Nickelodeon and Shutterfly Partner to Create New Line of Character-Customized Digital Photo Products

Nickelodeon and Shutterfly Partner to Create New Line of Character-Customized Digital Photo Products

Kids' Favorite Animated Characters - SpongeBob SquarePants, Dora the Explorer and Go, Diego, Go! - to Appear on Shutterfly Photo Books, Adventure Books, Greeting Cards and Photo Cards

NEW YORK and REDWOOD CITY, Calif., Nov. 7 /PRNewswire-FirstCall/ -- Nickelodeon & Viacom Consumer Products, the licensing division of the number- one entertainment brand for kids, and Shutterfly, Inc. (NASDAQ:SFLY), the leading Internet-based social expression and personal publishing service, today announced a licensing agreement to create and distribute a new line of personalized Shutterfly products. The new offerings will feature three of the world's most popular animated children's characters: SpongeBob SquarePants(R), Dora the Explorer(R) and Diego from Go, Diego, Go!(R). Available only at Shutterfly beginning November 2007, Nickelodeon's iconic characters will appear on the largest selection ever offered of Shutterfly licensed products including: Photo Books, Adventure Books, Greeting Cards, and Photo Cards. This partnership significantly expands Shutterfly's licensed product portfolio, and enables parents to create personally customized, one-of-a-kind digital photo products and gifts that combine favorite home images with their kid's favorite Nick characters.

(Logo: http://www.newscom.com/cgi-bin/prnh/20071011/NYTH046LOGO-a )

"We are delighted to partner with an online market leader and innovator like Shutterfly to bring Nick's most popular characters to a full range of customized photo-based products," said Margaret Milnes, VP of Social Expressions and Book Publishing at Nickelodeon. "Shutterfly customers and Nick fans can now create unique keepsakes that will be cherished by families for years to come."

"SpongeBob, Dora and Diego are incredibly popular among our customers, and we're confident this will be exciting news among the Shutterfly community, especially with the holiday season fast approaching," said Dan McCormick, Vice President of Strategy at Shutterfly. "Nickelodeon is an iconic brand, enjoyed by children and parents alike, and we are proud to partner with the Company on a strategic level, leveraging our personal publishing platform to easily integrate Nickelodeon's all-star properties across our award-winning product lines."

The new product line includes a range of Adventure Books and Photo Books as well as Photo Greeting Cards and Photo Cards:

Adventure Books

Building on the popularity of Shutterfly's children's story book line, Adventure Books, the Company is pleased to announce its newest title: "Dora and My Rescue Adventure." The book takes just a few minutes to create: parents supply a single photo of their child and information to help personalize his/her story (i.e. name, birthday and hometown). In days, the child will receive a timeless, one-of-a-kind story where they appear on every page of an exciting travel adventure with Dora, helping to save Boots the monkey! For more information on Adventure Books, please visit www.shutterfly.com/adventure.

Photo Books

Shutterfly also introduces three new character Photo Books from Nickelodeon: Dora the Explorer, Go, Diego, Go!, and - debuting in November - SpongeBob SquarePants. These hardcover Photo Books allow parents to transform personal photos into original stories featuring these well-known and well-loved characters. Available in two sizes, 8x8 and 12x12, parents simply drag and drop their photos into the story templates to create a quality family keepsake. For more information on Photo Books, please visit www.shutterfly.com/photobooks.

Beginning in early 2008, Shutterfly will also introduce a selection of Greeting Cards and Photo Cards featuring Nickelodeon characters. Details will be available soon at www.shutterfly.com.

Nickelodeon & Viacom Consumer Products manages the world's third largest licensing business, representing leading properties such as SpongeBob SquarePants and Dora the Explorer, and managing merchandising for Nick Jr., Nickelodeon, Comedy Central, MTVN International, and Spike TV.

Nickelodeon, in its 28th year, is the number-one entertainment brand for kids. It has built a diverse, global business by putting kids first in everything it does. The company includes television programming and production in the United States and around the world, plus consumer products, online, recreation, books, magazines and feature films. Nickelodeon's U.S. television network is seen in almost 96 million households and has been the number-one- rated basic cable network for almost 13 consecutive years. Nickelodeon and all related titles, characters and logos are trademarks of Viacom Inc. (NYSE:VIA)(NYSE:VIA.B).

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. The Company has more than 1.5 billion images stored in its digital archive. More information about Shutterfly (NASDAQ:SFLY) is available at www.shutterfly.com. Shutterfly and Shutterfly.com are trademarks of Shutterfly, Inc.

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Photo: http://www.newscom.com/cgi-bin/prnh/20071011/NYTH046LOGO-a
PRN Photo Desk, photodesk@prnewswire.com
Source: Nickelodeon

CONTACT: Jonathan Finn of Nickelodeon & Viacom International Consumer
Products, +1-212-846-4082, Jonathan.finn@nick.com; Bridgette Thomas of
Shutterfly, Inc., +1-650-610-3519, bthomas@shutterfly.com

Web site:

http://www.nick.com/
http://www.shutterfly.com/

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