REDWOOD CITY, CALIF. – (February 24, 2002) — Shutterfly, Inc., a leading online photo service, today announced a relationship with Hewlett-Packard Company to make sharing photos with friends and family even easier. Shutterfly’s intuitive user interface, high-quality prints and proven digital imaging experience were key factors in HP’s decision to select Shutterfly as an online photo finishing service provider for its leading digital imaging solutions.

“Being tapped by a leading global company such as HP clearly solidifies our position as the leader in the online photo space,” said CEO Andy Wood, Shutterfly. “Our experience and exceptional photo quality will benefit the enormous HP user base and bring added recognition to the already popular and established Shutterfly brand.”

“HP is focused on making digital photography radically simple and accessible to everyone so that no one is excluded from the ‘digital conversation,'” said Mary Peery, vice president and general manager, HP’s Digital Imaging organization. “This relationship with Shutterfly will enable our company to continue driving digital photography mainstream with imaging experiences no other company can offer.”

As a result of this relationship, Shutterfly will be part of HP’s strategic consumer initiative and allow consumers receiving images through HP Instant Share messages to order prints online via Shutterfly. HP Instant Share is an exclusive technology that allows consumers to snap a photo with the HP Photosmart 812 digital camera and select up to 14 destinations, including email addresses and printers, to send an image the next time the camera is connected to a computer or the optional HP Photosmart 8881 camera dock. Additionally, Shutterfly will provide photo-finishing services for HP’s photo-sharing web site, hpphoto.com.

Consumers will be able to use these Shutterfly services to conveniently order high-quality prints online and have them mailed directly to their homes beginning April 2002.

About Shutterfly
Shutterfly is the leading online photo service that takes advantage of the digital world’s unique capabilities. By developing innovative, personalized digital imaging products and services, Shutterfly makes it simple for its customers to stay connected to those that matter most to them. Shutterfly enables film and digital photographers to easily enhance, personalize, store and share pictures online or through high-quality prints. Shutterfly users can transform their pictures with special effects and borders as well as create photo cards, invitations, calendars and Snapbooks™, all of which can be mailed to friends and family worldwide. Shutterfly is consistently recognized for its photo quality and features, and most recently was named “Best Online Photo Service” by PC Magazine, earning its coveted “Editors’ Choice” award for the second straight year. Shutterfly is based in Redwood City, CA. For more information, visit www.shutterfly.com.

Media Contacts:
Whitney Brown
Shutterfly
650-610-3519
wbrown@shutterfly.com

Jenny Rees Access Communications for Shutterfly 415-844-6251 jrees@accesspr.com

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