Blue Nile Launches Canadian Website and Partners With Leading Canadian Ecommerce Destination chapters.indigo.ca

Kurt Peters

Offers Extensive Selection of Diamonds and High-End Jewelry to Canadian Consumers; Sets Stage for Further International Expansion

SEATTLE, Jan. 21 -- Leading online jeweler Blue Nile (NASDAQ:NILE) today announced the launch of its Canadian website found at www.bluenile.ca. The company simultaneously announced a partnership with chapters.indigo.ca, the online arm of Indigo Books & Music Inc., (TSX: IDG) Canada`s largest retailer of books, music, movies, gifts and more. Now, through its Blue Nile relationship, chapters.indigo.ca will, for the first time, offer high-end diamonds and fine jewelry.

The launch of www.BlueNile.ca marks the first time customers in Canada will be able to take advantage of the unique benefits of Blue Nile`s award-winning website and customer service. Blue Nile has built a reputation for providing the highest quality diamonds and fine jewelry at prices that provide tremendous value compared to traditional retail. The company`s unique approach to selling jewelry, emphasizing in-depth product education, a no-pressure commission-free environment, and an extensive selection of more than 55,000 certified diamonds, places consumers in control of the purchasing process.

Blue Nile will offer a wide-range of products in Canada including loose diamonds as well as engagement rings (solitaire and three-stone rings), diamond stud earrings, diamond solitaire pendants, and men`s and women`s wedding bands. Blue Nile`s "Build Your Own" application enables consumers to customize engagement rings, earrings and pendants to their specifications. In the "Build Your Own Ring" application customers can choose from classic solitaire settings, settings with sidestones, and three-stone settings. Pendants can be designed using classic solitaire pendant settings and three-stone pendant settings.

"Blue Nile offers tremendous value to consumers as a result of our unique business model," said Mark Vadon, CEO of Blue Nile. "Consumers are excited to finally be in control of the fine jewelry shopping process and have quickly become loyal Blue Nile customers because of the unique advantages we provide. We`re excited to introduce the same benefits to customers in Canada through our relationship with the leading Canadian ecommerce destination, chapters.indigo.ca."

"Our unique partnership with leading online jeweler Blue Nile is just one more way that chapters.indigo.ca delivers on its mission to offer Canadians the best in online retail experiences," said Jonathan Ehrlich, Senior Vice President Online, of Indigo Books & Music Inc.

About Blue Nile, Inc.
Blue Nile is a leading online retailer of high quality diamonds and fine jewelry. The Blue Nile web site showcases more than 55,000 independently certified diamonds and more than 1,000 styles of fine jewelry, including rings, wedding bands, earrings, necklaces, pendants, bracelets and watches. Blue Nile can be found online at www.bluenile.com and www.bluenile.ca. Blue Nile is traded on the Nasdaq National Market under the trading symbol NILE.

About Indigo Books & Music Inc.
Indigo is a Canadian company and the largest book retailer in Canada, operating bookstores in all provinces under the names Indigo Books Music & more, Chapters and Coles. Indigo operates chapters.indigo.ca, an online retailer of books, music, movies, and gifts.

Indigo is a publicly traded company listed on the Toronto Stock Exchange under the stock symbol IDG. To learn more about Indigo, please visit the About Our Company section of http://chapters.indigo.ca/ .

John Baird


Blue Nile Inc., Diamond, Indigo Books and Music, Nile