UNITED STATES
                SECURITIES AND EXCHANGE COMMISSION
                      WASHINGTON, D.C.  20549

                             FORM 10-K

       [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) 
             OF THE SECURITIES EXCHANGE ACT OF 1934 

           For the fiscal year ended December 31, 1995.

                                or

     [  ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) 
             OF THE SECURITIES EXCHANGE ACT OF 1934
        For the transition period from         to        .

                  Commission File Number 0-15512

                           ALPNET, INC.
      (Exact name of registrant as specified in its charter)

                       UTAH                          87-0356708
           (State or other jurisdiction of        (I.R.S. Employer
           incorporation or organization)        Identification No.)
         
     4444 SOUTH 700 EAST, SUITE #204, SALT LAKE CITY, UTAH    84107-3075
           (Address of principal executive offices)           (Zip Code)

Registrant's telephone number, including area code: (801) 265-3300

    Securities registered pursuant to Section 12(b) of the Act:
   Title of each class    Name of each exchange on which registered
           NONE                             NONE

    Securities registered pursuant to Section 12(g) of the Act:
                    COMMON STOCK, NO PAR VALUE
                         (Title of Class)

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.   Yes   X    No      

     Indicate by check mark if disclosure of delinquent filers pursuant to Item
405 of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K.    X  

     The aggregate market value (based on the average closing bid and ask
prices of the Common Stock as reported by the Nasdaq Stock Market on March 15,
1996) of the voting stock held by non-affiliates of the registrant as of March
15, 1996, was $18,509,644.   
  
     The number of shares outstanding of the registrant's Common Stock as of
March 15, 1996, was 16,200,541.

                DOCUMENTS INCORPORATED BY REFERENCE

     Listed below are documents from which information is incorporated by
reference herein, and the Parts of this Form 10-K into which such incorporation
by reference is made:
     Definitive Proxy Statement dated April 1, 1996 - Part III of this Form 10-
K.               


                         TABLE OF CONTENTS


  FORM 10-K
   ITEM NO.                NAME OF ITEM                                  PAGE

PART I

   Item  1.  Business         
   Item  2.  Properties          
   Item  3.  Legal Proceedings          
   Item  4.  Submission of Matters to a Vote of Security Holders      

PART II

   Item  5.  Market for Registrant's Common Equity and Related Stockholder 
              Matters     
   Item  6.  Selected Financial Data      
   Item  7.  Management's Discussion and Analysis of Financial Condition and 
              Results of Operations    
   Item  8.  Financial Statements and Supplementary Data   
   Item  9.  Changes in and Disagreements with Accountants on Accounting and 
              Financial Disclosure 

PART III

   Item 10.  Directors and Executive Officers of the Registrant       
   Item 11.  Executive Compensation    
   Item 12.  Security Ownership of Certain Beneficial Owners and Management 
   Item 13.  Certain Relationships and Related Transactions      

PART IV

   Item 14.  Exhibits, Financial Statement Schedules, and Reports on Form 8-K 

   SIGNATURES




                              PART I

ITEM 1.   BUSINESS

(A)   GENERAL DEVELOPMENT OF BUSINESS

ALPNET, Inc., incorporated in the state of Utah in 1980, and the subsidiaries it
acquired in 1987, 1988 and 1995 (the "Company" or "ALPNET"), together with its
independent affiliates, form a worldwide network dedicated to providing
specialized language services for businesses engaged in international trade. 
The Company has combined computer translation technology with experienced human
translators in its worldwide network to provide a full spectrum of services to
fulfill the language needs of customers in international business.  The Company
believes that it is the largest publicly-traded corporation in the world,
dedicated to providing translation and related services to corporations involved
in international trade.  The Company provides translation, localization,
multilingual desktop publishing, project management, and other linguistic
services, into all the world's major languages.  The following table shows the
operating companies in the network as of December 31, 1995:

      ALPNET, Inc.                        U.S.A.
      Multiscript International Inc.      Canada
      ALPNET U.K. Ltd.                    U.K.
      ALPNET Ireland Ltd.                 Ireland
      ALPNET S.A.                         Switzerland
      Interlingua S.L.                    Spain
      Dr. W.D. Haehl GmbH                 Germany
      INTERDOC SARL                       France
      Interlingua Language Services Ltd.  Hong Kong
      ALPNET Singapore Pte Ltd            Singapore
      ALPNET, Inc. Korea Branch           Korea
      AOLI Network Technology Ltd.        China

In 1987 and 1988, ALPNET organized holding companies in certain countries in
connection with the formation of its network and related acquisitions.  The
Korean branch of ALPNET, Inc. was formed in 1994.  ALPNET Ireland Ltd. and AOLI
Network Technology Ltd. were formed in 1995 and the Company acquired Translation
Services Bureau Ltd., a Scottish company, in late 1995.  In addition, since
December 31, 1995, the Company has added an operating company in the Netherlands
and a branch office of ALPNET, Inc. in Japan.

ALPNET affiliates are independent companies in which ALPNET has no ownership
interest, but which have been selected based upon their ability to produce
quality work in accordance with ALPNET standards, and which have been trained to
utilize ALPNET technology to produce work for the Company on a regular basis. 
ALPNET affiliates are located in the following cities:

      Buenos Aires, Argentina                Prague, Czech Republic
      Sao Paulo, Brazil                      Budapest, Hungary
      Stockholm, Sweden                      Moscow, Russia
      Dreibergen, The Netherlands            Warsaw, Poland
      Milan, Italy


(B)   FINANCIAL INFORMATION ABOUT INDUSTRY SEGMENT

The Company operates in one business segment:  language translation and related
services.


(C)   NARRATIVE DESCRIPTION OF BUSINESS

      GENERAL

The Company provides a full range of language services specifically tailored to
clients engaged in international business.  ALPNET translates product
information, brochures, operating manuals, schematics, maintenance manuals,
training materials and a host of other materials for businesses engaged in
selling products and services into markets where multiple languages are
required.  The Company also has specialized capabilities to help its customers
localize the actual products they sell in foreign markets.  This may be as
complex as the translation of software in computer-based products, or as simple
as the translation of packaging and labels for traditional products.  ALPNET
provides interpretation services for private business meetings, as well as for
business conferences, enabling delegates to meet and communicate.  The Company
also provides intensive language training courses for individuals with
assignments to foreign locations.  Less than 10% of the Company's revenues
derive from interpretation and language training services.

The Company has the knowledge and experience to manage a global project from a
central point, through a single contact. This eliminates the need for the client
to have to deal with several different providers in different locations in order
to receive translation and related services in multiple languages.  Because of
the Company's international organization and worldwide locations, it can also
deal directly with a client's international counterparts for development of
preferred terminologies and quality reviews and ensure that the translated
product is "localized" or "customized" according to the client's standards and
preferences.

The Company has developed a set of sophisticated computer programs, collectively
called the Translation Support System ("TSS"), which it uses to differentiate
itself from other translation providers in the market.  The use of TSS by
experienced translation professionals allows the Company to provide better
quality translation services at lower overall cost, by standardizing the use of
approved terminology, providing translation consistency, and preserving
formatting information for later use in desktop publishing.  TSS facilitates
these functions and provides ALPNET personnel with the means to accomplish high
quality, consistent translation and desktop publishing process on an improved
schedule, thereby allowing clients to bring products to market faster.

TSS can be utilized in translation from English, French, or German, into any
Roman alphabet language, as well as Japanese, Korean, and simplified and
traditional Chinese.  TSS is a proprietary asset, and the Company protects its
use with non-disclosure agreements and license agreements, along with the
protection provided by copyright and trademark law.

The Company believes that most well-managed multinational companies do not want
to devote their internal resources to the details of the translation business,
and would prefer to entrust translation to a professional organization. 
Translation is ALPNET's principal business and it manages that business on
behalf of its client "partners."

Project management services provided by the Company eliminate the client's need
for a large and costly in-house staff to manage the translation process.  The
Company coordinates the translation into as many languages as required, on one
schedule, under a common contract, and provides a single status reporting system
and point of contact.  

Following translation, ALPNET can provide any form of production support needed
including layout and design, camera-ready copy, printing and magnetic media
production, together with packaging and distribution.  The Company can produce
complete, final products to its clients' specifications.

The Company also has software development capabilities, allowing it to provide
software product localization services, and to develop interfaces tailored to
the client's information and document creation tools and systems if required. 
This assures that the client's tools and the Company's translation system are
integrated and compatible.

The Company is keenly aware that the internationalization process is much more
than just translation and, accordingly, has organized its network to provide the
services and support required to affect all aspects of this process economically
and efficiently for its clients.

      TRANSLATION MARKET

Recent political and economic changes have created and expanded opportunities
for significant increases in international trade.  As companies increase their
operations on a global basis, they require marketing, sales and technical
information in a wide variety of languages.  Traditionally, translation services
have been supplied by in-house departments, governmental units, commercial
translation agencies and individual freelance translators.  While there are
thousands of individual free-lance translators and many commercial agencies, it
appears that all but a handful of operations are too small to effectively deal
with the increasingly complex translation and multilingual publication
requirements of large corporate businesses.  The Company is well positioned to
serve such companies.  Multinational companies are looking for a new type of
supplier to replace the "cottage labor" that has historically dominated the
translation services industry.  The Company has combined its proprietary
computer translation technology with established suppliers to enable it to
obtain a growing portion of the market share in this expanding industry.  The
Company believes that the available market is much larger than the combined
revenue of the current major providers and that no one provider accounts for a
significant portion of the commercial translation market.  

