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Press release from Business Wire

Shutterfly and Best Buy Partner to Help Customers Digitally Share and Preserve Their Memories

<p class='bwalignc'> <i>Free Shutterfly Award Winning Photo Book Included With Digital Camera or Camcorder Purchase At Best Buy This Holiday Season</i> </p>

Monday, October 18, 2010

Shutterfly and Best Buy Partner to Help Customers Digitally Share and Preserve Their Memories09:00 EDT Monday, October 18, 2010 REDWOOD CITY, Calif. & MINNEAPOLIS (Business Wire) -- Shutterfly Inc. (NASDAQ:SFLY), a leading Internet-based social expression and personal publishing service and Best Buy Co., Inc. (NYSE:BBY), today announced a strategic partnership to offer Best Buy customers Shutterfly's innovative solutions for preserving and sharing their digital memories. Beginning today, to kick off the partnership and show customers the power and appeal of Shutterfly's award-winning photo book line, Best Buy will offer customers a free 8x8 photo book from Shutterfly when they purchase from Best Buy's extensive selection of qualifying digital cameras and camcorders. “Everyone who has ever had the experience of making, giving or receiving a Shutterfly photo book is amazed and delighted at the power of the stories told by their favorite images gathered in one place,” said Jeffrey Housenbold, president and chief executive officer of Shutterfly. "Our partnership with Best Buy gives us the opportunity to share this experience with more consumers at the moment they are purchasing the devices for capturing and sharing the images they'll cherish for years to come.” “We know our customers are seeking ways to enjoy, share and preserve their photos,” said Lisa Farrell, svp, general manager portable electronics for Best Buy. “Best Buy continues to be committed to helping customers find the right camera, and now we can offer them easy ways to share their special memories with family and friends by offering Shutterfly products in our stores and online.” Customers can get additional information about doing more with their digital images while they shop either in-store from Best Buy employees trained on Shutterfly products and services or online from a Shutterfly information page on www.bestbuy.com/Shutterfly. Best Buy customers who purchase a digital camera or camcorder can redeem their free 8x8 photo book at Shutterfly.com and make a personalized photo book using Shutterfly's easy-to-use photo book creation experience. Customers can use photos from their Shutterfly account, camera, computer, and even Facebook and Picasa accounts. Users can select from an extensive collection of backgrounds and designs to suit everyday snapshots as well as a range of milestones and occasions like wedding and travel. The free Shutterfly 8x8 photo book offer begins October 18, 2010 in Best Buy stores on online at www.bestbuy.com/Shutterfly. 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. Shutterfly was recently named one of the top 25 Best Midsized Companies to Work For by the Great Place to Work Institute. More information about Shutterfly (NASDAQ:SFLY) is available at www.shutterfly.com. Shutterfly and Shutterfly.com are trademarks of Shutterfly, Inc. About Best Buy Co., Inc. With operations in the United States, Canada, Europe, China, Mexico and Turkey, Best Buy is a multinational retailer of technology and entertainment products and services with a commitment to growth and innovation. The Best Buy family of brands and partnerships collectively generates more than $49 billion in annual revenue and includes brands such as Best Buy; Best Buy Mobile; Audiovisions; The Carphone Warehouse; Future Shop; Geek Squad, Jiangsu Five Star; Magnolia Audio Video; Napster; Pacific Sales; and The Phone House. Approximately 180,000 employees apply their talents to help bring the benefits of these brands to life for customers through retail locations, multiple call centers and Web sites, in-home solutions, product delivery and activities in our communities. Community partnership is central to the way we do business at Best Buy. In fiscal 2010, we donated a combined $25.2 million to improve the vitality of the communities where our employees and customers live and work. For more information about Best Buy, visit www.bby.com