The Image Manager Extended has been updated to version 2.0.8
This update adds a new method for creating thumbnails on upload, utilizing the canvas feature of modern browsers, as used by the Image Editor and Thumbnail Editor. This may add a slight increase in upload time per file but should improve the stability of thumbnail creation, especially on servers with low PHP memory settings. A modern browser, ie: Firefox 8, Chrome 15, IE9, Safari 5, Opera 11.5 is required. Older browsers without canvas support will continue to use server-side methods to creating the thumbnails.
A full changelog is available