      MARKETING

The Company has developed and implemented a very structured, multi-phased sales
plan in several of its key markets to enable it to achieve its growth
objectives. The following information summarizes this plan.

      Strategy:

              Offer basic translation services and expand revenues by
               providing value-added pre- and post-translation services. 
              Target key industry segments which track to the ideal client
               profile.
              Identification of specific prospects in targeted industries.
              Telephone contact to establish client interest and need.
              Personalized direct-mail introduction to ALPNET.
              Consultative selling from experienced direct sales force.  
              Utilize an internal sales support and project management
               organization to provide support to the sales force and
               interface to the ALPNET network production facilities.

      Targeted industries:
      
              Computer Hardware and Software
              Automotive
              Chemical and Pharmaceutical
              Telecommunications and Electronics
              Aerospace and Defense
              Banking and Finance

      Ideal client profile:

              Multilingual translation needs
              Translation of documentation required to support international
               revenue
              Need is continuous or growing
              Information is developed "on-line"
              Has unique terminology requirements
              Recognize translation as a purchased service
              Require value-added services with translation

      Other Value-Added Services:

              Pre-translation consulting including:
          
               Organization
               Planning
               Developing materials for translation
               Administration
               Project/facilities management
               Custom development, layout, design and production

              Post-translation services including:

               Desktop publishing
               Typesetting
               Multilingual printing
               Packaging
               Storage
               Shipping

      MAJOR CUSTOMERS

Seventeen percent of the Company's 1995 revenues and fourteen percent of 1994
revenues were for services provided to a single customer in the computer
industry.  Relations with this customer are good and management believes a
significant portion of 1996 revenues will also be attributable to this customer.
No other customer accounts for more than ten percent of revenues.

      MANPOWER

The Company requires both sales and project management personnel to obtain and
manage major translation projects.  In all network countries, sales is one of
the primary responsibilities of the country manager and the local direct sales
personnel.  The Company also has project managers dedicated to specific clients.
Project managers are introduced to potential clients as a part of the sales plan
and are vital for obtaining major contracts, where the ability to demonstrate
the Company's management strengths can be as important as the quality of
translation itself.  

      BACKLOG

As of December 31, 1995, the Company and its subsidiaries had a backlog of
approximately $2,100,000 of translation services orders compared with a backlog
of approximately $1,900,000 as of December 31, 1994.  The increase in backlog in
1995 is primarily the result of an increase in customer orders in Canada.

      COMPETITION

The Company experiences competition in two primary forms: (1) large commercial
translation services companies, and (2) local translation services providers. 
The Company is aware of very few large commercial translation services
companies, and the Company believes that no one company accounts for a
significant portion of the commercial translation market.  Certain of the
Company's principal competitors are owned by large companies in the publishing
industry.

Local translation services providers generally service the needs of specific
customers on a very localized basis. These providers typically consist of a
small number of translators who provide translation into one or two languages,
or serve only limited market segments. Although they frequently cooperate in
loosely formed networks and alliances, these competitors do not presently offer
the broad range of languages, services and support that are available from
ALPNET.

Beginning in late 1993 and continuing throughout 1994 and 1995, the translation
industry has been extremely price-competitive. Many competitors adopted a policy
of buying market share by cutting prices and this practice has escalated
throughout the industry as other competitors have reduced prices in an effort to
maintain their revenues.  This led to the loss of some orders and required the
Company to re-evaluate its pricing strategy and to reduce prices in many areas,
which had a significant affect on profitability in 1994 and 1995, even though
the effect on 1995 was minimized by an increase in sales volume.

The use of proprietary computer translation technology has allowed the Company
to compete at reduced price levels.  Nevertheless, the Company does not have the
financial resources of some of its largest competitors.  Management does believe
the Company is better positioned to sustain operations at these levels than many
of its smaller competitors, and this situation could ultimately be resolved by
the elimination of some current providers which may not be able to continue in
business at the current price levels.  Although the Company must effectively
compete and prices have been reduced, the Company has determined that it will
not be the price leader.  ALPNET will compete by offering fair prices for
superior quality service.  In 1995, revenues and results have been affected by
these conditions but the effect was less than it was during 1994.  1996 results
will also be affected, the extent of which depends on how quickly the
competitive situation improves.

      DEVELOPMENT AND CUSTOMER SUPPORT

During 1995, 1994 and 1993, the Company spent approximately $170,000, $124,000
and $179,000, respectively, on technology development and support activities. 
These reflect the amounts spent on the further development and support of
technology for use within the Company.  Management expects an increase in the
level of development-related expenses in 1996 as it expands the services
available to its clients via Europe Online and the Internet.

      EMPLOYEES

As of December 31, 1995, the Company employed 247 persons.  Due to the nature of
its business, the Company also retains a large number of freelance translators
on an as-needed basis. 


(D)   FINANCIAL INFORMATION ABOUT FOREIGN AND DOMESTIC OPERATIONS AND EXPORT
      SALES

Financial information concerning the Company's foreign and domestic operations
is presented in Note 2 to the Consolidated Financial Statements included in Item
8 of this Form 10-K and is incorporated herein by reference.


ITEM 2:   PROPERTIES

<TABLE>

ALPNET's corporate headquarters are located in Salt Lake City, Utah. Sales and production facilities used by the Company as of
December 31, 1995, are listed below.  All facilities are leased, except as noted.

<CAPTION>

     Location                             Square Feet
     <S>                                    <C>   
     United States
      Salt Lake City, Utah                   5,300
      Other locations                        1,100
     Canada                                 11,600
     United Kingdom
      Croydon(1)                            12,400
      Other locations                        7,100
     Germany                                                                 
      Stuttgart                              9,900
      Other locations                        5,000
     France, Spain(2), Switzerland, Ireland,
      Netherlands                            2,300
     Hong Kong, Singapore, Korea and China   4,600
                                                 
<FN>

(1)   Approximately 3,000 square feet of the Croydon facilities are subleased pursuant to a contract expiring in 1998.

(2)   The Company's facility in Barcelona, Spain is owned and subject to a mortgage as described in Note 4 to the  
      Consolidated Financial Statements included in Item 8 of this Form 10-K.

</FN>
</TABLE>


ITEM 3:   LEGAL PROCEEDINGS

None.


ITEM 4:   SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

No matters were submitted to a vote of security holders during the quarter ended
December 31, 1995.



                              PART II

ITEM 5:   MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER
          MATTERS

<TABLE>

ALPNET's Common Stock trades on the Nasdaq SmallCap Market tier of The Nasdaq Stock Market under the symbol "AILP."  The following
table shows the range of high and low trading prices as reported by the Nasdaq Stock Market for the years 1994 and 1995.

<CAPTION>

      1994                              HIGH        LOW
      <S>                              <C>         <C>  
      Quarter ended March 31, 1994     $ .84       $.31

      Quarter ended June 30, 1994        .87        .31

      Quarter ended September 30, 1994   .78        .41

      Quarter ended December 31, 1994    .47        .28


<CAPTION>

      1995                              HIGH        LOW
      <S>                              <C>         <C>  
      Quarter ended March 31, 1995     $ .38       $.19

      Quarter ended June 30, 1995        .44        .19

      Quarter ended September 30, 1995  1.47        .28

      Quarter ended December 31, 1995   2.22        .84

</TABLE>

As of March 15, 1996, there were 482 shareholders of record.  No dividends have
been declared on the Company's Common Stock.  The Company is currently
prohibited from paying dividends under Utah corporate law.


ITEM 6:   SELECTED FINANCIAL DATA

<TABLE>

The following selected financial data are derived from the Consolidated Financial Statements of the Company.  The data should be
read in conjunction with the Consolidated Financial Statements, related notes and other financial information included herein.

<CAPTION>

OPERATING SUMMARY
Thousands of dollars, except per-share data

YEAR ENDED DECEMBER 31             1995     1994     1993     1992     1991   

<S>                             <C>      <C>      <C>      <C>      <C>  
Sales of services               $26,919  $20,473  $19,459  $19,747  $23,118 
Net income (loss)                   621     (741)     458     (613)     378 
Net income (loss) per share         .03     (.04)     .03     (.05)     .03 
Cash provided by (used in) 
 operations                       1,233     (606)     371     (130)   1,647 

<CAPTION>

FINANCIAL SUMMARY
Thousands of dollars and shares

AS OF DECEMBER 31                  1995     1994     1993     1992     1991 

<S>                             <C>      <C>      <C>      <C>      <C>  
Working capital (working
 capital deficiency)            $ 2,245  $ 1,187  $   125  $  (633) $  (610)
Total assets                     14,449   13,223   12,743   12,233   15,520 
Long-term debt and long-
 term debt to affiliates,
 less current portion               220      533    1,314    2,156    1,965 
Shareholders' equity              9,331    7,177    6,089    5,146    6,335 
Shares of Common
 Stock outstanding               16,199   15,562   15,562   12,562   11,480 
Shares of Convertible
 Preferred Stock out-
 standing:
   Series B(1)                      459      459      459      459      459 
   Series C(2)                      585      585       --       --       --  
   Series D(2)                       87       --       --       --       -- 
                                                                           
<FN>

(1)    Convertible at the rate of three common shares for each preferred share.
(2)    Convertible at the rate of nine common shares for each preferred share.

