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Press Release

LifePics to Offer Kodak Wholesale Photofinishing Services to Network

Boulder, CO, September 19th, 2006

LifePics and Qualex, Kodak's wholesale photofinishing division, have agreed to work closely to provide wholesale services featuring Kodak Perfect Touch technology to retailers who use the LifePics solution. With 8 strategically positioned state-of-the-art wholesale manufacturing and distribution facilities across the United States capable of producing an unparalleled capacity of digital prints, Qualex provides retailers with a full set of digital printing services that include ship-to-home and pick-up in store for their online orders. The Qualex wholesale service is offered as a complement to existing photofinishers that are looking at easy ways to produce consumers' digital fulfillment.

"We recognize that most retailers will want a chain-wide solution for their digital fulfillment services. We will continue to provide the most efficient and flexible ways to deliver digital orders to their consumers by leveraging both Qualex wholesale and retailers' onsite services," said Vahe Christianian, Vice President of Sales and Business Development at LifePics. "We simply want to provide the most comprehensive co-branded online imaging solution to retailers in the industry, with as many product, service, pricing and delivery alternatives as possible."

As the digital imaging industry evolves, retailers are looking at different ways of adding additional products and services to their photofinishing offerings. LifePics currently has the ability to integrate its online imaging engine to many different wholesalers, and has created a simple interface to allow for photo-related wholesalers to connect to the LifePics network of photofinishers while allowing totally automated workflow, order management, and order tracking.

"The LifePics network of dealers represents some of the most progressive photo dealers in the country," said John Lauer, VP of Business Development at Qualex. "Not only were we impressed with the speed and efficiency of LifePics' technology implementation, we have also realized a significant increase in the number of orders printed through participating LifePics dealers using our back-end wholesale fulfillment solution."

About LifePics

LifePics is the market leader in online imaging solutions for photofinishers and professional photographers. Using LifePics' technology, photofinishers and professional photographers are able to accept orders from consumers via the Internet and send those orders directly to a photofinishing lab that is most convenient to the consumer.

More retailers use LifePics than any other online imaging solution. LifePics' customers range from mass merchants and large food and drug chains to local camera shops and independent photofinishers. These retailers offer the service at more than 2,500 stores across the U.S. and Canada. LifePics works closely with these retailers to help them build their online photo businesses.

LifePics is an open solution that works with a variety of photo software providers and photo web sites. In addition, the service supports a number of different print options - orders can be sent directly to stores for 1-hour service or routed to major wholesalers, gift providers, photo book manufacturers or a variety of other printers.

For more information, visit LifePics at www.lifepics.com.

About Qualex

Qualex, Inc. is one of the largest wholesale photofinishing companies in the world. Qualex offers traditional print and digital output solutions by operating a large network of commercial labs throughout the United States and Canada. The company is a wholly owned subsidiary of Eastman Kodak and is headquartered in Durham, NC. Qualex and Kodak are continuously researching, designing, and implementing innovative output technologies that allow consumers to enjoy their pictures and images in ways never before imagined.