I've had similar problems; try creating a BMP or other non-compressed image file of the text. If you're using the "white is transparent" feature (that's a Ray Dream Studio term; I still don't have Carrara), the jpeg compression causes the area surrounding the text to be just slightly off-white. So, while the "white" is transparent, the the slightly off-white looks white on your model. If you do a search in this forum and put the word "skeeter" in it, you'll find a thread that talks a little about this very problem. I seem to remember another thread a year or two ago that covered it, but can't find it. Hope that helps. - Dex