Shutterfly Partners with Our365 to Celebrate New Arrivals

Leading Photo Service and Top In-Hospital Newborn Photography Company Share
Baby`s First Smile
REDWOOD CITY, Calif.--(Business Wire)--
Shutterfly, Inc. (NASDAQ:SFLY), the leading Internet-based social expression and
personal publishing service, today announced a partnership with the largest
provider of in-hospital baby portraits, Our365, Inc. Through the partnership,
new moms nationwide will have access to special Shutterfly offerings tailored to
commemorate and share their babies' many memorable moments.

"Shutterfly has established itself as a trusted resource among new moms looking
to capture, share and commemorate those precious moments surrounding the birth
of a child," said Doug Galen, senior vice president, business and corporate
development at Shutterfly. "Now, by partnering with Our365, Shutterfly can offer
millions of America`s new parents special access to its award-winning baby
products, including birth announcements, photo books and Share sites, helping
them to elegantly share their babies' first photos with family and friends."

"Our365 takes great pride in professionally capturing that special first
portrait for nearly two million newborns each year," said Darcy Miller,
president and CEO of Our365.com. "Through our partnership with Shutterfly, we
are excited to offer new parents and family members a way to share and preserve
all the photos that follow the first portrait in the days and years to come."

Through the Shutterfly/Our365 partnership, participating families who had
professional Our365 Newborn Portraits taken will receive special discounts at
Shutterfly.com in-hospital, via email and through direct mail. As with all
Shutterfly customers, Our365 moms will have access to Shutterfly`s safe, secure
and free unlimited photo storage. Additionally, through Shutterfly`s dedicated
baby store, parents have access to helpful tips like how to capture candid
moments, choose the right birth announcement, create a modern baby photo book
and even design a family Share site.

For more information on Shutterfly`s baby offerings, visit
www.shutterfly.com/baby.

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.

About Our365

Our365, Inc. is America's four leading hospital baby photo companies - Baby
Prints, Growing Family, Hospital Baby Portraits and That's My Baby - combined to
create the country's largest provider of high quality and unique in-hospital
baby portraits. Our365 takes the first official portrait of nearly 2 million
newborns every year in partnership with some 2,100 hospitals in the United
States and offers a variety of baby photo products such as birth announcements,
keepsakes and gifts. In addition to Newborn Portraits, Our365 offers an in-home
photography service for growing babies.

Shutterfly
Gretchen Sloan, 650-610-5276 (Media Relations)
gsloan@shutterfly.com

Copyright Business Wire 2009