Announces Plans for Global Imagery Production and Distribution Relationship with Amana
SEATTLE, May 13, 2005. Getty Images, Inc. (NYSE:GYI - News), the world's leading imagery company, announced today that it will acquire Photonica West from the Tokyo-based Amana Group for $51 million in cash. Photonica produces and distributes two of the world's leading collections of cutting edge, high-end rights-managed imagery from some of the most talented and creative photographers in Europe, the United States and Japan. These collections are considered the "hidden gems" of the imagery business -- highly respected by creative professionals but with limited global sales, marketing and distribution. As a result of this acquisition, both Photonica and Iconica will be distributed via gettyimages.com, the de-facto homepage of visual communicators.
The acquisition of the non-Japanese interests of Amana is the first phase of a broader global production and reciprocal distribution relationship between Getty Images, the world leader in imagery and related products and services, and Amana, the leading visual solutions experts in Japan. Getty Images plans to further strengthen its position in the Japanese market by entering into distribution arrangements with Amana to represent Amana's locally relevant content in Japan. Amana will offer some of the major Getty Images collections to its customers in Japan. In addition, Getty Images expects to represent and distribute Amana's imagery to the international market outside of Japan through its unrivaled distribution network.
Getty Images and Amana also plan to co-produce high quality, wholly owned creative photography both in Japan and elsewhere. This joint production capability will provide more choice and higher quality imagery for visual communicators and greater opportunities for photographers everywhere.
"Getty Images and Photonica represent the global gold standards for contemporary, high-end creative imagery," said Jonathan Klein, Getty Images co-founder and CEO. "Combining Getty Images' creative expertise with that of Photonica and Iconica, and leveraging the distribution power of our e-commerce platform, will provide customers with easy access to the very best imagery in the industry, enabling them to do their best work. Furthermore, our relationship with Amana will significantly accelerate our already successful penetration of Japan, the world's second largest market for imagery, and further strengthen gettyimages.com's global role as the de-facto home page for visual communicators."
The acquisition is expected to have no impact on earnings per diluted share in 2005, and to be accretive to Getty Images' earnings per diluted share in 2006.
About Getty Images
Getty Images is the world's leading imagery company, creating and distributing the largest and most relevant collection of still and moving images to communication professionals around the globe and supporting their work with asset management services. From news and sports photography to contemporary and archival imagery, Getty Images' products are found each day in newspapers, magazines, advertising, films, television, books and Web sites. Gettyimages.com is the first place customers turn to search, purchase, download and manage powerful imagery. Seattle-headquartered Getty Images is a global company with customers in more than 100 countries. Visit the Getty Images site at https://gettyimages.com.
Some of the statements in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's expectations, assumptions and projections about Getty Images and its industry as of the time the statements are made. These forward-looking statements are not guarantees of future performance and are subject to certain risks and uncertainties that could cause our actual results to differ materially from our past performance and our current expectations, assumptions and projections. Differences may result from actions taken by the company as well as from risks and uncertainties beyond the company's control. These risks and uncertainties include, among others, the risks associated with currency fluctuations, changes in the economic, political, competitive and technological environments, and the risks associated with system security, upgrades, updates and service interruptions. The foregoing list of risks and uncertainties is illustrative, but by no means exhaustive. For more information on factors that may affect future performance, please review the reports filed by Getty Images with the Securities and Exchange Commission, in particular our Annual Report on Form 10-K for the year ended December 31, 2004. Except as required by law, Getty Images undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or other events.