Wins Contract

Photo-Me International PLC 17 July 2000 PHOTO-ME WINS CONTRACT TO SUPPLY DIGITAL MINILABS TO MAJOR CHAIN OF JAPANESE PHOTOGRAPHIC DEVELOPMENT STORES Photo-Me International plc has been chosen by Shashinyasan 45 - which is one of the largest photographic development store chains in Japan, with more than 600 retail sites - to supply digital photographic development machines. The initial order is for 62 of Photo-Me's DKS (Digital KIS System) machines, which have a unit list price of approximately £80,000. There is the intention that all stores in the Shashinyasan 45 chain should have a DKS machine. Initial production of the new machines at Photo-Me's Grenoble (France) factory started last Monday, 10 July, and the delivery of the 62 machines to Shashinyasan 45 is expected to be made by October 2000. Serge Crasnianski, CEO of Photo-Me, said 'We are delighted to have been chosen by Shashinyasan 45. Japan is a highly competitive market for minilabs, which includes local names of global repute, and it also leads the world in ownership of digital cameras with around 10 million already in circulation.' Mr. Takeo Otsuka, President of Shashinyasan 45, said: 'We were very happy with the test carried out with the DKS minilab for several months and we are really pleased to have the opportunity of working with the Photo-Me Group. I am sure that we shall make great things together in Japan.' It is the liquid crystal display (LCD) booster together with the pixel gun that lies at the heart of the exposure system in the DKS minilab. This allows each image to be produced with 15 million pixels. The LCD booster will also be employed in the PhotoPlanet, Photo-Me's Internet access photobooth, which was launched in May of this year, and there are many other important applications. The DKS minilab can be connected to the Internet, allowing customers on their computer to preview their entire film frame by frame, format, crop and order. Selected photographs can be despatched to themselves and third parties via the Internet. Serge Crasnianski concluded 'This is a huge market. Digital minilabs offer a much higher quality picture and a fuller and more flexible service than their analogue predecessors. Shortly, all the 180,000 non-digital minilabs in the world will become obsolete. Photo-Me is well positioned to secure a substantial share of the world market for digital minilabs and, before too long, Photo-Me's technology manufacturing and licensing activities could become major profit generators for the Group.' Notes for Editors Photo-Me launched the DKS minilab, which has a processing capacity of 650 prints per hour, in March 2000 at the important SIPI exhibition in Paris, where it received over 100 individual orders. Photo-Me is a rare example of a substantial public company led by an inventor. Its Chief Executive since October 1998, Serge Crasnianski, has over 100 patents to his name, including the minilab in 1979 and the LCD booster in 1997. Enquiries: Photo-Me International plc 01372-453399 Serge Crasnianski (CEO) 00 33 6 11 95 63 63 (mobile) Bankside Consultants Limited 020-7220 7477 Charles Ponsonby 01993-811717 (weekend)
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