Catalina Marketing Announces Color Printer Rollout.

ST. PETERSBURG, Fla. -- Catalina Marketing Corporation (NYSE:POS), the global leader in behavior-based marketing across multiple industries, today announced the upcoming rollout of its new full-color printers, to be located in Catalina retail partner stores nationwide. The groundbreaking new technology will allow both retailers and consumer goods manufacturers to deliver dynamic, full-color messages with appealing product images to distinct target consumer segments, improving the efficiency of in-store promotions and brand-building efforts. The technology will be supplied and supported as part of a multi-year agreement with Epson America.

"We look forward to great success with our full-color and graphics communications initiative," said Dick Buell, chief executive officer of Catalina Marketing Corporation. "Color graphics and imaging capabilities are the next generation for Catalina's behavior-based consumer communication strategy. We believe this rollout will further improve both the impact and the effectiveness of our targeted messaging; it will enable new product introduction, business and brand development opportunities for our manufacturer clients and retail partners; and it will position Catalina Marketing well for long-term growth."

The new, full-color and full-graphics communications will expand Catalina's current thermal black and white printing capability, which has been the cornerstone of Catalina's behavior-based targeted marketing program for more than 22 years. The initial rollout is scheduled to begin in mid 2006 and is expected to be completed in late 2007. Approximately 3.7 billion promotions are printed by Catalina in retailers throughout the United States annually, reaching more than 230 million shoppers on a weekly basis.

"We have had a strong, long-standing partnership with Catalina," said Bud Weist, vice president of sales and marketing, Epson System Device Group. "We are confident that Catalina's new full-color solution will dramatically enhance its retail in-store marketing communications, while ensuring more successful in-store promotions for Catalina's customers."

About Catalina Marketing Corporation

Based in St. Petersburg, Fla., Catalina Marketing Corporation, http://www.catalinamarketing.com, was founded over 20 years ago based on the premise that targeting communications based on actual purchase behavior would generate more effective consumer response. Today, Catalina Marketing combines unparalleled insight into consumer behavior with dynamic consumer access. This combination of insight and access provides marketers with the ability to execute behavior-based marketing programs, ensuring that the right consumer receives the right message at exactly the right time. Catalina Marketing offers an array of behavior-based promotional messaging, loyalty programs and direct-to-patient information. Personally identifiable data that may be collected from the company's targeted marketing programs, as well as its research programs, are never sold or provided to any outside party without the express permission of the consumer.

About Epson

Epson offers an extensive array of POS printers and transaction terminals for the retail, hospitality, supermarket and banking markets. Founded in 1975, Epson America, Inc. is the U.S. affiliate of Japan-based Seiko Epson Corporation, a global manufacturer and supplier of high-quality technology products that meet customer demands for increased functionality, compactness, systems integration and energy efficiency. Epson America, Inc. is headquartered in Long Beach, California. For more information, please visit http://www.pos.epson.com.

Certain statements in the preceding paragraphs are forward-looking, and actual results may differ materially. Statements not based on historic facts involve risks and uncertainties, including, but not limited to, potential complications, hardware and software issues and delays related to the schedule, installation and operation of color printers, the effectiveness of color printers to increase sales and redemption rates or provide a more effective advertising medium, the changing market for promotional activities, especially as it relates to policies and programs of packaged goods and pharmaceutical manufacturers and retailers, government and regulatory statutes, rules, regulations and policies, the effect of economic and competitive conditions and seasonal variations, actual promotional activities and programs with the company's customers, the pace of installation of the company's store network including as it relates to the installation of color printers in existing and future retail channels, the success of new services and businesses and the pace of their implementation, the company's ability to maintain favorable client and retailer relationships, the outcome and impact of an ongoing SEC investigation into certain of the company's prior fiscal years, and the outcome and impact of the pending shareholder class action and derivative lawsuits.