</FN>

<CAPTION>

A large majority of the Company's operations are in foreign countries.  Accordingly, the Company is significantly affected by
foreign currency exchange rate fluctuations.  The following table shows what sales and results of operations would have been for
the years presented, had foreign currency exchange rates remained at 1991 levels for all years.

PRO FORMA DATA
Thousands of dollars

YEAR ENDED DECEMBER 31               1995     1994     1993     1992     1991   

<S>                               <C>      <C>      <C>      <C>      <C>  
Pro forma sales of services at
 1991 foreign currency
 exchange rates                   $27,660  $22,307  $21,332  $19,639  $23,118 
Pro forma net income (loss) at
 1991 foreign currency 
 exchange rates                       814     (906)     626     (608)     378 

</TABLE>


ITEM 7:    MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND 
           RESULTS OF OPERATIONS

The following Management's Discussion and Analysis should be read in conjunction
with the Consolidated Financial Statements and notes thereto.

FOREIGN OPERATIONS

The Company serves its customers from 30 offices in 14 countries.  The
operations of the Company are predominantly located outside the U.S. 
Accordingly, the Company is subject to the effects of foreign currency exchange
rate fluctuations among U.S. dollars, Canadian dollars, British pounds sterling,
German marks and other European and Asian currencies.  For all of the Company's
foreign subsidiaries, the functional currency has been determined to be the
local currency.  Accordingly, assets and liabilities are translated at year-end
exchange rates, and operating statement items are translated at average exchange
rates prevailing during the year.  The resultant cumulative foreign currency
adjustments to the assets and liabilities are recorded as a separate component
of shareholders' equity.  The 1995 foreign currency equity adjustment was
positive $192,000 compared to a positive adjustment of $514,000 in 1994.  As of
December 31, 1995, the cumulative net effect to the Company of the equity
adjustment from movements in foreign currency exchange rates was a reduction of
$1.4 million in shareholders' equity.   A significant portion of the cumulative
foreign currency adjustment relates to changes in the recorded amount of
goodwill.  

Because most of the Company's operations are located outside the U.S. and its
foreign operations' financial results must be translated into U.S. dollars, the
Company's actual and reported financial results and financial condition are
susceptible to movements in foreign currency exchange rates.  Furthermore, since
the Company has relatively few long-term monetary assets and liabilities
denominated in currencies other than the U.S. dollar, it does not have any
ongoing hedging programs in place to manage currency risk.

RESULTS OF OPERATIONS

The following paragraphs discuss 1995 results as compared with 1994, and 1994
results as compared with 1993, including the significant effects of fluctuating
foreign currency exchange rates. 

The Company reported net income of $621,000 in 1995 compared to a net loss of
$741,000 in 1994 and net income of $458,000 in 1993.  If foreign currency
exchange rates for 1995 had remained unchanged from 1994, the Company would have
recorded net income of $560,000 instead of $621,000 and therefore currency
exchange rate fluctuations had a positive effect on 1995 results.  In 1994, the
Company would have recorded a net loss of $733,000 instead of $741,000 if
currency exchange rates for 1994 had remained unchanged from 1993 levels. 

Sales of services were $26.9 million for 1995 compared to $20.5 million for 1994
and $19.5 million for 1993.  The $6.4 million increase in reported sales for
1995 consisted of an increase in sales volume of $5.2 million and a $1.2 million
increase due to currency exchange rate variances.  The $1.0 million increase in
reported sales for 1994 consisted of an increase in sales volume of $800,000 and
an increase of $200,000 due to currency exchange rate variances.  

The increases in sales volume in both 1995 and 1994 are largely the result of an
increase in the need for language related services in an increasingly global
marketplace where more and more businesses are entering foreign markets and
becoming involved in worldwide trade.  Management believes that international
trade agreements such as the North American Free Trade Agreement (NAFTA) and the
General Agreement on Tariffs and Trade (GATT) have also had a positive effect on
demand for the language services provided by the Company.  

The Company competes on the basis of quality, service and geographical proximity
to clients and potential clients, and opened several new offices in 1995 and
1994 in order to increase its market share in what management believes has been
and will continue to be an expanding industry.  Reported revenue growth from
1994 to 1995 was 31%, while reported revenue growth from 1993 to 1994 was only
5%.  However, management believes the actual growth in business volume in terms
of words translated was 10% to 15% in 1994, but due to intense price competition
which the Company encountered in 1994, prices the Company could charge in the
marketplace were severely restricted.  

The following table shows a comparison of sales of services in each of the
Company's significant geographic areas for 1995, 1994 and 1993, along with the
effect of foreign currency exchange rate fluctuations on the sales between
years.

<TABLE>

<CAPTION>

Thousands of dollars

                                Increase (Decrease)                     Increase (Decrease)
                               in Sales of Services    Total           in Sales of Services    Total    
                                      due to         1995/1994               due to          1994/1993 
                                Sales    Currency    Increase           Sales   Currency     Increase  
                 1995     1994  Volume Differences  (Decrease)  1993    Volume Differences  (Decrease)

<S>           <C>      <C>      <C>       <C>        <C>     <C>         <C>       <C>       <C> 
United States $ 2,463  $ 2,360  $  103    $          $  103  $ 2,467     $(107)    $         $ (107)  
Canada          3,860    3,404     461        (5)       456    3,077       532      (205)       327   
Europe         21,864   15,940   4,523     1,401      5,924   15,309       245       386        631   
Asia            2,464    1,955     400       109        509    1,268       621        66        687   
Eliminations   (3,732)  (3,186)   (310)     (236)      (546)  (2,662)     (461)      (63)      (524)  

TOTAL SALES   $26,919  $20,473  $5,177    $1,269     $6,446  $19,459     $ 830     $ 184     $1,014 

</TABLE>

As shown in the above table, with the exception of the U.S. in 1994, which
experienced a 4% sales decline compared to 1993, every major geographical region
reported increased sales in 1995 and 1994 over the prior year.  In the U.S.,
sales can fluctuate widely from period to period due to industry conditions
which are often less predictable and stable than those found in the Company's
foreign markets.  Such conditions are characterized by the inexperience of many
U.S. companies in international business and clients which may be
unsophisticated in the nuances of marketing to foreign countries and the
importance of related language issues.  These factors, along with the
unpredictable timing and the nonrecurring nature of most large translation
projects for U.S. companies,  contribute to a deficiency of customers who
reorder on a regular basis and also have a tendency to depress the profitability
of work performed by the Company for U.S. clients.  Despite these factors, U.S.
sales have remained relatively level from 1993 to 1995, and while management is
hopeful that 1996 sales will increase over 1995, there is no assurance that this
will occur.  

Canada's reported sales for 1995 represented an increase over 1994 of 13% and
1994 sales increased 11% over 1993;  however, the 1994 increase would have been
17% if currency exchange rates in 1994 had remained the same as in 1993.  The
increase in sales in Canada for both 1995 and 1994 was due in part to increased
international trading as well as aggressive marketing and sales efforts which
were initiated during 1993 and which continued throughout 1994 and 1995.  These
increases in sales have occurred despite ongoing economic and political
challenges in Canada, which are still present and which could eventually depress
sales if the economy and the strength of the Canadian dollar do not improve or
if the political situation deteriorates in the coming year.  

In 1995, sales in Europe of $21.9 million represent 81% of the Company's total
worldwide sales and grew by $5.9 million over 1994 sales levels, or by 37% year
over year.  Sales increased in every European country in which the Company has
offices, but most of the increase was a result of growth in the U.K. (37% growth
rate, of which 33% was actual growth in volume and only 4% was due to the effect
of foreign currency exchange rate variances) and in Germany (45% growth rate, of
which 29% was actual growth in volume and 16% was due to the effect of foreign
currency exchange rate variances).  Together, the U.K. and Germany accounted for
89% of Europe's total sales in 1995.

The high rate of growth in sales in the U.K. is due to several factors,
including a healthy local economy;  the Company's growing reputation for
providing quality service;  expansion of sales efforts in all offices, including
the smaller regional offices in the central and northern areas of Great Britain;
an experienced and dedicated management and production team which has been in
place for several years;  and to a lesser extent, the opening of the London
sales office in early 1995 and the expansion of the Glasgow office in late 1995
when the Company acquired a local translation company to supplement the sales of
the existing office in that city.  Management expects sales in the U.K. to
continue to grow, but at a lower growth rate than was experienced in 1995.

