CPI Corp. Files Investor Presentation

Recommends Stockholders Vote FOR CPI's Highly-Qualified, Experienced Nominees on the WHITE Proxy Card 


ST. LOUIS, June 24  /PRNewswire-FirstCall/ -- CPI Corp. (NYSE:CPY) today announced that it has filed an investor presentation with the Securities and Exchange Commission ("SEC") in connection with the Company's 2009 Annual Meeting of Stockholders to be held on July 8, 2009.

CPI's board of directors recommends that stockholders vote FOR the Company's highly-qualified, experienced nominees -- James Abel, Paul Finkelstein, Michael Glazer, Michael Koeneke, David Meyer and Turner White -- by telephone, Internet or by signing, dating and returning the WHITE proxy card today.

The investor presentation is available under the "investor" section of the Company's website at: http://www.cpicorp.com/ and at the SEC's website at http://www.sec.gov/.

  Highlights of the presentation include:

  --  CPI's board, whose interests are closely aligned with those of all
      stockholders, has nominated six experienced and highly-qualified
      director nominees.

  --  CPI's board and management team have undertaken a series of actions to
      drive significant gains in operating margins, earnings and cash flow,
      including:


      -- Developed and executed a groundbreaking digital transition
         strategy;
      -- Jettisoned diversionary and loss-making ventures and sharpened
         focus on the core Sears business;
      -- Completed acquisition of PictureMe Portrait Studio(R) operations out
         of bankruptcy in June 2007;
      -- Extended CPI's cost leadership through the generation of $30
         million in annualized cost savings; and
      -- Strengthened relationships with CPI's retail hosts, Sears and
         Walmart, and executed a new six year agreement with Sears.
  --  CPI's board has in place a strategic plan to address industry and
      economic challenges through a focus on operational efficiency,
      customer service and cash generation while developing new avenues for
      profitable growth.

  --  CPI has a record of strong corporate governance, including: separate
      Chairman and CEO; all directors are independent; and compensation
      practices closely align the interests of employees, management and the
      board with those of stockholders.

  --  Ramius's nominees have not communicated any new ideas, plans or
      strategies.

  --  Ramius's nominees lack relevant qualifications for board service and
      have no significant experience in corporate governance, corporate
      finance and executive management. The Ramius nominees also lack any
      relevant industry experience.

  --  Ramius's interests are not aligned with the interests of other CPI
      stockholders and we believe that its nominees, if elected, would seek
      to advance Ramius's own interests, not those of all CPI stockholders.

  --  As a member of the CPI board and as evidenced by its proxy contest
      with respect to the election of the board, Ramius has engaged in a
      range of disruptive behaviors, which CPI believes, if continued, will
      divert management from the execution of the Company's strategic plan.




If you have any questions, require assistance with voting your WHITE proxy card, or need additional copies of the proxy materials, please contact:

                            MacKenzie Partners, Inc.
                               105 Madison Avenue
                               New York, NY 10016

                          

                         [phone] (Call Collect)
                                      Or
                            TOLL-FREE [phone]

  Important Information


CPI Corp. has filed a definitive Proxy Statement with the Securities and Exchange Commission ("SEC") and has furnished to its stockholders a Proxy Statement in connection with the solicitation of proxies for the 2009 Annual Meeting of Stockholders. The Company advises its stockholders to read the Proxy Statement relating to the 2009 Annual Meeting because it contains important information. Stockholders may obtain a free copy of the Proxy Statement and other documents that CPI files with the SEC at the SEC's website at http://www.sec.gov/. The Proxy Statement and these other documents may also be obtained for free from CPI by directing a request to CPI Corp., 1706 Washington Avenue, St. Louis, Missouri 63103-1717, Attn: Corporate Secretary, calling [phone], or by contacting MacKenzie Partners, Inc., by toll-free telephone at 800-322-2885 or by e-mail at .

Certain Information Concerning Participants

CPI Corp. and its directors and executive officers (other than Peter Feld) may be deemed to be participants in the solicitation of proxies from stockholders in connection with the Company's 2009 Annual Meeting. Information concerning persons who may be considered participants in the solicitation of the Company's stockholders under the rules of the SEC is set forth in public filings by the Company with the SEC, including the proxy statement relating to the 2009 Annual Meeting of Stockholders.

Forward-Looking Statements

The statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve risks and uncertainties. The Company identifies forward-looking statements by using words such as "preliminary," "plan," "expect," "looking ahead," "anticipate," "estimate," "believe," "should," "intend" and other similar expressions. Management wishes to caution the reader that these forward-looking statements, such as the Company's outlook for portrait studios, net income, future cash requirements, cost savings, compliance with debt covenants, valuation allowances, reserves for charges and impairments and capital expenditures, are only predictions or expectations; actual events or results may differ materially as a result of risks facing the Company. Such risks include, but are not limited to: the Company's dependence on Sears and Walmart, the approval of the Company's business practices and operations by Sears and Walmart, the termination, breach, limitation or increase of the Company's expenses by Sears under the license agreements, or Walmart under the lease and license agreements, customer demand for the Company's products and services, the economic recession and resulting decrease in consumer spending, compliance with the NYSE listing requirements, manufacturing interruptions, dependence on certain suppliers, competition, dependence on key personnel, fluctuations in operating results, a significant increase in piracy of the Company's photographs, widespread equipment failure, compliance with debt covenants, high level of indebtedness, implementation of marketing and operating strategies, outcome of litigation and other claims, impact of declines in global equity markets to pension plans and impact of foreign currency translation. The risks described above do not include events that the Company does not currently anticipate or that it currently deems immaterial, which may also affect its results of operations and financial condition. The Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

About CPI Corp.

CPI Corp. has been dedicated to helping families conveniently create cherished photography portrait keepsakes that capture a lifetime of memories for more than 60 years. CPI Corp. provides portrait photography services in approximately 3,000 locations, principally in Sears and Walmart stores. As the first in the category to convert to a fully digital format, CPI Corp. studios offer unique posing options, creative photography selections, a wide variety of sizes and an unparalleled assortment of enhancements to customize each portrait - all for an affordable price. CPI Corp. is based in St. Louis and traded on the New York Stock Exchange (ticker: CPY).

  Contact:
  Matthew Sherman / Eric Brielmann
  Joele Frank, Wilkinson Brimmer Katcher
  [phone]


DATASOURCE: CPI Corp.



CONTACT:  Matthew Sherman, or Eric Brielmann, Joele Frank, Wilkinson

Brimmer Katcher, [phone]



Web Site:  http://www.cpicorp.com/ 

Copyright