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Press release from Business Wire

Shutterfly Delivers Instant Photo Books to the Desktop

<p class=' bwtextaligncenter'> <i>Partners with Sony to Give Customers Instant Access to Shutterfly Photo Books on New VAIO</i><sup>®</sup> <i>PCs</i> </p>

Monday, June 28, 2010

Shutterfly Delivers Instant Photo Books to the Desktop16:01 EDT Monday, June 28, 2010 REDWOOD CITY, Calif. (Business Wire) -- Shutterfly, Inc. (NASDAQ:SFLY), the leading Internet-based social expression and personal publishing service, today announced that it has partnered with Sony to deliver Shutterfly's award-winning photo book experience to Sony VAIO PC customers with the click of the mouse. Using Shutterfly's Simple Path, customers who purchase a VAIO PC will be able to instantly create a Shutterfly photo book using pictures directly from their desktop without having to first upload them to Shutterfly. Sony customers can access Shutterfly photo books via a pre-installed icon on their desktop. “Shutterfly is committed to inspiring new audiences to unlock their memories through our award-winning photo books, so we are thrilled to partner with Sony to deliver instant photo book access to the VAIO desktop,” said Jeffrey Housenbold, president and chief executive officer of Shutterfly. “By bringing the Shutterfly experience to the places where people keep their photos, we can show them how easy it is to transform their entire collection of digital images into elegantly designed custom photo books in just a few clicks.” Sony customers can click on the Shutterfly desktop icon and instantly create a ready-to purchase photo book using photos from their desktop without having to first upload or sign into Shutterfly.com. Shutterfly's Simple Path smart algorithm organizes users' pictures - showcasing their photography within elegantly designed layouts and backgrounds. Users can simply order the book as is or choose from one of 21 exclusive classic, modern and fun styles designed to suit everyday snapshots as well as a range of milestones and occasions like wedding and travel. To further edit the book, customers can change the book size and cover type, crop and rearrange photos, reorder pages, and add captions. Simple Path photo books can accommodate between 20 and 400 photos and are available in all five photo book sizes: 5x7, 7x9, 8x8, 8x11 and 12x12. Simple Path photo books start at $12.99. To learn more about Shutterfly photo books visit http://www.shutterfly.com/photo-books About Shutterfly Founded in 1999, Shutterfly, Inc. is an Internet-based social expression and personal publishing service. Shutterfly provides high quality products and world class services that make it easy, convenient and fun for consumers to preserve their digital photos in a creative and thoughtful manner. Shutterfly's flagship product is its award-winning photo book line, which helps consumers celebrate memories and tell their stories in professionally bound coffee table books. More information about Shutterfly (NASDAQ:SFLY) is available at www.shutterfly.com. Shutterfly and Shutterfly.com are trademarks of Shutterfly, Inc.