In Germany, the economy grew at a mild pace in the early part of the year, but
slowed considerably late in 1995.  Despite a lukewarm economy, sales in Germany,
especially in some of the newer, smaller offices which were opened in recent
years, have increased at a high growth rate.  Reasons for this include
aggressive marketing and sales efforts;  a stronger and more experienced
management and production team, especially in the small to midsize offices;  and
an emphasis on the Company's electronic publishing capabilities, an increasingly
important part of the language services package needed by many international
businesses operating in Germany.  While management is optimistic that sales
growth will continue in 1996, the uncertain economic conditions in Germany will
undoubtedly have a dampening effect on the Company's ability to grow sales and
it is not probable that the 1995 growth rate of 45% will be duplicated in 1996.

In 1994, the U.K. and Germany contributed 87% of Europe's total reported sales. 
A decrease in sales from 1993 of 5% in Germany was overshadowed by a sales
increase of 12% in the U.K.  The overall increase in reported European sales of
4% in 1994 was due to currency exchange rate fluctuations as well as sales
volume increases.  The decline in sales in Germany from 1993 to 1994 was
primarily attributable to lower sales to large customers, especially during the
first half of 1994, due to a general slowdown of the German economy.  Sales
levels during the last half of 1994 were actually higher than average 1993
levels as the German economy improved, but were not high enough to compensate
for the low sales experienced in the first two quarters of the year.  The
positive results in the U.K. were due to several factors, including enhanced
sales and marketing efforts initiated in 1993, increased core business and more
large project work, all of which was helped by an improved economic situation in
that country.  

In addition to the new London office and the expansion of the Glasgow office in
1995, the Company opened offices in the Netherlands and in Ireland during the
year.  These new offices, along with the investments made in human and equipment
resources in existing offices in recent years, are expected to help the Company
grow its revenues in Europe as demand for language services in this region
continues to expand.
 
Sales in Asia of $2.5 million in 1995 grew by 26% over 1994 levels, with the
bulk of this increase due to actual volume increases and only one fifth due to
currency exchange rate fluctuations.  The Company expanded its Asian presence in
1995 by adding an office in The People's Republic of China.  In 1995, the China
office functioned only as a production facility, but China is expected to begin
to sell to local companies in 1996 and contribute to the growth of sales in Asia
in coming years.  While Hong Kong's sales decreased as an indirect result of the
uncertainty over the impending political changes in 1997, sales in 1995 in
Singapore and Korea increased significantly over 1994 levels.

In 1994, Asian sales increased 54% over 1993 levels as Hong Kong and Singapore
increased sales over the prior year by a combined total of 41%.  In addition,
the Company's Korea office, which was opened in July 1994, contributed to the
improved sales results.  Substantially all of the increase in reported Asian
sales in 1994 over 1993 was attributable to actual volume increases, with only a
small portion of the increase due to currency exchange rate fluctuations.  

The Company opened an office in Tokyo in early 1996 which is not only expected
to accelerate sales growth in Asia, but also help other network offices sell to
potential clients which have needs for Japanese language services.  Management
expects the increased demand for Asian language services to continue into 1996
as many Asian countries are experiencing very high economic growth rates and the
interest in Asia from the business communities in the U.S., Europe and elsewhere
is accelerating rapidly.  

The Company's business can be impacted dramatically by changes in the strength
of the economies of the countries in which it has a presence and results of
operations are highly dependent on general economic trends.

Cost of services sold as a percentage of sales of services has fluctuated
primarily as a result of competition in the marketplace and the volume and
nature of direct production costs of large project sales in each year.  Due to
increased competition at the end of 1993 and continuing throughout 1994 and
1995, especially with regard to pricing, the Company's gross margins
deteriorated significantly from 1993 to 1994.  While the Company has largely
been able to contain the growth in cost of services sold to levels consistent
with growth in the volume of work produced and at rates at or below inflationary
increases, prices charged to clients, especially in the U.S. and Europe, have
been limited by competitive price pressures which have in turn severely
compressed margins.  Management expects pressures on gross margins to continue
in 1996, but does not expect pricing pressures to intensify beyond current
levels.  The Company does not expect to be able to return to early 1993 pricing
levels in the foreseeable future and is continuing its efforts to contain costs
to offset the effects of these pricing pressures.  These efforts include more
effective utilization of the Company's proprietary software on smaller-sized
projects to leverage the time of translators.

Selling, general and administrative expenses were $4.4 million in 1995 and
increased over prior year levels in both 1995 (by 25%, of which 5% was due to
the effect of currency exchange rate differences) and 1994 (by 10%, of which 1%
was due to the effect of currency exchange rate differences).  These increases
were due primarily to the overall growth of existing offices and the opening of
new offices in both years;  increased marketing and sales efforts in all of the
Company's markets, including the hiring of a new corporate vice president of
sales and marketing in 1995;  and to a lesser extent, the effect of increased
corporate overhead costs related to the Company's growth.  

Development costs are related to the upgrading and expansion of the Company's
proprietary language translation software developed in the early years of the
Company's existence.  In 1994, costs of $124,000 decreased somewhat from 1993
($179,000) as the need for upgrades was not high and as a result of cost
reductions put in place in 1994.  In 1995, costs of $170,000 have increased to
1993 levels as the Company has enhanced certain features of its software and
made it compatible with more of the ever-increasing types and versions of
software being developed by the software industry which are being used by
clients and potential clients.  Also, in 1995, the Company entered into a
partnership with Europe Online, an Internet-based online service developed and
run by Europeans, and this partnership resulted in increased development
efforts.  The Company expects development costs to increase significantly in
1996 over 1995 levels, most notably because of the requirements related to
Europe Online and the Internet.

Fluctuations in the amount of goodwill amortization resulted solely from foreign
currency exchange rate fluctuations from year to year. 

Interest expense was $193,000 in 1995.  Interest decreased approximately $10,000
in 1995 compared to 1994 and approximately $160,000 in 1994 compared to 1993. 
The decrease in 1995 was due to reduced overall debt levels, including the
conversion of $243,000 of debt to an affiliate to convertible Preferred Stock in
1995.  In 1994, the decrease resulted primarily from the capital restructuring
completed in early 1994 which eliminated approximately $1.8 million of long-term
debt to affiliates, as discussed in more detail in Note 3 to the Consolidated
Financial Statements.

The U.S. parent company and each of its subsidiaries are separate legal and
taxable entities subject to the domestic or foreign taxes pertaining to
operations in their respective jurisdictions.  For tax purposes, the U.S. parent
company and most of its subsidiaries have unused net operating losses from prior
years which can be utilized to reduce future years  taxable income of the
respective entities.  The availability of these net operating losses is governed
by applicable domestic and foreign tax rules and regulations, some of which
limit the utilization of such losses due to minimum tax requirements and other
provisions.  Income tax expense as presented in the Consolidated Financial
Statements represents the combined income tax expense and income tax credits of
each of the entities of the Company.  

After consideration of the effect of the utilization of net operating loss
carryforwards, income tax expense was $160,000 in 1995, $92,000 in 1994, and
$82,000 in 1993.  Fluctuations in the amount of income taxes arise primarily
from the varying combinations of income and losses of the Company's subsidiaries
in the various domestic and foreign tax jurisdictions, including the utilization
in various degrees of net operating loss carryforwards in many of these
jurisdictions.  In 1993, the net operating loss carryforwards of the U.S. parent
company expired for state income tax purposes.

Note 6 to the Consolidated Financial Statements,  Income Taxes,  contains
additional information pertaining to the computation of income taxes as well as
the Company s net operating loss carryforwards as of December 31, 1995.

LIQUIDITY AND SOURCES OF CAPITAL

In 1995, the Company had a net positive cash flow from operations of
approximately $1.2 million compared with a negative cash flow from operations in
1994 of $600,000.  In 1995, as in prior years, the Company's investing
activities consisted primarily of the acquisition of equipment needed to
maintain or upgrade production capability.  

The Company's 1995 financing activities included the conversion of $243,000 of
debt to an affiliate to a new series of convertible Preferred Stock of the
Company, the sale of Common Stock for $194,000, and proceeds of $44,000 from the
exercise of employee stock options.  The Company's 1994 financing activities
were highlighted by a capital restructuring effective as of March 31, 1994,
whereby approximately $1.8 million of current and long-term debt to affiliates
was converted to Preferred Stock of the Company.  Additionally, in 1994, the
Company increased its borrowings from affiliates by $185,000 in order to finance
a pension obligation owed to the former owner of one of its subsidiaries.  In
1993, the Company's financing activities included an equity offering which
realized net proceeds of approximately $1.5 million, about half of which was
used to retire long-term debt.  Financing activities for all years included
fluctuations in the amounts utilized under bank lines of credit used to finance
the Company's working capital needs.  

At the end of 1995, the Company's cash and cash equivalents were approximately
$1 million, representing an increase of approximately $700,000 during 1995.  At
December 31, 1995, the Company had working capital of approximately $2.2
million, compared to working capital of approximately $1.2 million at December
31, 1994.  The increase in working capital during 1995 was primarily
attributable to cash provided from operations during the year.

