REDWOOD CITY, CALIF. – (January 26, 2005) — Shutterfly, a leading provider of online photo printing and sharing services, today announced the appointment of Jeffrey Housenbold as the company’s new president and chief executive officer, effective immediately. Housenbold will also be named to Shutterfly’s Board of Directors. Housenbold succeeds David Bagshaw, who oversaw the 240 percent growth in the company’s revenue during the past two years.

“Jeff Housenbold is a strong leader with a distinguished track record of building consumer-driven online companies. His unique experiences, bold vision and ability to develop strategic relationships are the perfect mix of qualifications to take Shutterfly to its next level,” said Jim Clark, chairman of Shutterfly and founder of Netscape Communications and Silicon Graphics. “Jeff’s experience managing rapid growth companies, his marketing expertise, strategic vision and passion for our business make him the ideal choice to extend Shutterfly’s success.”

“Shutterfly has pioneered the online photo service industry and has achieved incredible success. The company’s products and services touch people’s hearts and strengthen relationships through the powerful medium of photos,” said Mr. Housenbold. “I’m honored to be working with a dedicated and talented team of employees, and I’m looking forward to applying my background to help Shutterfly enhance its award-winning industry position.”

Housenbold joins Shutterfly from eBay, Inc. (NASDAQ: EBAY), where he most recently served as vice president of business development and Internet marketing. Jeff managed customer acquisition and retention over the past three years as eBay grew from 42 million registered users to 135 million and the gross merchandise value accelerated from 9 billion dollars annually to 34.2 billion dollars.

Housenbold’s broad eBay experience also includes positions as vice president and general manager of its business-to-consumer group and vice president of mergers and acquisitions. Jeff also held senior management roles at AltaVista (NASDAQ: YHOO) including vice president and general manager and was the chief operating officer of Raging Bull, the award-winning community finance portal. Previously, Housenbold served as vice president of corporate development at WinStar Communications, Inc. (NYSE:IDT) and manager and founding member of Accenture’s Media & Entertainment Strategy Group (NYSE:ACN).

Housenbold earned his M.B.A. from Harvard Business School; and his undergraduate degrees, with High Honors in Economics and Business Administration, from Carnegie Mellon University.

Housenbold assumes the helm of a seasoned management team, including Chief Financial Officer, Steve Recht; Chief Marketing Officer, Andy Young; Chief Engineering Officer, Jeannine Smith and Vice President Operations, Peter Knaack.

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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.
Media Contacts:
Bridgette Thomas
Shutterfly
(650) 610-3519