PN Pni Digital Media Inc.

PNI Digital Media (TSX VENTURE: PN)(OTCBB: PNDMF), ("PNI" or the "Company"), the leading innovator in online and in-store digital media solutions for retailers, announced the release of an all-new iPhone app for leading retailers who wish to connect their online and in-store photo centers with today's mobile consumers. The all-new PNI photo center app is free and the first deployment is available today for download from the iTunes Canada store at http://itunes.apple.com/ca/app/wm-photo/id422925162.

PNI's new photo center app is intimately connected to the PNI Digital Media Platform, enabling a retailer's customers to easily select and order photo prints right on their iPhone for pick up at any of the retailer's store locations in as little as one hour. To make the order process as easy possible, the PNI photo center app geolocates a consumer based on their current position and instantly shows them the nearest eligible retail locations to place their orders. Consumers can also search for a preferred retail location based on favorites, city search or postal code search. A consumer's favorite retail location is automatically saved for easy re-ordering.

The PNI photo center app is available for the first time to leading Canadian photo retailers. Key features include the ability to:

--  Connect consumers and the photos on their iPhone directly to a
    retailer's in-store photo lab, creating both transactions and return-to-
    store visits

--  Generate mobile photo orders in a variety of sizes including 4x6 prints,
    5x7 prints, and 8x10 enlargements directly from an iPhone for 1-hour
    pick up at any retail location chain-wide

--  Enable consumers to view photos within their online albums as well as
    upload and download photos between their iPhone and their online albums

--  Consumers can check the status of their order and see an entire order
    history of all photo orders placed with that retailer

"With the number of photos being captured on mobile devices increasing exponentially, offering applications that make it easy to place orders at retail locations is an important strategic initiative for PNI," said Kyle Hall, Chief Executive Officer of PNI Digital Media. "Our retail clients share our excitement to harness this expanding mobile market."

The PNI photo center app works with iPhone, iPad and iPod touch devices, and is initially available from the iTunes Canada Store. The PNI photo center app will roll out with US and UK-based photo retailers connected to the PNI Digital Media Platform later this year.

About PNI Digital Media - PNI Digital Media operates the PNI Digital Media Platform, which provides transaction processing and order routing services for major retailers. The PNI Digital Media Platform connects consumer-ordered digital content, whether from online, in-store kiosks, desktop software or mobile phones, with retailers that have on-demand manufacturing capabilities for the production of personalized products such as photos, photo books, calendars, business cards and stationery. PNI Digital Media successfully generates millions of transactions each year for retailers and their thousands of locations worldwide.

Further information on our company can be found at www.pnimedia.com.

The statements that are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties. PNI Digital Media's actual results could differ materially from those expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, changes in technology, employee retention, inability to deliver on contracts, failure of customers to continue marketing the online solution, competition, general economic conditions, foreign exchange and other risks detailed in the Company's annual report and other filings. Additional information related to the Company can be found on SEDAR at www.sedar.com and on the SEC'S website at www.sec.gov/edgar.shtml. The information contained herein is subject to change without notice. PNI Digital Media shall not be liable for technical or editorial errors or omissions contained herein.

The TSX Venture Exchange has neither approved nor disapproved the information contained in this release. PNI Digital Media relies upon litigation protection for "forward-looking" statements.

iTunes, iPad, iPhone, and iPod touch are trademarks of Apple Inc., registered in the U.S. and other countries.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts: Investor Relations and Press Contact: PNI Digital Media Simon Cairns 866-544-4881 ir@pnimedia.com www.pnimedia.com