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Press release from Business Wire

Shutterfly Introduces Treat, a Whole New Way to Stay Connected

<p class='bwalignc'> <i>New brand allows users to personalize and send the perfect greeting card every time</i> </p>

Monday, April 16, 2012

Shutterfly Introduces Treat, a Whole New Way to Stay Connected09:00 EDT Monday, April 16, 2012 REDWOOD CITY, Calif. (Business Wire) -- Shutterfly, Inc. (NASDAQ:SFLY), a leading Internet-based social expression and personal publishing service, today announced its newest online brand, Treat™, a destination dedicated to easily personalizing and sending the perfect greeting card. Treat offers an integrated scheduling and reminder service that connects directly with Facebook and offers cards for every occasion. Additionally, with more than 4,500 customizable card designs at launch, the Treat service offers one of the industry's largest selections of greeting cards from the industry's best designers, including Hallmark. Just in time for Mother's Day, first-time visitors can create and send their first Treat card for free at www.treat.com. “For generations greeting cards have helped deepen the connections with those who matter most in our lives,” said Shutterfly president and chief executive officer, Jeffrey Housenbold. “Relationships are individual connections, and Treat enables users to uniquely express themselves. With curated designs, unique sentiments and a simple creation process, Treat will change the way we connect with others.” To ensure users never miss an important date like a birthday or anniversary, Treat offers an integrated service that will remind them of all those important events. A Treat calendar can be set up with reminders for important dates like anniversaries, events, family holidays and more. Plus, users can use Facebook Connect to link their Facebook and Treat accounts to import friends' birthdays. Sending cards has never been so convenient. With the Treat service, users can schedule delivery for cards up to a year in advance, so cards always reach the recipient on time. In addition, the Treat service makes it easy to skip the store and the post office by offering users the option of sending the card directly to the recipient. This summer, creating and sending cards will become even easier when the Treat Mobile App is released, allowing users to send customized cards any time, from anywhere. Treat's offering covers the complete spectrum of occasions, from birthday and holidays to thank you and “thinking of you” cards. Whether the relationship calls for humor, inside jokes or heartfelt expression, users can find the perfect sentiment through Treat's extensive selection or by writing their own. Treat's personalization options extend further with custom greetings, ability to customize all panels of the card, and easy uploading of photos from a variety of online photo sharing sites. With the Treat service, users can even include a gift card, for redemption at many of today's most popular retailers, within the greeting card. Treat cards are $2.99 each. With a premium membership, cards are as little as $1.99. To learn more about Shutterfly's new greeting card service, please visit www.treat.com. About Shutterfly Founded in 1999, Shutterfly, Inc. is an Internet-based social expression and personal publishing company and operates Shutterfly.com, Tiny Prints.com, Weddingpaperdivas.com and Treat.com. 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 http://www.shutterfly.com. TreatChristina Ra, 310-400-0276cra@shutterfly.comorEdelmanJennifer Lopez, 650-762-2906Jennifer.lopez@edelman.com