Raster Graphics, Inc.
Ticker: RGFX 3025 Orchard Parkway
Exchange: NASDAQ-National Market San Jose, California 95134
Industry: High-Tech (408) 232-4000

Type of Shares:Common Shares Filing Date:6/21/96
U.S. Shares:3,000,000 Offer Date:8/8/96
Non-U.S. Shares:0 Filing Range:$9.00 - $11.00
Primary Shares:2,000,000 Offer Price:$8.00
Secondary Shares:1,000,000 Gross Spread:$0.56
Offering Amount: $30,000,000 Selling:$0.30
Expenses:$850,000 Reallowance:$0.10
Shares Out After:8,341,350

ManagerTierPhone
Hambrecht & Quist IncorporatedLead Manager (415) 576-3423
Prudential Securities IncorporatedCo-manager (212) 214-3000

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 6/30/96 6/30/95 6/3/96
Revenue:$26.05$18.15$11.65Assets:$16.05
Net Income:$0.08$1.20$0.28Liabilities:$8.11
EPS:$0.01$0.16$0.04Equity:$7.94

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The Company develops, manufactures and markets high-performance, large format color printing systems and sells related consumables for the on-demand, large format digital printing (LFDP) market. The LFDP market consists of color print jobs with run lengths ranging from one to 200 copies and output sizes of 20 inches by 30 inches or larger. Applications include point of purchase signs and, trade show exhibit graphics, banners, billboards, courtroom graphics and backlit signage. The primary users of the Company's products are color photo labs, reprographic house, graphic arts service bureaus, exhibit builders, digital color printers, screen printers and in-house print shops. The Company's Digital Color Station printing system, consisting of the DCS Printer and PosterShop system software, allows users to print short runs of high quality color graphics on-demand at substantial time and cost savings relative to traditional printing methods.

Use of Proceeds
The proceeds from the proposed offering will be used for general corporate purposes including working capital, capital expenditures, research and development and potential acquisitions of businesses and technologies.

Last updated: 10/28/96

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