Amazon.com Announces Fourth Quarter Sales up 36% to $12.95 Billion

Amazon.com, Inc. (NASDAQ:AMZN) today announced financial results for its fourth quarter ended December 31, 2010.

Operating cash flow increased 6% to $3.50 billion for the trailing twelve months, compared with $3.29billion for the trailing twelve months ended December 31, 2009. Free cash flow decreased 14% to $2.52 billion for the trailing twelve months, compared with $2.92 billion for the trailing twelve months ended December 31, 2009.

Common shares outstanding plus shares underlying stock-based awards totaled 465 million on December 31, 2010, compared with 461 million a year ago.

Net sales increased 36% to $12.95 billion in the fourth quarter, compared with $9.52 billion in fourth quarter 2009. Excluding the $139 million unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales would have grown 37% compared with fourth quarter 2009.

Operating income was $474 million in the fourth quarter, compared with $476 million in fourth quarter 2009. The unfavorable impact from year-over-year changes in foreign exchange rates throughout the quarter on operating income was $18 million.

Net income increased 8% to $416 million in the fourth quarter, or $0.91 per diluted share, compared with net income of $384 million, or $0.85 per diluted share, in fourth quarter 2009.

"Thanks to our customers, we achieved two big milestones," said Jeff Bezos, founder and CEO of Amazon.com. "We had our first $10 billion quarter, and after selling millions of third-generation Kindles with the new Pearl e-ink display during the quarter, Kindle books have now overtaken paperback books as the most popular format on Amazon.com. Last July we announced that Kindle books had passed hardcovers and predicted that Kindle would surpass paperbacks in the second quarter of this year, so this milestone has come even sooner than we expected - and it's on top of continued growth in paperback sales."

Free Amazon Deals App for iPhone Now Available

Never miss another deal with easy, on-the-go access to Amazon Gold Box Deals

Amazon.com has announced Amazon Deals, a free application for iPhone that offers easy, on-the-go access to daily deals from the Amazon.com Gold Box (www.amazon.com/goldbox). Customers can use the app to act quickly on limited-availability discounts and stay informed with deal notifications, to help them get the deal they want.

"With Amazon Deals, no matter where they are, our customers can stay connected and informed on deals in their favorite categories and purchase from their iPhone immediately, before they sell out, so they never have to miss another deal," said Sam Hall, director of Amazon Mobile.

The Amazon Deals app will help customers save even more money with mobile access to Amazon's Deal of the Day and limited-time Lightning Deals featured in Amazon's Gold Box page. Amazon Gold Box Deals offer tremendous value beyond Amazon's typical low prices and due to limited quantities, can sell out quickly. The Amazon Deals app makes shopping the Gold Box even better. With helpful features like reminders and category-specific notifications on everything from electronics to jewelry, Amazon customers will never have to miss another deal. Customers can also browse active deals, upcoming Lightning Deals and purchase immediately.

The Amazon Deals app includes access to features customers have come to know and trust including customer reviews; robust product information; sharing via e-mail, Twitter and Facebook; and purchasing via Amazon Prime, for delivery directly to your doorstep.

Amazon Deals for iPhone is available for free in the App Store or at http://www.itunes.com/appstore. For more information please visit: www.amazon.com/dealsapp.

Amazon's family of mobile shopping applications includes Price Check by Amazon for iPhone, Amazon Windowshop for iPad and the Amazon App for iPhone, iPad, Blackberry and Android-based devices. Customers can learn more by visiting www.amazon.com/amazonmobile.

Free "Buy Once, Read Everywhere" Kindle App for Windows Phone 7 Now Available

Kindle for Windows Phone 7 is the first major eBook app for Windows Phone 7-based devices
Amazon's free Kindle apps give readers access to the largest selection of the most popular books and lets them sync their reading across all major devices and platforms.

Customers can already read Kindle books on their Kindle, Kindle 3G, Kindle DX, as well as their iPad, iPod touch, iPhone, PC, Mac, BlackBerry and Android-based devices. Today, Amazon's wide selection of free "Buy Once, Read Everywhere" Kindle apps is expanding to include Windows Phone 7 devices. Kindle for Windows Phone 7 is the first major eBook application available for Windows Phone 7, and includes new features built into a Kindle app for the first time, including personalized recommendations integrated into the Kindle app home screen and the ability to send book recommendations to a friend without leaving the app. Customers can learn more about Kindle for Windows Phone 7 at www.amazon.com/kindleforwindowsphone and can download the free app from Windows Phone Marketplace.

"With Kindle books you never have to worry about what to do if you change devices or platforms. Our free 'Buy Once, Read Everywhere' apps make it easy for you to read your books on any device you choose - your Kindle, Kindle 3G, Kindle DX, iPad, iPhone, PC, Mac, BlackBerry, Android-based device, and now your Windows Phone 7-based device," said Dorothy Nicholls, Director, Amazon Kindle. "We think customers are going to love our new Kindle app on the unique interface of Windows Phone 7 and the convenience of our Whispersync technology, which saves and synchronizes your bookmarks, notes and highlights between all of your devices."

Newspapers and Magazines Coming to Amazon's Buy Once, Read Everywhere Kindle Apps

All of the features customers love about Kindle newspapers and magazines coming to Kindle for Android, including convenience of automatic overnight delivery of subscriptions, buy once and read across multiple devices and platforms, full text search and instant Wikipedia and dictionary lookup



Amazon today announced that Kindle for Android is the first Kindle app to receive an update that enables users to buy, read, and sync over 100 Kindle newspapers and magazines, including The New York Times, Newsweek, The Atlantic, and many more. Kindle for Android users can now buy a single issue or subscribe to the most popular newspapers and magazines, have them automatically delivered to their Android-powered device, and enjoy a full color reading experience optimized for the touch interface of Android-powered devices. Additional new features include the ability to seamlessly buy and download Kindle books and periodicals within the Kindle for Android app, share reading progress via social networks, and zoom closer to images and other graphics. Kindle for Android is the first major e-book app to offer periodicals on the Android platform. The new Kindle for Android app is available from Android Market. Customers who have already downloaded Kindle for Android will receive the update automatically. Learn more about Kindle for Android at www.amazon.com/kindleforandroid.

"We want to give customers the freedom and flexibility to buy their newspapers and magazines once, and read them everywhere across the devices and platforms they chose--just like they do with Kindle books today," said Russ Grandinetti, Vice President, Amazon Kindle. "Kindle for Android is our fastest-growing application, and we're excited to launch over 100 newspapers and magazines for our Android customers."
For a full listing of newspapers and magazines available on Kindle for Android, go to www.amazon.com/kindleappnewsstand.