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PhotoWorks' logo. Click here to visit the PhotoWorks website! PhotoWorks announces mail-in digicam 'developing'!
(Wednesday, July 10, 2002 - 02:05 EDT)

Digital camera owners can now get their prints by mailing in CDs or flash cards...

PhotoWorks, the mail-order photofinisher once called Seattle Filmworks, has announced that it is now offering a mail-order photofinishing service for digital camera owners who don't want to spend the time uploading their images over the Internet. We've seen other photofinishers accept images on CD before, but can't offhand remember one that accepted images on flash card, as in the new service.

PhotoWorks customers must download a PDF file with the order form and a prepaid address label, which they must then print out. Fill in the form, stick the label on the outside of your (self-provided) packaging - which PhotoWorks recommends be "a sturdy envelope" - and pop in your CD, or your Compact Flash, Smart Media, SD/MMC or Memory Stick flash card, then put it in the mail. The company says that within "just hours" of receipt the photos will be posted online for sharing by email, and for merchandise ordering. Your CD or flash card is returned to you with the prints and/or a 'Pictures on Disk' CD in two to five days...

We're curious to see how popular this service becomes; we'd imagine many customers will be hesitant to send valuable flash cards that could have cost them tens or hundreds of dollars by mail. PhotoWorks also seems to be shutting out the potential non-computer owning customers by requiring them to download and print the form and postage label rather than mailing them to you free as is the norm with mail-order photofinishers.

One final catch is that there seems to be no option to select which photos you want to receive prints of, and which you don't - it would appear that you just get prints of everything on the CD or flash card. Owners of Sony's CD-Mavicas will want to burn CDs containing only the images they want printed, time and effort that may dissuade them from submitting an order in the first place. Likewise, if/when write-once flash cards become commonplace, users will want to send in duplicate media if they don't want to pay for prints of their unsuccessful images.

Pricing for the service, which was first offered last month, is currently 19¢ per print. The press release mentions sizes of 4" x 6" or 3" x 5", but we can't see any mention of the smaller size on the order form. If you elect to receive a 'Pictures on Disk' CD with your prints, you'll pay $3.50 extra for up to 24 images, or $5.50 extra for 25 or more. Alternatively, you can forego the prints and just get the CD for $5 (up to 24 images), or $7 (25 or more images).

From the end of September onwards, the price will increase to 40¢ per print for single copies or 50¢ for two sets up to 24 images. For 25 or more images, this will become 40¢ per single copy print, or 30¢ per double set print.

Shipping and handling costs vary from $1.75 to $12, with shipping options below $4.50 being limited to a single flash card in each order. Washington residents must pay 8.8% sales tax on their order, inclusive of shipping costs. Payment is by American Express, Visa, MasterCard, or an enclosed personal check or money order.

Source: PhotoWorks Inc.

Original Source Press Release:

PhotoWorks Introduces Mail-In Developing for Digital Camera Owners

Special Offer: 19-Cent Prints Through September

SEATTLE--(BUSINESS WIRE)--June 25, 2002--PhotoWorks, a leading provider of photofinishing services, is making it even easier for digital camera owners to purchase professional-quality prints and Pictures On Disk(TM) CDs.

Now customers can mail memory cards and CDs of their digital images to PhotoWorks for developing. To introduce the new service, PhotoWorks is offering 19-cent 4x6" prints to its customers throughout the summer.

"PhotoWorks is one of the first photofinishing companies to offer digital developing by mail," said Gary Christophersen, PhotoWorks President and CEO. "While we've provided quality prints from uploaded images for years, our new digital developing service makes it easy and convenient for digital camera owners to get their images to PhotoWorks, continuing our tradition of providing innovative products and services for our customers."

The memory card developing service lets digital camera owners purchase professional prints on archival quality paper for less than it costs to print pictures at home. In addition to receiving 4x6" prints, all photos are scanned and saved in a secure online archive at photoworks.com. Customers are able to view photos online, just hours after the memory card is received, to share their photos via email and to order additional prints, enlargements and photo gifts.

Memory cards or CDs sent to PhotoWorks for developing will be returned with the prints by mail. PhotoWorks sells additional memory cards on its Web site at incredible savings, so customers can always have one to use and one to send in for developing. Purchases of memory cards also include discount coupons to be used on digital developing services.

How it works

Customers mail their memory card or a CD of digital images to PhotoWorks in a postage-paid envelope. A few hours after PhotoWorks receives the card, customers can view their photos online and within 2-5 business days, the customer's order, including prints and memory card or CD, arrive by mail.

Pricing and availability

Memory card developing has been available since May. Starting immediately and through September all 4x6" and 3x5" prints are priced at 19-cents each. Postage-paid mailing labels and order forms are available online at www.photoworks.com.

About PhotoWorks®

PhotoWorks is a leading online and direct mail photo services company dedicated to providing its customers with innovative ways to enjoy and use their photos. The PhotoWorks service provides both traditional and digital camera owners with the easiest way to archive and organize photos online, share them with friends and family, and order reprints, photo albums and other gifts.

PhotoWorks draws upon a unique dual heritage as a top-rated photofinisher with over twenty-four years of experience along with a tradition of innovation and leadership in digital and online photo services. PhotoWorks was the first to offer free scanning, online archiving and email sharing services to both traditional and digital camera users.

Based in Seattle, PhotoWorks, Inc. (OTCBB:FOTO - News) was founded in 1978. More information is available at www.photoworks.com or by calling 800/746-8696.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

Statements in this news release concerning leadership in photo services, pricing and availability of products and services, and any other statement which may be construed as a prediction of future capabilities, performance or events are forward-looking statements, the occurrence of which are subject to a number of known and unknown risks and uncertainties which might cause actual performance to differ materially from those expressed or implied by such statements. These risks and uncertainties include system performance problems due to technical difficulties, system malfunctions, Internet interruptions or other factors; pricing and other activities by competitors; economic and industry factors, and other risks including those described in the Company's Annual Report on Form 10-K and those described from time to time in the Company's other filings with the Securities and Exchange Commission, press releases and other communications.

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