AOL signs pact with Cisco, CVS

NEW YORK: AOL Time Warner Inc. on Thursday said it had expanded its

technology and marketing deal with networking giant Cisco Systems Inc. and made

CVS Corp.'s pharmacies a primary retail partners for its "You've Got

Pictures" service. However, terms of both deals were not disclosed.

The deals, are part of AOL Time Warner's seemingly never-ending campaign to

strike partnerships with blue-chip firms, which it says is one of the reasons it

has weathered the storm created by the sharp decline in ad spending that has

hurt many of its media rivals.

Most of the AOL's recent deals have been multifaceted - covering marketing,

advertising, sponsorships, and sometimes technology - and have occasionally been

struck with companies that have other relationships with AOL Time Warner - the

world's largest Internet and media company.

Under the latest pact with Cisco, the networking company will continue to

provide technology products and services for several AOL Time Warner units,

including AOL and Time Warner Cable. The firms will also continue to work

together on the development of products and services for the consumer market.

The terms of the technology pact, lets AOL Time Warner double the capacity

and coverage of its AOL Transit Data Network by adding routers from Cisco, which

lets AOL support the growth of its interactive brands. Cisco will continue to

advertise across AOL Time Warner online properties, including the AOL service

and Fortune.com and would continue its marketing relationships with the

company's print and cable divisions including Time Inc. and Turner Broadcasting.

In the deal with CVS, consumers will be able to use AOL's "You've Got

Pictures" service in more than 4,100 stores when the new version is

launched this summer. The service, delivered in conjunction with Eastman Kodak

Co., is an interactive service that will allow consumers to view, share, and

store photographs online.

When consumers use CVS to develop their film, in addition to receiving both

prints and negatives, their pictures will also be delivered directly to their

AOL account. Since the completion of AOL's $106.2 billion purchase of Time

Warner Inc. in January, AOL Time Warner has struck pacts with Compaq, Foundry

Networks, Swiss watchmaker Swatch Group, and retailer CompUSA Inc.

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