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Amazon.ca Launches Today, Providing Significant Savings and Great Convenience for Canadian Book, Music, Video and DVD Buyers

New Site Offers Everyday Low Prices on Books, Music, Videos and DVDs in Canadian Currency, Including 30% Off Books over $30 Cdn and Free Domestic Shipping on Orders over $75 Cdn

SEATTLE, Jun 25, 2002 -- Amazon.com (Nasdaq:AMZN) today launched Amazon.ca (www.amazon.ca), bringing Canadians the selection, convenience and value of the Amazon shopping experience with prices in Canadian dollars and local shipping from Canada Post Corporation.

The company also announced it has selected Assured Logistics, a part of the Canada Post group of companies, to handle fulfillment services for Amazon.ca.

Amazon.ca offers Canadian customers a vast and growing selection of more than 1.5 million books, CDs, videos and DVDs in English and French, greater convenience, and everyday low prices--including 30 percent off books over $30 Cdn and introductory free shipping on orders over $75 Cdn. The site features prices in Canadian dollars and the increased speed and low rates of shipping from within Canada.

"Amazon.ca provides great savings and convenience to Canadian customers and allows us to source products from Canadian publishers and distributors and work with them to increase online sales of their merchandise," said Jeff Bezos, founder and CEO of Amazon.com. "Amazon.ca will not only serve Canadians, but will also export Canadian products all over the world, increasing the visibility and reach of Canadian writers and artists."

"Canada Post is committed to providing its business and consumer customers with the best possible service--which in this case means getting Amazon.ca orders to their customers quickly and economically," said Stewart Bacon, senior vice president Customer Relationship Management, Canada Post Corporation. "We're sure the launch of Amazon.ca will be great news for Canadian consumers, and we intend to work with Amazon.ca to continually raise the bar on the customer experience."

"Amazon.com has set the standard for e-commerce fulfillment worldwide. Assured will deliver world-class logistics capabilities combining advanced order and inventory management technology with fast and accurate fulfillment operations," said Jim Eckler, president and CEO of Assured Logistics. "Assured Logistics is one of the only third-party logistics companies that can offer the value-added expertise in retail merchandise fulfillment to meet Amazon.ca's requirements. We are dedicated to delivering a high-quality, transparent customer experience in a very rapid timeframe."

Amazon.ca's dedicated Books, Music, DVD and Video stores feature content such as customer reviews and original editorial reviews in both English and French, as well as bibliographic information from the National Library of Canada (www.nlc-bnc.ca), the federal cultural institution responsible for collecting, protecting and making accessible Canada's published heritage. Visitors to Amazon.ca also have the option to view their Shopping Cart and place their orders in English or French.

In addition to providing greater value and convenience for Canadian customers, Amazon.ca offers the Amazon Associates Program. The Amazon.ca Associates Program enables Web site owners to earn referral fees by directing their site visitors to Amazon.ca, which pays commissions of up to 15 per cent for sales generated by referred visitors. To celebrate the launch of the new program, Amazon.ca will pay Web site owners double commissions (up to 30 percent) through July 31, 2002. Becoming an Amazon.ca Associate is free and simple. Additional information can be found at www.amazon.ca/associates.

About Amazon.ca

Amazon.ca (www.amazon.ca) is part of the global family of Amazon Web sites that have become known for great prices, selection and convenience. Amazon.ca customers can find and discover over a million English and French books, CDs, videos and DVDs--all at everyday low prices. Amazon.ca sources products directly from Canadian publishers and distributors, ensuring a rich offering of Canadian titles and content. Features such as original editorial reviews in English and French and product recommendations help Amazon.ca customers find the right products for them among the site's broad selection.

To ensure all orders are delivered to customers quickly and efficiently, Amazon.ca works with Canada Post, one of the world's most progressive postal companies. Orders placed at Amazon.ca are fulfilled and shipped from within Canada by Assured Logistics, a part of the Canada Post Group of Companies.

Through Amazon.ca Associates (www.amazon.ca/associates), third-party Web sites can link to Amazon.ca and earn referral fees on sales generated by that link. Customers can also go directly to Amazon.ca from MSN Canada, canada.com, Canoe.ca and AOL Canada.

Amazon.ca is the trading name of Amazon.com.ca, Inc., an affiliate of Amazon.com, Inc.

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, risks related to potential future losses, significant amount of indebtedness, competition, strategic alliances and business combinations, seasonality, potential fluctuations in operating results and rate of growth, foreign currency exchange rates, management of potential growth, system interruption, international expansion, consumer trends, fulfillment center optimization, inventory, limited operating history, government regulation and taxation, fraud and Amazon.com Payments, and new business areas. 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, 2001, and all subsequent filings.


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