The Company's primary working capital requirements relate to the funding of
accounts receivable.  The Company funds its working capital needs with various
lines of credit with banks in Canada, the U.K., Germany and Spain.  Most of the
lines of credit are secured by accounts receivable and other assets of the
respective subsidiaries.  As of December 31, 1995, the Company had unused
amounts under these lines of credit of approximately $800,000 and in January
1996, the lines of credit were increased in both the U.K. and in Germany, by a
total of $220,000.  The Company believes the available amounts under these lines
of credit are sufficient to fund the Company's operations at current levels as
well as enable the Company to grow at a modest level without seeking significant
new sources of working capital.  Most of the Company's credit facilities are
subject to annual renewals and the Company expects them to be renewed on
substantially the same terms as those which currently exist.  Some of the banks
which have loaned funds to the Company's subsidiaries under the credit
facilities noted above, have placed certain limits on the flow of cash outside
the respective countries.  Such limitations have not been an undue burden to the
Company in the past, nor are they expected to be unduly burdensome in the
foreseeable future. 

The Company has no present significant commitments for capital expenditures,
which generally consist almost entirely of computer equipment and related
peripheral hardware and software.  Such equipment purchases in future years are
not expected to vary materially from the general levels of equipment purchases
experienced in recent years. However, the Company does plan to acquire and place
additional translation services workstations in its offices worldwide in
connection with future orders from customers, as such orders are received.  The
Company expects to finance a certain portion of future equipment costs through
bank and/or leasing sources.  Additionally, while there are no material current
commitments, the Company may open additional offices in strategic locations
worldwide, as customer demands dictate and opportunities arise.  The costs of
opening offices in prior years have not been substantial and were almost
exclusively related to the procurement of computers and other translation-
related equipment.  The costs of any additional offices are not expected to
require a significant amount of cash. 

The Company believes it has the ability to issue additional equity securities if
necessary, but does not currently have any firm plans to do so.  In past years,
the Company has relied on major shareholders of the Company to fund certain
obligations, but the Company does not anticipate using this source of capital in
the foreseeable future. 

Management believes that current working capital and available lines of credit,
together with management s expectations of increased revenues and ongoing plans
to control expenses, will enable the Company to meet its financial obligations
during 1996.  It is more difficult to assess cash flows beyond 1996 and the
ability of the Company to meet its commitments without additional sources of
capital is directly related to the Company's operations providing a positive
cash flow.  Should the Company's operations fail to provide adequate funds to
enable it to meet its future financial obligations, management has the option,
because of the Company's organizational structure, to cut costs by selectively
eliminating operations which are not contributing to the Company financially.  

Inflation has not been a significant factor in the Company s operations; 
competition, however, has been and is expected to remain a major factor.  To the
extent permitted by competition and general economic and market conditions, the
Company will pass on increased costs from inflation and operations to customers
by increasing prices.

Due to prior years' operating losses, the Company and many of its subsidiaries
have net operating loss carryforwards available to offset future taxable income
in the various countries in which the Company operates.  As a result, the
Company historically has not had significant income tax liabilities requiring
the expenditure of cash.  Due to currently available net operating loss
carryforwards, the Company expects this general trend to continue through 1996. 
Substantially all of the Company's deferred tax assets at December 31, 1995 and
1994 were comprised of net operating loss carryforwards for which the Company
has provided allowances.  The ability of the Company to utilize these loss
carryforwards in the future is dependent on profitable operations in the various
countries in which loss carryforwards exist and the specific rules and
regulations governing the utilization of such losses, including the timeframes
by which the losses must be used.

The Financial Accounting Standards Board has issued Statement of Financial
Accounting Standards ("SFAS") No. 121 "Accounting for the Impairment of Long-
lived Assets and for Long-lived Assets to be Disposed Of."  The Company will be
required to adopt this standard in the first quarter of 1996.  Management does
not currently believe the adoption of SFAS No. 121 will have a significant
impact on the Company's financial condition.



ITEM 8:       FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

Index to Consolidated Financial Statements:                           Page 

Consolidated  Financial Statements:

    Balance Sheets as of December 31, 1995 and 1994 
    
    Statements of Operations for the years ended December 31, 1995, 
    1994 and 1993      

    Statements of Shareholders' Equity for the years ended December 
    31, 1995, 1994 and 1993 

    Statements of Cash Flows for the years ended December 31, 1995, 
    1994 and 1993      

    Notes to Consolidated Financial Statements

Report of Independent Auditors

<TABLE>


ALPNET, INC. AND SUBSIDIARIES

Consolidated Balance Sheets

<CAPTION>
                                                   December 31
Thousands of dollars                           1995           1994

ASSETS
<S>                                         <C>            <C>    
CURRENT ASSETS:
 Cash and cash equivalents                  $ 1,033        $   344
 Trade accounts receivable, less allowance 
   of $156 in 1995 and $108 in 1994           4,978          4,328
 Work-in-process                                340            227
 Income taxes receivable                                        51
 Prepaid expenses and other                     792            660

Total current assets                          7,143          5,610

PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS:
 Office facilities and leasehold improvements   144            141
 Equipment                                    3,833          3,471

                                              3,977          3,612
 Less accumulated depreciation and 
   amortization                               2,997          2,682

Net property, equipment and leasehold 
   improvements                                 980            930

OTHER ASSETS:
 Goodwill, less accumulated amortization of
   $2,924 in 1995 and $2,492 in 1994          6,250          6,449
 Other                                           76            234

Total other assets                            6,326          6,683

TOTAL ASSETS                                $14,449        $13,223

</TABLE>


<TABLE>

ALPNET, INC. AND SUBSIDIARIES

Consolidated Balance Sheets (continued)

<CAPTION>
                                                  December 31
Thousands of dollars and shares               1995           1994 

LIABILITIES AND SHAREHOLDERS' EQUITY
<S>                                        <C>            <C> 
CURRENT LIABILITIES:
 Notes payable to banks                    $ 1,156        $ 1,443 
 Accounts payable                            1,636          1,561 
 Accrued payroll and related benefits          665            395 
 Other accrued expenses                        813            822 
 Deferred revenue                              254             78 
 Income taxes payable                           18 
 Current portion of long-term debt              94             85 
 Current portion of long-term debt to 
   affiliates                                   42             39 
 Guarantee liability (Note 7)                  220                

Total current liabilities                    4,898          4,423 

Long-term debt, less current portion           115            155 

Long-term debt to affiliates, less current 
   portion                                     105            378 

Guarantee liability (Note 7)                                1,090 

Commitments (Notes 4 and 7)                

SHAREHOLDERS' EQUITY:
 Convertible Preferred Stock, no par value;
   authorized 2,000 shares; issued and
   outstanding 1,131 shares in 1995 and
   1,044 shares in 1994                      3,127          2,894 
 Common Stock, no par value; authorized
   40,000 shares; issued and outstanding
   16,199 shares in 1995 and 15,562
   shares in 1994                           38,954         37,846 
 Accumulated deficit                       (31,329)       (31,950)
 Equity adjustment from foreign currency 
   translation                              (1,421)        (1,613)

Total shareholders' equity                   9,331          7,177 

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $14,449        $13,223 

See accompanying notes.

</TABLE>


<TABLE>

ALPNET, INC. AND SUBSIDIARIES

Consolidated Statements of Operations

<CAPTION>
                                   Year Ended December 31
Thousands of dollars and shares   1995      1994      1993 
<S>                            <C>       <C>       <C>
SALES OF SERVICES              $26,919   $20,473   $19,459 

OPERATING EXPENSES:
 Cost of services sold          21,027    16,952    14,860 
 Selling, general and 
   administrative expenses       4,361     3,491     3,174 
 Development costs                 170       124       179 
 Amortization of goodwill          387       351       342 

Total operating expenses        25,945    20,918    18,555 

OPERATING INCOME (LOSS)            974      (445)      904 

Interest expense, net              193       204       364 

Income (loss) before income taxes  781      (649)      540 

Income taxes                       160        92        82 

NET INCOME (LOSS)              $   621   $  (741)  $   458 


Net income (loss) per share    $   .03   $  (.04)  $   .03 

Weighted average shares of Common 
  Stock and Common Stock 
  equivalents outstanding       23,155    17,235    14,712 

See accompanying notes.

