"As digital camera sales rapidly outpace those of traditional film cameras, consumer demand for convenient and easy-to-use digital photography services will grow exponentially," said Monica Helmer, Marketing Manager for the Optical Group, Panasonic Consumer Electronics Company. "Panasonic chose to work with Shutterfly because as a recognized leader in online photo services, the company shares our desire to provide the best overall digital photography experience for consumers."

Panasonic Photo Center, Powered By Shutterfly

The following Shutterfly photo products and services will soon be available to Panasonic customers via the Panasonic Photo Center:

Professional prints ranging in sizes from wallets to 20x30 large-formats
Customizable photo cards, calendars, photo books and photo gifts that can be shipped directly to friends and family all over the world
Free online photo sharing service
Free image editing tools ( i.e. cropping, red-eye removal, enhancing color effects and adding borders )
Free, unlimited online image storage
"Shutterfly is excited to help Panasonic Photo Center customers preserve their memories and stay connected with family and friends," said Andy Young, Chief Marketing Officer of Shutterfly. "With our shared commitment to quality products and customer satisfaction, we look forward to a mutually-beneficial and productive alliance with Panasonic."

About Panasonic Consumer Electronics Company

Based in Secaucus, N.J., Panasonic Consumer Electronics Company is a Division of Panasonic Corporation of North America, the principal North American subsidiary of Matsushita Electric Industrial Co. Ltd. ( NYSE: MC ) and the hub of Panasonic's U.S. marketing, sales, service and R&D operations. Information about Panasonic products is available at www.panasonic.com. Additional company information for journalists is available at www.panasonic.com/pressroom or through the company's toll-free fax-back system at 888-734-7490.

About Shutterfly

Since 1999, Shutterfly ( http://www.shutterfly.com ) has made it simple and fun for people to stay connected with those who matter most. Using film or digital cameras, Shutterfly customers enjoy the benefits of the company's award-winning products and services; including film-quality prints and an assortment of personalized photo products, as well as free image editing, picture sharing and secure storage in online albums. Shutterfly's Pro Gallery service ( http://www.shutterfly.com/progallery ) provides an end-to-end fulfillment solution for professional photographers who want to sell their photos online. For more information, please visit http://www.shutterfly.com/about/prs_center.jsp

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