Press Release

CVS Launches Online Photo Service

First Nationwide Retailer To Combine Internet Ordering Of Digital Prints With In-Store Pick-Up

WOONSOCKET, R.I., June 30 /PRNewswire-FirstCall/ -- CVS/pharmacy (NYSE: CVS)
has launched a new online digital photo service, giving customers the ability to
send their digital images to CVS.com from their home or office computer and pick
up their prints the next day at any CVS store.

CVS online digital prints are available for the everyday low price of 29
cents each, the same price as in-store prints. In addition, the CVS online
digital photo service offers several advantages over other online services: you
don't pay for your prints until you pick them up at your local CVS, and there's
no need to use your credit card online because you don't need to pay in advance
to receive your prints. Also, unlike purely online photo developing services,
there is no mailing or service fee when you use CVS for online digital photo
developing.

"The introduction of our new online photo service gives our customers the
best of both worlds -- the convenience of ordering your photos online with
CVS.com and the ease of picking up your photos the next day at any of our 4,200
CVS/pharmacy locations. There is also no mailing or delivery fee for this
service," said Grant Pill, Director of Photo Processing at CVS.

The new digital photo online service was launched by CVS in its June 20th
newspaper circular, which reaches over 35 million households across the country.
The service will be further supported with online and in-store marketing and
promotions.

"Our launch of online digital photo service makes CVS a clear national retail
leader in digital photo. We were the first with in-store digital processing, the
first to offer wireless camera phone digital printing, the first to launch a
marketing alliance with a major camera phone manufacturer (Nokia), and now we
are first to offer online digital prints. CVS is committed to leading the photo
category now and wherever imaging technology takes us in the future," said
Pill.

With over 40 years of dynamic growth in the retail pharmacy industry, CVS is
committed to being the easiest pharmacy retailer for customers to use. With
4,200 stores in 32 states and the District of Columbia, CVS has created
innovative approaches to serve the healthcare needs of all its customers through
its online pharmacy, CVS.com, and its pharmacy benefit management and specialty
pharmacy subsidiary, PharmaCare Management Services.

On April 5, 2004, the Company entered into a definitive agreement under which
it will acquire 1,260 Eckerd drug stores, located mainly in the southern United
States, in addition to Eckerd Health Services, which includes Eckerd's mail
order and pharmacy benefit management businesses. The transaction is expected to
close in July of 2004.