REDWOOD CITY, CALIF. and NEEDHAM, MASS. – (August 31, 2005) — Shutterfly, the leading independent e-commerce company specializing in digital photo products and services, and Upromise, the nation’s largest privately-funded service helping families save for college, today announced a new partnership to promote and provide Shutterfly’s products and services through the Upromise website. Beginning immediately, Upromise members will earn eight percent of their Shutterfly purchases to apply toward college savings accounts.

“Upromise is proud to work with Shutterfly, a recognized leader among photo service brands,” said David Rochon, senior vice president of partner management for Upromise. “Shutterfly can help Upromise members save for college in an innovative way while enjoying the finest in digital photography products and services.”

To receive college savings, Upromise members can find Shutterfly in the Electronics & Photo category of the Upromise online mall. Personalized photo products and services now available to Upromise shoppers include:
• Professionally developed photographs ranging in sizes from wallets to 20×30 large-formats
• Design-it-yourself photo cards, calendars, photo books and photo gifts, including mugs, t-shirts, and a variety of other custom products, that can be shipped directly to friends and family all over the world
• Free online picture sharing including sharing a single album at a time and creating up to two free “Collections,” a personal address for storing and sharing an unlimited number of photo albums
• Easy-to-use image organization and uploading tools
• Free, unlimited online image storage
• Free image editing tools (i.e. cropping, red-eye removal, enhancing color effects and adding borders)

“We are very excited to welcome Upromise’s millions of members into Shutterfly’s community of users and to introduce them to all that they can accomplish with their digital images, online,” said Jeffrey Housenbold, president and CEO of Shutterfly. “Shutterfly is pleased to help deliver college savings while helping families celebrate life’s joyous moments through the powerful medium of photographs.”

Launched in 2001, Upromise was founded with the singular purpose of helping families save for college. Upromise helps families get back a percentage of their everyday spending into their Upromise accounts, assists them in enlisting family and friends in their college savings efforts, and helps them establish a 529 plan and saving strategy. Opening a Upromise account is simple and free by visiting www.upromise.com.

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About Shutterfly
Founded in 1999, Shutterfly, Inc. (www.shutterfly.com ) is a premium photo service specializing in the consumer and professional photography markets. The company provides customers with simple and fun ways to organize, enhance and archive images; share pictures with family and friends; order professional-quality prints and create an assortment of personalized items such as Photo Books, Calendars and Greeting Cards. In 2005, Shutterfly ranked no. 170 on the 24th annual Inc. 500 list of the fastest-growing private companies in the country.

Shutterfly, Shutterfly Collections and Shutterfly.com are trademarks of Shutterfly, Inc.

About Upromise
Upromise is the country’s largest non-governmental service helping families save for college. Membership is free and allows families to automatically save money for college while making everyday purchases at more than 20,000 grocery and drug stores, 14,000 gas stations, 8,000 restaurants, thousands of retail stores and over 350 online shopping sites. Upromise’s partners include Citi®, Coca-Cola®, ExxonMobil Corporation, Kellogg Company, Kimberly-Clark, McDonald’s®, SBC Communications, JCPenney.com, LandsEnd.com, sears.com, and hundreds of others. Upromise also makes it easy for families to invest in tax-advantaged college savings plans and to use contributions to pay off student loans. The 529 college savings plans are offered through Upromise Investments, Inc. (member NASD/SIPC). Upromise is headquartered in Needham, Mass. For additional information, visit www.upromise.com or call 781.707.8400.
Media Contacts:
Bridgette Thomas
Shutterfly
(650) 610-3519