Applauds and Thanks President Bush and Congress for Postal Law Change

LOS ANGELES – Jan. 24, 2006 –® (Nasdaq: STMP), a leading provider of Internet-based postage services, applauds and thanks President Bush and Congress for amending a century-old law that clears the way for the U.S. Postal Service to allow businesses to use PhotoStamps®. In particular, wishes to thank Rep. Darrel Issa (R-CA), who championed the legislative initiative and was instrumental in’s efforts to pass this amendment.

Behind strong bi-partisan support from members of Congress, President Bush signed legislation (PL 109-162) on Jan. 5, 2006, amending a law (18 U.S.C. Section 475) that was previously viewed as potentially applying to PhotoStamps that contain advertising or notices in the image area. The new amendment clarified that the law does not apply to postage that is officially approved by the U.S. Postal Service, such as PhotoStamps.

“This new legislation opens doors of opportunity for the use of cutting-edge technology that will benefit consumers, small businesses, and the Postal Service,” said Representative Issa. “This legislation clarifies an old law that was never meant to apply to customized postage.”

“We are grateful to President Bush and Congress for clarifying that this antiquated law should not apply to PhotoStamps,” said Ken McBride, President and CEO of “This amendment to the law clears the way for the U.S. Postal Service to allow businesses to use PhotoStamps to market and communicate with customers in a more effective manner.”

Each PhotoStamp is valid U.S. postage and can be used as regular postage to send letters, postcards or packages. A market test for the product began on May 17, 2005 and is expected to last one year. PhotoStamps is currently available for the most common mail rates in denominations ranging from $0.24 to $4.05. Each sheet includes 20 individual PhotoStamps. To order, customers simply upload a digital photograph or image file at, customize the look and feel by choosing one of ten different border colors to complement the image, select the value of postage and place the order. The interface is fun, functional and incredibly easy-to-use. PhotoStamps is a patented product that couples the technology of PC Postage with the simplicity of a Web-based image upload and order process.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This release includes forward-looking statements about our available products and their permitted usage that involve risks and uncertainties. Important factors, including the Company’s ability to obtain and maintain regulatory approval, which could cause actual results to differ materially from those in the forward-looking statements, are detailed in filings with the Securities and Exchange Commission made from time to time by, including its Annual Report on Form 10-K for the fiscal year ended December 31, 2004, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. undertakes no obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events., the logo and PhotoStamps are registered trademarks of Inc. All other brands and names are property of their respective owners. Investor Contact:
Jamie Harper
Director, Investor Relations
(310) 482-5830

Press Contact:
Dena Cook
Zeno Group
(310) 566-2283
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