IMAGE ENTERTAINMENT INC
424B3, 1995-05-31
ALLIED TO MOTION PICTURE PRODUCTION
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                                                      Filed under Rule 424(b)(3)
                                             Registration Statement No. 33-43241



                                 SUPPLEMENT #3
                    to the Prospectus dated October 7, 1991,
                  the Supplement #1 dated April 30, 1992, and
                   the Supplement #2 dated September 17, 1992

The Prospectus (the "Prospectus") on Form S-3 (as supplemented by the Supplement
                     ----------                                                 
#1 dated April 30, 1992 and the Supplement #2 dated September 17, 1992) included
in the Registration Statement on Form S-8 dated October 7, 1991 (as amended by
Post-Effective Amendment No. 1 dated April 30, 1992) of Image Entertainment,
Inc., a California corporation (the "Company"), is hereby amended to add as a
                                     -------                                 
Selling Shareholder Stuart Segall, a member of the Company's Board of Directors.
At May 31, 1995, Mr. Segall beneficially owned 1,130,857 (7.86%) shares of the
Company's no par value common stock, 10,000 of which are issuable upon the
exercise of an option and are sellable under the Prospectus.


                         ----------------------------

                  THE DATE OF THIS SUPPLEMENT IS MAY 31, 1995.


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