</TABLE>


<TABLE>

ALPNET, INC. AND SUBSIDIARIES

Consolidated Statements of Shareholders' Equity
                                                                                   Equity    
<CAPTION>                                                                        Adjustment  
                                                                                from Foreign
                                  Preferred Stock    Common Stock  Accumulated    Currency        
Thousands of dollars and shares    Shares Amount    Shares Amount    Deficit    Translation   Total 
<S>                                <C>    <C>       <C>    <C>      <C>           <C>        <C>      
BALANCES AT JANUARY 1, 1993          459  $1,151    12,562 $37,456  $(31,667)     $(1,794)   $5,146 
 Issuance of Common Stock for cash,
   net of offering costs of $45                      3,000   1,488                            1,488 
 Guarantee liability                                          (670)                            (670)
 Net income                                                              458                    458 
 Foreign currency translation adjustment                                             (333)     (333)

BALANCES AT DECEMBER 31, 1993        459   1,151    15,562  38,274   (31,209)      (2,127)    6,089 
 Issuance of Preferred Stock in 
   exchange for long-term debt to 
   affiliates, net of costs of $25   585   1,743                                              1,743 
 Costs related to 1993 issuance of
   Common Stock                                                 (8)                              (8)
 Adjustment to guarantee liability                            (420)                            (420)
 Net loss                                                               (741)                  (741)
 Foreign currency translation adjustment                                              514       514 

BALANCES AT DECEMBER 31, 1994      1,044   2,894    15,562  37,846   (31,950)      (1,613)    7,177 
 Issuance of Preferred Stock in 
   exchange for long-term debt 
   to affiliate, net of offering 
   costs of $1                        87     242                                                242 
 Issuance of Common Stock for cash,
   net of offering costs of $6                         582     194                              194 
 Exercise of stock options                              55      44                               44 
 Costs related to 1994 issuance of
   Preferred Stock                            (9)                                                (9)
 Adjustment to guarantee liability                             870                              870 
 Net income                                                              621                    621 
 Foreign currency translation adjustment                                              192       192 

BALANCES AT DECEMBER 31, 1995      1,131  $3,127    16,199 $38,954  $(31,329)     $(1,421)   $9,331 

See accompanying notes.

</TABLE>


<TABLE>

ALPNET, INC. AND SUBSIDIARIES

Consolidated Statements of Cash Flows

<CAPTION>
                                            Year Ended December 31
Thousands of dollars                       1995      1994      1993 
<S>                                      <C>        <C>      <C>
OPERATING ACTIVITIES:
 Net income (loss)                       $  621     $(741)   $  458   
 Adjustments to reconcile net income 
  (loss) to net cash provided by (used 
  in) operating activities:
    Depreciation and amortization of 
      property, equipment and leasehold 
      improvements                          362       319       306 
    Amortization of goodwill                387       351       342 
    Other                                   120       (69)      (37)
    Changes in operating assets and 
      liabilities:
        Trade accounts receivable          (523)     (690)     (574)
        Accounts payable and accrued 
          expenses                          (23)      426      (161)
        Other                               289      (202)       37 

Net cash provided by (used in) 
   operating activities                   1,233      (606)      371 

INVESTING ACTIVITIES:
 Purchase of property, equipment and 
   leasehold improvements                  (395)     (491)     (293)

FINANCING ACTIVITIES:
 Proceeds from notes payable to banks       264       245       105 
 Principal payments on notes payable 
   to banks                                (582)      (78)     (308)
 Proceeds from long-term debt                54       136        47 
 Principal payments on long-term debt       (91)      (40)     (618)
 Proceeds from long-term debt to affiliates           185 
 Principal payments on long-term debt 
   to affiliates                            (42)      (19)
 Sale of Common Stock for cash, net of 
   related costs                            194        (8)    1,488 
 Proceeds from exercise of stock options     44                     

Net cash provided by (used in) financing 
  activities                               (159)      421       714 

Effect of exchange rate changes on cash      10         8        (7)

NET INCREASE (DECREASE) IN CASH AND CASH 
EQUIVALENTS                                 689      (668)      785 

Cash and cash equivalents at beginning 
  of year                                   344     1,012       227 

CASH AND CASH EQUIVALENTS AT END OF YEAR $1,033    $  344    $1,012 

CASH PAID DURING THE YEAR FOR:
 Interest                                $  198    $  222    $  393 
 Income taxes                               114        71        14 
 
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
 In August 1995, the Company issued 87,339 shares of Convertible Preferred Stock in exchange for long-term debt
   to affiliates.
 In March 1994, the Company issued 584,257 shares of Convertible Preferred Stock in exchange for long-term debt
   to affiliates.

See accompanying notes.                                  

</TABLE>


ALPNET, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements

December 31, 1995


1. SIGNIFICANT ACCOUNTING POLICIES

NATURE OF OPERATIONS

ALPNET, Inc. and its subsidiaries (the "Company"), together with its independent
affiliates, form a worldwide network dedicated to providing specialized language
services for businesses engaged in international trade.  The Company has
combined computer translation technology with experienced human translators in
its worldwide network to provide a full spectrum of services to fulfill the
language needs of customers in international business.

PRINCIPLES OF CONSOLIDATION

The consolidated financial statements include the accounts of ALPNET, Inc. and
its wholly-owned subsidiaries or branches located in the United States, Canada,
United Kingdom, Switzerland, Spain, Germany, France, Ireland, Hong Kong,
Singapore, Korea and China.  Significant intercompany accounts and transactions
have been eliminated in consolidation.

For all of the Company's foreign subsidiaries, the functional currency has been
determined to be the local currency.  Accordingly, assets and liabilities are
translated at year-end exchange rates, and operating statement items are
translated at average exchange rates prevailing during the year.  The resultant
cumulative translation adjustments to the assets and liabilities are recorded as
a separate component of shareholders' equity.  Exchange adjustments resulting
from foreign currency transactions are included in the determination of net
income.  Such amounts are immaterial for all years presented.

In accordance with Statement of Financial Accounting Standards No. 95,
"Statement of Cash Flows," cash flows from the Company's foreign subsidiaries
are calculated based upon the local currencies.  As a result, amounts related to
assets and liabilities reported on the statements of cash flows will not
necessarily agree with changes in the corresponding balances on the balance
sheets.

USE OF ESTIMATES

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting periods. 
Actual results could differ from those estimates.

CASH AND CASH EQUIVALENTS

The Company considers cash equivalents to be all highly liquid investments with
a maturity of three months or less when purchased.  Cash equivalents are stated
at cost, which approximates fair value.

PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS

Property, equipment and leasehold improvements are recorded at cost. 
Depreciation and amortization are calculated using the straight-line method over
estimated useful lives of 3 to 25 years.

GOODWILL

Goodwill consists of the excess of the purchase price over the fair value of net
assets of purchased subsidiaries and is amortized on the straight-line method
over a 25-year period.  The Company periodically reviews goodwill for impairment
by comparing undiscounted projected income over the remaining amortization
period for each acquired subsidiary to the unamortized balance of goodwill for
each subsidiary.  No impairments have been recorded for any of the years
presented.

REVENUE RECOGNITION

Revenue from translation services is recognized as work is performed.  Customers
are billed according to the terms of their purchase orders.  Work-in-process
represents costs on incomplete and unbilled projects as well as revenues
recognized in excess of amounts billed.  Deferred revenue arises when payments
are received prior to being earned under the terms of customer purchase orders. 
Such revenue is subsequently recognized as the requirements specified in the
purchase orders are completed.

Collateral is not required for receivables and reserves are provided for bad
debts.

NET INCOME (LOSS) PER SHARE

Net income (loss) per share is based upon the average shares of Common Stock and
Common Stock equivalents outstanding during the respective years, to the extent
they are dilutive.  Common Stock equivalents include the Company s series B,
series C, and series D Preferred Stock.  Other Common Stock equivalents,
consisting of warrants (in 1993 only) and employee stock options, have been
included in the calculation for 1995 only, as their effect is antidilutive or
immaterial for 1994 and 1993.  Primary and fully diluted net income (loss) per
share are substantially the same for each year presented.

RECLASSIFICATIONS

Certain prior-year amounts have been reclassified to conform to the 1995
presentation.


2. GEOGRAPHICAL DATA

<TABLE>

The following selected financial data summarizes the Company s domestic and foreign operations for financial reporting purposes. 
Allocations of corporate and country overheads to domestic and foreign operations are based upon the Company's policies for
financial reporting consistently applied during the periods.  Intercompany sales are normally billed on a profit-sharing basis. 
All intercompany sales are eliminated in determining the totals.  

<CAPTION>

   Thousands of dollars       1995       1994       1993 
   <S>                     <C>        <C>        <C>
   Net sales: 
      United States        $ 2,463    $ 2,360    $ 2,467 
      Canada                 3,860      3,404      3,077                
      Europe                21,864     15,940     15,309 
      Asia                   2,464      1,955      1,268 
      Eliminations          (3,732)    (3,186)    (2,662)

                           $26,919    $20,473    $19,459 

   Income (loss) before income taxes:
      United States        $  (195)   $  (337)   $  (111)
      Canada                   159         85        (61)
      Europe                   762       (408)       578       
      Asia                      55         11        134 

                           $   781    $  (649)   $   540 

   Identifiable assets:
      United States        $ 1,419    $   761    $ 1,406 
      Canada                 1,319      1,211        937 
      Europe                10,272     10,493      9,821 
      Asia                   1,439        758        579 

                           $14,449    $13,223    $12,743 

</TABLE>

Seventeen percent of the Company's 1995 revenues and fourteen percent of 1994
revenues were for services provided to a single customer in the computer
industry.  No other customer accounts for more than ten percent of revenues in
any year.

 
3. FINANCING TRANSACTIONS

1993 TRANSACTIONS

During 1993, the Company entered into a stock purchase agreement whereby the
Company sold 3,000,000 shares of Common Stock to a Liechtenstein company.  The
net proceeds of $1,488,000 were used to retire the Company's remaining
obligations to a Swiss bank and for operating purposes.  

