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Amazon.com Launches New, Regionalized Shipping Rates for International Customers

SEATTLE--July 18, 2001--Amazon.com (Nasdaq:AMZN), the global online retailer, today announced faster and more affordable shipping options for non-U.S. customers of Amazon.com.

Shipping rates and times are now segmented into 10 distinct regions, with pricing and transit times based on the distance of that region from Amazon.com's U.S. distribution centers and the volume of exports to that region.

In addition, music, movies and software can now be shipped via Standard Shipping, which was previously not an option.

"We know our customers appreciate saving time and money when it comes to shipping, so we've acted to greatly improve the customer experience," said Jeff Wilke, senior vice president of operations for Amazon.com.

"We really want customers to put our new and improved shipping services to the test and let us show how quickly we can deliver," said Cayce Roy, vice president of transportation for Amazon.com.

Amazon.com has expanded its relationship with Deutsche Post Global Mail and its subsidiary DHL to provide the new regionalized shipping services. Under the new shipping categories, Amazon.com is able to offer international customers a significantly faster standard international shipping option with an average transit time of 11 to 21 days, down from 14 to 84 days.

Also now available from Deutsche Post is a faster intermediate ship option, called Expedited International Shipping, with a transit time of 5 to 10 days (compared with 7 to 26 days in the past), at a cost savings of up to 35 percent.

The new regional categories are Canada, Europe, Asia/Asia Pacific, Japan, Latin America, Australia, Israel, Africa, Middle East and Island Nations. Amazon.com exports products to more than 200 countries around the world. More than 26 percent of Amazon's combined cumulative customer base of 32 million customers is outside of the United States. About Amazon.com

Amazon.com (Nasdaq:AMZN) opened its virtual doors on the World Wide Web in July 1995 and today offers Earth's Biggest Selection, along with online auctions and free electronic greeting cards. Amazon.com seeks to be the world's most customer-centric company, where customers can find and discover anything they might want to buy online. Amazon.com lists millions of unique items in categories such as electronics, kitchen and housewares, books, music, DVDs, videos, camera and photo items, toys, software, computer and video games, tools and hardware, outdoor living and wireless products. Through Amazon.com zShops, any business or individual can sell virtually anything to Amazon.com's over 32 million cumulative customers, and with Amazon.com Payments, sellers can accept credit card transactions, avoiding the hassles of offline payments.

Amazon.com operates four international Web sites: www.amazon.fr, www.amazon.co.uk, www.amazon.de and www.amazon.co.jp. It also operates the Internet Movie Database (www.imdb.com), the Web's comprehensive and authoritative source of information on more than 275,000 movies and entertainment titles and 1 million cast and crew members dating from the birth of film in 1891 to 2003.

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, Amazon.com's anticipated losses, significant amount of indebtedness, competition, seasonality, potential fluctuations in operating results, management of potential growth, risks of system interruption, consumer trends, risk of fulfillment center optimization, inventory risks, limited operating history, risks related to fraud and Amazon.com Payments, and risks of new business areas, international expansion, business combinations, strategic alliances and strategic partnerships. More information about factors that potentially could affect Amazon.com's financial results is included in Amazon.com's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2000, and all subsequent Quarterly Reports on Form 10-Q.


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