Kodak Delivers the Power of Digital Imaging to Retail



    Retailers Will Be Able To Leverage Their Existing Assets To Move
    ----------------------------------------------------------------
    Consumers Beyond 4x6 Prints
    ---------------------------

    LAS VEGAS, March 7 /CNW/ - Eastman Kodak Company today demonstrated a
range of digital imaging solutions aimed at helping retailers tap growing
consumer demand to do more with their digital pictures. At the Photo Marketing
Association's (PMA)Annual Conference and Exposition, Kodak unveiled a lineup
of custom photo books, collages and digital photo merchandising products and
services that can be produced in-store, on-line and at wholesale.
    "Each day some 315 million digital images are taken and stored, but not
printed, creating a tremendous opportunity for retailers to help consumers do
more with their digital images," said Greg Morrison, digital product marketing
manager, Kodak Canada Inc. "If the industry is to unlock this potential
treasure chest of images, we must work together to offer consumers a variety
of easy-to-use products and services that are readily available from multiple
pathways."
    "Our approach will be to offer retailers a portfolio of in-store, on-line
and wholesale products and services, all based on open architecture, that will
leverage their existing assets to profitably grow the digital business - while
offering consumers the ability to do more with their pictures than capture and
print 4x6-inch photos and enlargements," says Morrison. "These products and
services will enable consumers to move beyond capturing and sharing moments to
creating and sharing stories."

    
    At PMA, Kodak is showing:

    -   KODAK EASYSHARE Custom Creations Software, that will make it easy for
        consumers to design their own photo products at home for printing at
        retail. The desktop software application provides consumers with an
        easy, fast and fun way to create photo books, calendars, collages,
        greeting cards and other photo specialty items. Once completed,
        consumers can simply download their creation to a CD and bring to a
        retail location or send on-line to a retailer for production.
        (see separate release for more information)

    -   KODAK Picture Kiosk Software (Version 1.5) with New Auto Collage
        feature that provides consumers with a new level of flexibility to
        easily create custom collages that can be printed in minutes on the
        kiosk or in-store mini-lab. And the new KODAK GS Compact Picture
        Kiosk with countertop design and easy installation for maximum ROI in
        low burn locations. (see separate release for more information)

    -   KODAK EASYSHARE Digital Cameras and Accessories, including the Z885
        and Z712 IS with high ISO and image stabilization for taking action
        pictures in any lighting conditions. (see separate release for more
        information)

    -   KODAK s1220 Photo Scanning System that provides an in-store solution
        for converting consumers' photo prints into digital files on KODAK
        Picture CDs, KODAK Picture Movie DVDs and the wholesale KODAK picture
        shoebox scanning service. (see separate release for more information)

    -   KODAK HQ Maximum Versatility Single Use Camera that emulates the
        sleek stylish look of a digital camera and is 20% smaller than the
        model it replaces; and new KODAK GOLD 100 and 200 speed consumer
        films with enhanced emulsions for brighter pictures. (see separate
        release for more information)

    -   New KODAK PROFESSIONAL Digital Print Production Software DP2 for
        improved efficiencies and increased quality and throughput in pro
        labs; and new professional paper optimized for digital printing.
        (see separate release for more information)

    -   KODAK NEXPRESS Digital Production Color Press enhancements for
        increased productivity and higher image quality for photo book
        applications. (see separate release for more information)
    


    The In-Store Experience
    -----------------------

    As digital imaging becomes more commonplace, consumers are turning to
retailers to print their digital images. Retailers can expand their in-store
offerings with KODAK products and services to produce custom photo books,
collages, calendars, greeting cards, and other photo specialty items.
According to Morrison, Kodak is offering retailers the most comprehensive and
flexible portfolio designed to meet each retailer's market requirements.

    Kodak's Digital Support Network
    -------------------------------

    Kodak's Qualex wholesale photofinishing subsidiary in the U.S. has been
"retooled" as a digital printing infrastructure, providing retailers with a
range of digital fulfillment products and services. Qualex provides retailers
with the flexibility to grow their digital output business while leveraging
their in-store assets. By partnering with Qualex, retailers can now provide
digital fulfillment without in-store investment, offer alternative price/value
solutions to compliment their in-store capabilities and expand their portfolio
of digital services beyond what they can produce on-site.
    Qualex can provide retailers with a portfolio of custom photographic
products such as photo books, collages, calendars, posters and mugs. Qualex's
photo book offerings will include simple 4x6-inch flip books and custom-bound
photo books printed on silver halide paper, and premium soft and hard cover
books printed on Kodak's NEXPRESS Digital Printing Press.
    According to Photofinishing News, the market for these and other custom
photographic products will total $1 billion in the U.S. this year. By
partnering with Kodak, retailers are now able to tap into Qualex's wholesale
digital network to offer an unprecedented range of solutions for this
burgeoning market.

    About Eastman Kodak Company
    Kodak is the world's foremost imaging innovator. With sales of
$13.3 billion in 2006, the company is committed to a digitally oriented growth
strategy focused on helping people better use meaningful images and
information in their life and work. Consumers use Kodak's system of digital
and traditional products and services to take, print and share their pictures
anytime, anywhere; Businesses effectively communicate with customers worldwide
using Kodak solutions for prepress, conventional and digital printing and
document imaging; Creative Professionals rely on Kodak technology to uniquely
tell their story through moving or still images; and leading Healthcare
organizations rely on Kodak's innovative products, services and customized
workflow solutions to help improve patient care and maximize efficiency and
information sharing within and across their enterprise.

    More information about Kodak (NYSE:   EK) is available at www.kodak.com.

    Kodak, EasyShare, Gold, Kodak Professional and Nexpress are trademarks of
Eastman Kodak Company.




For further information:

For further information: Erin Manning, Ketchum Public Relations, Tel.
(416) 642-5253, erin.manning@ketchum.com

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KODAK CANADA INC.

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