1994 TRANSACTIONS

Effective March 31, 1994, the Company completed a capital restructuring with
three shareholders.  The agreements with these shareholders provided for the
following:

    (1) Conversion of $1,807,000 of long-term debt due to two of the
        shareholders into a new series of convertible Preferred Stock (series
        C) of the Company;
    (2) Deferral of the due dates for repayment of a 300,000 Swiss franc
        (approximately $243,000) note payable to a third shareholder who is
        also a director; and
    (3) Elimination of all of the outstanding warrants held by these three
        shareholders to purchase up to 8,390,000 additional shares of the
        Company's Common Stock.

The conversion of $1,807,000 of debt ($1,743,000, net of related costs) to
preferred shares resulted in the issuance of 584,257 shares of series C
Preferred Stock (see Note 5).  

In conjunction with this capital restructuring, the Company entered into a
"financial monitoring agreement" with its largest shareholder which requires the
Company, among other things, to obtain prior approval for major financing
transactions, significant asset purchases or sale of a major portion of the
Company's assets.

In July 1994, the Company entered into an agreement with a current shareholder
(who is also the former owner of the Company's German subsidiary) to finance a
portion of a pension obligation owed to the shareholder.  In connection with
this agreement, the Company signed a 300,000 Deutsche mark (approximately
$185,000) note payable (see Note 4).

1995 TRANSACTIONS

In August 1995, the Company converted the 300,000 Swiss franc note payable to
the shareholder and director mentioned above into 87,339 shares of series D
Preferred Stock (see Note 5).  

The Company issued 581,818 shares of restricted Common Stock to a new vice
president of the Company for approximately $194,000, net of related costs.  In
conjunction with this transaction, the Company granted this officer an option to
acquire 500,000 shares of restricted Common Stock (see Note 5).  



4. BORROWINGS

NOTES PAYABLE TO BANKS

<TABLE>

Notes payable to banks consisted of the following at December 31:

<CAPTION>

    Thousands of dollars                                     1995     1994
    <S>                                                    <C>      <C>    
    Credit facility with a Canadian bank, interest at 8.5%,
      collateralized by the accounts receivable of the 
      Canadian subsidiary, guaranteed by the Company       $   70   $  314
    Credit facility with a U.K. bank, interest at 10.0%,
      collateralized by the assets of the U.K. subsidiary,
      guaranteed by the Company                               991      736
    Credit facility with a German bank, interest at 9.5%,
      collateralized by the accounts receivable of the
      German subsidiary                                                181
    Unsecured credit facility with a German bank, 
      interest at 10.0%                                        31       78
    Credit facility with a Spanish bank, interest at 12.5%,          
      guaranteed by the Company's U.K. subsidiary              64       63
    Other                                                               71

                                                           $1,156   $1,443

</TABLE>

All of the above credit facilities have variable interest rates.  The interest
percentages shown are the actual rates at December 31, 1995.  Due to the short-
term nature of these notes, their carrying values at December 31, 1995 are
considered to approximate their fair values.

The credit facility with the Canadian bank has a maximum limit of Canadian
$500,000 (approximately $370,000)  at December 31, 1995, and intercompany debts
have been subordinated to the bank.

The credit facility with the U.K. bank has a maximum limit of Pounds700,000
(approximately $1,090,000) at December 31, 1995.  In January 1996, the limit was
increased to Pounds800,000 (approximately $1,240,000).  Intercompany debts 
have been subordinated to the bank.  The note agreement requires the U.K. 
subsidiary to maintain net equity of Pounds750,000 (approximately $1,170,000)
and a 2:1 ratio of accounts receivable to outstanding borrowings under the 
facility.

The secured credit facility with the German bank has a maximum limit of DM
500,000 (approximately $350,000) and was not utilized at December 31, 1995.  In
January 1996 the limit was increased to DM 600,000 (approximately $420,000). 
Intercompany debts have been subordinated to the bank.  The unsecured credit
facility has a maximum limit of DM 100,000 (approximately $70,000) at December
31, 1995. 

The credit facility with the Spanish bank has a maximum limit of PTS 9.2 million
(approximately $80,000) at December 31, 1995.  

Most of the Company's credit facilities are subject to annual renewals and the
Company expects them to be renewed on substantially the same terms as exist at
December 31, 1995.  The weighted average interest rate on notes payable to banks
was 10.1% at December 31, 1995 and  9.8% at December 31, 1994.


LONG-TERM DEBT 

<TABLE>

Long-term debt consisted of the following at December 31:

<CAPTION>

   Thousands of dollars                                   1995        1994    
   <S>                                                    <C>         <C> 
   Mortgage with a bank in Spain payable in monthly 
     installments through March 1997, interest at 17%     $ 34        $ 52
   Obligations to financial institutions due at 
     various dates through 1999, secured by certain 
     equipment                                             175         188

                                                           209         240
   Less current portion                                     94          85

                                                          $115        $155

</TABLE>

LONG-TERM DEBT TO AFFILIATES

<TABLE>

Long-term debt to affiliates consisted of the following at December 31:

<CAPTION>

   Thousands of dollars                                     1995      1994
   <S>                                                      <C>       <C>
   Secured note payable to a shareholder and director, 
     interest at 9%, exchanged for 87,339 shares of 
     series D Preferred Stock in August 1995                $  0      $243
   Unsecured note payable to a current shareholder (who 
     is also the former owner of the Company's German 
     subsidiary), due in monthly installments of 
     approximately $3 plus interest through June 1999,
     interest at 8%                                          147       174

                                                             147       417
   Less current portion                                       42        39

                                                            $105      $378

</TABLE>

Interest expense on notes payable to affiliates was approximately $28,000 in
1995, $61,000 in 1994 and $156,000 in 1993. 

DEBT MATURITIES

<TABLE>

The aggregate maturities of long-term debt and long-term debt to affiliates as of December 31, 1995 were as follows:

<CAPTION>
                                               Long-Term
                                  Long-Term     Debt to
          Thousands of dollars        Debt    Affiliates   Total
          <S>                        <C>          <C>       <C>
          Year Ending December 31
              1996                   $ 94         $ 42      $136
              1997                     70           42       112
              1998                     37           42        79
              1999                      8           21        29

                                     $209         $147      $356

</TABLE>

Based on a discounted cash flow analysis, the carrying values of long-term debt
and long-term debt to affiliates at December 31, 1995 are considered to
approximate their fair values.


5. CAPITAL STOCK

CONVERTIBLE PREFERRED STOCK

The Company has 1,131,007 outstanding shares of Preferred Stock, of which
459,411 shares are designated as series B, 584,257 shares are designated as
series C and 87,339 shares are designated as series D.  The series B Preferred
Stock is convertible at the option of the holder into three shares of the
Company s Common Stock, has voting rights as if the shares were already
converted, and features a 10% non-cumulative dividend subject to the discretion
of the Board of Directors.  All of the outstanding shares of series B Preferred
Stock were issued in 1991.

The series C and series D Preferred Stock is convertible at the option of the
holder into nine shares of the Company's Common Stock and otherwise has the same
general terms as the series B Preferred Stock.  All of the outstanding shares of
series C Preferred Stock were issued in 1994 and all of the outstanding shares
of series D Preferred Stock were issued in 1995, as described in Note 3.

COMMON STOCK

The Company issued 581,818 shares of Common Stock in 1995 and 3,000,000 shares
of Common Stock in 1993, as described in Note 3.  As discussed in more detail in
Note 7, the Company has a guarantee liability related to the purchase of its
German subsidiary which could result in the issuance of additional shares of
Common Stock.  The Company is currently prohibited from paying dividends under
Utah corporate law.   

STOCK OPTIONS

The Company has an incentive stock option plan and a nonstatutory stock option
plan whereby 136,577 and 1,063,423 shares, respectively, of the Company s
authorized but unissued Common Stock are reserved for ultimate issuance under
the plans. 

There was no activity for the incentive stock option plan for any of the years
presented and there were no outstanding options under this plan as of December
31, 1995, 1994 or 1993.  The following table is a summary of activity for the
Company's nonstatutory stock option plan for the years ended December 31:

<TABLE>

<CAPTION>

    Thousands of shares                1995          1994            1993 
    <S>                                 <C>           <C>             <C>
    Outstanding at beginning of year    830           888             801 
      Granted                           154            31             325 
      Cancelled                        (608)          (89)           (238)
      Exercised                         (55)                          

    Outstanding at end of year          321           830             888 

    Exercisable at end of year           83           430             323 
    
    Option price range per share:
      Granted                         $1.08          $.44    $.75 to $.94 
      Outstanding at end 
        of year               $.42 to $1.13 $.42 to $1.13   $.42 to $1.13 

</TABLE>

The exercise terms of the options provide that the options expire six years
after date of grant and cannot be exercised during the first year.  No more than
20% of the options can be exercised in any one year; however, any unexercised
options may be accumulated and exercised in succeeding years. The exercise price
of options exercised during 1995 ranged from $.42 to $1.13 per share.

