corporate Citizenship Throughout this past year, the Board worked closely with senior management to ensure the financial health of the Company, in addition to focusing on our strategic direction and long-term value creation for shareholders beyond the current pandemic environment. All Directors have been extremely focused and involved, holding 21 full board meetings in 2020 to address the unusual challenges. Further, Cineplex’s dedication to being a good corporate citizen and community partner was made all the more evident this year, through our ongoing support of local communities across the country during the COVID-19 pandemic. Just one example of this includes hosting our annual Community Day fundraiser in 2020, which traditionally welcomes guests across Canada into our theatres for a morning of free movies. Instead of the in- theatre event, Cineplex raised money for Food Banks Canada by donating $1 from certain transactions on the Cineplex Store, as well as through our food delivery services. CINEPLEX INC. 2020 ANNUAL REPORT LETTER TO SHAREHOLDERS 4 Cineplex Inc. Letter to Shareholders Commitment to Inclusion and Diversity As we continue to prioritize inclusion and diversity within Cineplex, I am proud to report that our Board currently includes four members who identify as women, who together represent 44% of the Directors or 50% of the independent Directors. The Board also includes four members who identify as minorities, who together represent 44% of the Directors. Finally, three members of executive management of the Company, including its major subsidiaries, identify as women, representing 38% of executive management. In addition to the Company’s long standing commitment to inclusion, in 2020, Mr. Jacob signed the Black North Initiative CEO Pledge – acknowledging the existence of anti-Black systemic racism in Canada and ensuring that inclusion remains at the core of Cineplex’s workplace culture. The pledge includes a commitment to hire a minimum of one Black leader to fill an executive or Board member role in Canada by 2025. Also, in response to the social injustice happening in North America, Cineplex launched its ‘Understanding Black Stories’ collection – a curated collection of films to help educate and inform perspectives on Black storytelling and culture that were available as free rentals on the Cineplex Store. Path Forward: The Future is Bright Throughout 2020, the team took necessary actions to address the ongoing impact of the pandemic and liquidity needs of the company. We focused

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