Fuji Photo Film and Dentsu Announce the Establishment of F2M Inc. as a Joint Venture
Specializing in Internet and Mobile Phone e-marketing

--- New company will be a one-stop shop supporting all services
related to Internet-based direct marketing ---

June 20, 2006

Fuji Photo Film Co., Ltd. (President: Shigetaka Komori; Head Office: Tokyo) and Dentsu Inc. (President: Tateo Mataki; Head Office: Tokyo) announced today that they have established a new joint venture company, called F2M Inc., specializing in the e-marketing field. The new company also commenced operations as of today, June 20, 2006.

The widespread diffusion of the Internet and mobile phones, along with diversification of consumer lifestyles, is causing rapid changes in the consumer environment. In particular, Internet-based shopping has grown exponentially in recent years (see Note) and this trend is expected to spread into mobile phone-based businesses in the near future. In addition, to meet a broad range of consumer needs, companies will need to utilize e-marketing within a more customized, direct approach to consumer service than has previously been the case.

For companies intending to develop businesses that harness the Internet and mobile phones, an array of specialized e-marketing business services are required. Such services include strategic planning, advertising and promotion, e-commerce site development, logistics and distribution, and customer relationship management. Until now, these services have mainly been offered separately by multiple providers, such as advertising agencies, market research companies and back-end system providers.

With the establishment of F2M, these services are now consolidated under one roof. For companies intending to newly enter Internet-based direct marketing businesses, F2M will provide one-stop support in all areas of e-marketing operations. Furthermore, by engaging F2M for e-marketing support, clients will be able to embark on businesses utilizing the Internet and mobile phones through their own Website without compromising the corporate brand image.

Internet-based Direct Marketing Value Chain

F2M one-stop support

The business-to-consumer e-commerce market in Japan grew from 824 billion yen in 2000 to 5,643 billion yen in 2004, according to research by the Ministry of Economy Trade and Industry (METI): Survey on the Current Status and Market Size of Electronic Commerce for 2004

Outline of the New Company
Company Name: F2M Inc.
Establishment: June 20, 2006
Location: 5F, Roppongi Mikawadai Bldg., 4-8-7, Roppongi, Minato-ku, Tokyo
Board of Directors:    President & CEO: Hisashi Asai (Fuji Photo Film)
Director (part-time): Takeshi Isobe (Dentsu)
Director: Makoto Yorisada (Fuji Photo Film)
Auditor: Jun Takahashi (Fuji Photo Film)
Description of Business:
(1) Marketing planning, promotional planning, operations and consulting for Internet and mobile phone business
(2) Purchase and sale of advertising space on the Internet and mobile phone media
(3) Internet and mobile phone-based retail operations and support
(4) Internet and mobile phone-based site planning, design, development, operation and maintenance
(5) Effectiveness research, information services, and research and development relating to Internet and mobile phone-based advertising
Paid-in Capital: 200 million yen
Shareholding Ratio: Fuji Photo Film Co., Ltd. 66%; Dentsu Inc. 34%
Employees: 10
Net Sales Target: 2 billion yen (Fiscal year 2009)

Media Contact:
Fuji Photo Film Co., Ltd.
Corporate Communications Division, Public Relations Division
Tel: 81-3-3406-2490
Fujifilm website:
Japanese :http://fujifilm.jp/
English :http://www.fujifilm.com/

Dentsu Inc.
Yukihiro Oguchi
Senior Manager
Corporate Communications Division
Tel: 81-3- 6216-8042
E-mail: yukihiro.oguchi@dentsu.co.jp