August 3, 2007

PhotoWorks Announces a Partnership with The Knot

PhotoWorks to Provide TheKnot.com Users With Image Uploading Capabilities, Single-Use Cameras, and Film Processing.

SEATTLE, WA (August 3, 2007) — PhotoWorks®, Inc. (OTCBB:PHTW), the online digital photo-publishing company, today announced a strategic partnership with The Knot Inc. (NASDAQ: KNOT), the nation’s leading wedding resource. Under the agreement, PhotoWorks will provide TheKnot.com users with film processing, including image scanning and uploading, as part of a special single-use camera package sold exclusively on The Knot Wedding Shop on TheKnot.com.

“Some of the best, most memorable photos from a wedding can be captured by friends and family with single-use cameras. We are excited to provide TheKnot.com with the technology needed to allow their members to easily shoot, share, and print those memories,” said Andy Wood, President and CEO of PhotoWorks.

Select 5-packs of single-use cameras available on The Knot Wedding Shop will include prepaid envelopes for easy mail-in film processing, scanning, and image uploading, as well as a notification email once images are available online. Purchasers of the packs also will receive a PhotoWorks coupon good for 25 free prints on their first processing order. In the coming months, TheKnot.com customers will be able to create and purchase personalized photo products, including photo books, keepsake boxes, greeting cards, and more, using their digital photos hosted on TheKnot.com gallery.

About PhotoWorks

PhotoWorks®, Inc., is an Internet-based photo publishing company. The company’s web-based services allow PC and Mac users to share and store their digital photos, host personalized My Share web pages and My Storefront retail web pages, and create hardbound photo books, customized greeting cards, calendars, prints, and other photography-sourced products. Formerly known as Seattle Film Works, PhotoWorks has a 30-year national heritage of helping photographers share and preserve their memories with innovative and inspiring products and services. More information on the company is available at www.photoworks.com.

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