Amazon.com Electronics Sales Surpass Books Sales for the First Time.

SEATTLE -- As holiday shopping heats up, Amazon.com (NASDAQ:AMZN) announced a company first -- even as its books business set a new Thanksgiving-weekend record, consumer electronics on www.amazon.com became Amazon's largest sales category for the first time.

"Amazon.com was recently named the best place to shop for electronics in the December issue of the leading consumer research magazine," said Jeff Bezos, founder and CEO of Amazon.com. "We're happy that so many customers are taking advantage of the low prices, selection and detailed product information that we offer in our Electronics store."

Electronics items are expected to be particularly popular this holiday season, along with Books, Music, DVDs, Home & Garden items, Apparel, Jewelry and Toys. Among the items expected to be favorites with customers this holiday season are the Apple 40 GB iPod Photo, ($474.05), Canon PowerShot A400 3.2 MP Digital Camera, ($168.94) and the Epson PictureMate Photo Printer, ($189.99). Prices quoted are as of November 30.

Amazon Electronics, like each of Amazon.com's product categories, has continued to expand selection while lowering prices. Additionally, Amazon.com focuses on providing extensive product information to help customers make good buying decisions. This is especially true for high-ticket items, into which customers put more thought before hitting the "buy button." Amazon.com offers tens of thousands of product manuals for upload so that customers can discover and learn about new products and how to enjoy them more effectively.

Sales during Thanksgiving weekend represent orders over the four days from Thanksgiving through Sunday.

About Amazon.com

Amazon.com (NASDAQ:AMZN), a Fortune 500 company based in Seattle, opened on the World Wide Web in July 1995 and today offers Earth's Biggest Selection. Amazon.com seeks to be Earth's most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices. Amazon.com and other sellers offer millions of unique new, refurbished and used items in categories such as health and personal care, jewelry and watches, gourmet food, sports and outdoors, apparel and accessories, books, music, DVDs, electronics and office, toys and baby, and home and garden.

Amazon.com and its affiliates operate seven Web sites: www.amazon.com, www.amazon.co.uk, www.amazon.de, www.amazon.fr, www.amazon.co.jp, www.amazon.ca, and www.joyo.com.

As used herein, "Amazon.com," "we," "our" and similar terms include Amazon.com, Inc., and its subsidiaries, unless the context indicates otherwise.

Forward Looking Statement

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, management of growth, potential fluctuations in operating results, fulfillment center optimization, seasonality, commercial agreements, acquisitions, and strategic transactions, foreign exchange rates, system interruption, international expansion, consumer trends, inventory, limited operating history, government regulation and taxation, fraud, 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, 2003, and all subsequent filings.