In addition to the above option grants, in 1995 the Board of Directors approved
the grant of stock options to nine members of management.  In total, options to
purchase 2,950,000 shares of restricted Common Stock were granted, with the
following terms and conditions:  983,333 optioned shares vest on September 1,
1996 and are exercisable at $.50 per share; 983,333 optioned shares vest on
September 1, 1997 and are exercisable at $.75 per share; and 983,334 optioned
shares vest on September 1, 1998 and are exercisable at $1.10 per share.  All
unexercised options expire on September 1, 2000 or when the employee terminates
employment with the Company, if sooner.  All existing options (for the purchase
of approximately 450,000 shares of unrestricted Common Stock) previously granted
to members of management participating in the new grants, were voluntarily
forfeited.

In conjunction with the issuance of 581,818 shares of Common Stock to an officer
of the Company in 1995, an option to acquire 500,000 shares of restricted Common
Stock was granted to this officer.  The exercise price for this option is
$.34375 per share and the option was exercisable at date of grant and expires on
September 1, 2000, unless the officer terminates employment with the Company
sooner.


6. INCOME TAXES

The Company files a consolidated U.S. Federal income tax return which includes
all domestic operations.  Tax returns for states within the U.S. and for foreign
subsidiaries are filed in accordance with applicable laws.  The following
summarizes for income tax purposes, the domestic and foreign components of
income (loss) before income taxes for the year ended December 31:

<TABLE>

<CAPTION>

    Thousands of dollars                    1995      1994         1993 
    <S>                                   <C>      <C>           <C>
    Domestic                              $1,295   $   807       $1,118 
    Foreign                                 (514)   (1,456)        (578)

                                          $  781   $  (649)      $  540     

</TABLE>

Income tax expense, including the effect of net operating loss carryforwards,
consisted of the following for the year ended December 31:

<TABLE>

<CAPTION>

    Thousands of dollars                     1995      1994         1993  
    <S>                                      <C>       <C>           <C> 
    Current income tax expense:
      Domestic income taxes:
       Federal                               $ 15      $  5          $16 
       State                                   65        45              
       Foreign income taxes                    50        42           66 

                                              130        92           82 
    Deferred foreign income tax expense        30                   

    Total income tax expense                 $160       $92          $82 
      
</TABLE>

Income tax expense varied from the expected statutory domestic federal income
tax amount as follows for the year ended December 31:

<TABLE>

<CAPTION>

     Thousands of dollars                    1995      1994       1993 
    <S>                                     <C>       <C>        <C>
    Tax expense (benefit) on consolidated
     income (loss) computed at the domestic
     statutory federal income tax rate      $ 273     $(227)     $ 189 
      Effect of foreign losses on the 
       computation of tax expense (benefit) 
       at domestic statutory rates            311       611        556 
      Utilization of U.S. net operating 
       losses from prior years               (438)     (277)      (375)
      Utilization of foreign net operating 
       losses from prior years                (51)      (60)      (288)
      Domestic state income taxes              65        45           

     Reported income tax expense            $ 160     $  92      $  82 
      
</TABLE>

The approximate tax effect of the temporary differences that give rise to
significant portions of the deferred tax assets and liabilities are as follows
for the year ended December 31:

<TABLE>

<CAPTION>

    Thousands of dollars                                1995      1994  
    <S>                                               <C>       <C> 
    Deferred tax assets:          
     Net operating loss carryforwards                 $7,600    $8,700  
     Tax credit carryforwards                            400       400  
     Other                                               100       100  

      Total deferred tax assets                        8,100     9,200  
     Less valuation allowances                        (8,000)   (9,100) 

    Net deferred tax assets                           $  100    $  100  
    
    Total deferred tax liabilities                    $  100    $  100  

</TABLE>
     
Due to prior years' operating losses, the Company and many of its subsidiaries
have net operating loss carryforwards available to offset future taxable income
in the various countries in which the Company operates.  In 1993, the net
operating loss carryforwards of the U.S. parent company expired for state income
tax purposes.  The Company has approximately $400,000 of general business tax
credit carryforwards available to offset future U.S. federal income taxes which
expire beginning in 1997 through 2001.  

The following table summarizes by country the available operating loss
carryforwards and the related expiration dates.

<TABLE>

<CAPTION>
                                          Operating Loss      Expiration   
         Thousands of dollars              Carryforwards         Dates      
         <S>                                     <C>       <C>
         United States                           $16,400   1999 through 2003
         Canada                                      200   1998 through 2000
         Canada                                      800                None
         United Kingdom                            1,500                None
         Germany                                   1,600                None
         Spain                                     1,000   1998 through 2002
         France                                      300   1999 through 2000
         Hong Kong                                   200                None

</TABLE>


7.  COMMITMENTS AND CONTINGENCIES

OPERATING LEASES

Substantially all of the Company's office space and various equipment is rented
under leases which are classified as operating leases.  These leases have
remaining terms of up to 19 years. Certain of the leases for office space
contain renewal options and adjustment clauses based on consumer price indices. 
Total rental expense for all operating leases was approximately $1.5 million in
1995, $1.6 million in 1994 and $1.6 million in 1993.  

Certain office space is subleased under an agreement pursuant to a contract
expiring in 1998 with various renewal options.  Total sublease rental income was
approximately $220,000 in 1995,  $250,000 in 1994 and $230,000 in 1993.

At December 31, 1995, future minimum payments under noncancelable operating
leases with initial terms of one year or more and future sublease income under
noncancelable subleases with initial terms of one year or more, are as follows:

<TABLE>

<CAPTION>

                                        Lease        Sublease
     Thousands of dollars              Payments       Income 
     <S>                                <C>             <C>  
     Year ending December 31
         1996                           $  969          $ 65
         1997                              998            47
         1998                              966            47
         1999                              916              
         2000                              920              
         Thereafter                      1,650              

     Total minimum lease payments       $6,419          $159
     
</TABLE>


EMPLOYEE BENEFIT PLANS

ALPNET, Inc. has a contributory profit sharing plan ("Plan") which is designed
to meet the requirements for qualification under Section 401(k) of the U.S.
Internal Revenue Code. Under this provision, contributions by U.S. employees are
excluded from their taxable income.  The Plan provides retirement benefits for
U.S. employees meeting certain eligibility requirements.  Employer contributions
are discretionary and become fully vested after two years.  Employer
contributions of $3,900 and $1,700 were made in 1995 and 1994, respectively, but
no employer contributions were made to the Plan in 1993.  Total employer and
employee contributions may not exceed specified limits.

The Company's U.K. subsidiary has two defined contribution plans which cover
substantially all of its employees.  Contributions are based upon percentages of
participating employees' compensation.  The cost of these plans was
approximately $89,000 in 1995, $81,000 in 1994, and $61,000 in 1993.

ACQUISITION GUARANTEE

In 1988, the Company acquired its German subsidiary for a combination of cash
and shares of the Company's Common Stock.  The acquisition agreement required
the Company to give additional consideration if the value of the shares of
Common Stock did not reach an agreed-upon level within a specified period
following the acquisition, and remain at that level until the former owner was
able to sell the shares of the Company's Common Stock for an amount equal to the
purchase price stipulated in the acquisition agreement.  As a result of this
requirement, the Company issued additional shares to the former owner in 1990.

In 1993, the Company and the former owner entered into an agreement which
amended the original acquisition agreement.  This agreement waived the
requirement to pay any additional consideration if the value of all shares of
Common Stock previously issued reached the stipulated purchase price on or
before September 30, 1994 (which date was subsequently extended to September 30,
1996).  If the stock value does not reach such amount, the Company is required
to pay interest on the stock value deficiency beginning on September 30, 1996. 
Alternatively, the Company could settle such deficiency by making additional
payments (in cash or stock) to the former owner.

As a result of this waiver agreement, the Company recorded a guarantee liability
for the stock value deficiency, calculated based on the trading value per share
of the Company's Common Stock as compared to the guaranteed value at the balance
sheet dates.  An adjustment to shareholders' equity has also been recorded for
the same amounts.  Due to the nature of this guarantee liability, there exists a
high probability that the amount of the liability could change significantly in
the near term.


8. RELATED PARTY TRANSACTIONS

Related party transactions not previously disclosed are as follows.

The Company incurred legal costs of approximately $53,000 in 1994 and $57,000 in
1993 for services performed by a law firm whose Chairman of the Board was a
director and also the secretary of the Company during those years. 
Approximately $25,000 in 1994 and $36,000 in 1993 of these legal fees related to
financing transactions discussed in Note 3.

As of December 31, 1995, the Company has a $67,200 unsecured promissory note
receivable, bearing interest at prime plus 3%, from an officer and director of
the Company.  The note balance was $76,100 at December 31, 1994 and $84,300 at
December 31, 1993.


<AUDIT-REPORT>

REPORT OF INDEPENDENT AUDITORS


The Board of Directors and Shareholders
ALPNET, Inc. and Subsidiaries


We have audited the accompanying consolidated balance sheets of ALPNET, Inc. and
subsidiaries as of December 31, 1995 and 1994, and the related consolidated
statements of operations, shareholders' equity, and cash flows for each of the
three years in the period ended December 31, 1995.  These financial statements
are the responsibility of the Company's management.  Our responsibility is to
express an opinion on these financial statements based on our audits.  We did
not audit the financial statements of Multiscript International Inc., a
subsidiary of ALPNET, Inc., which statements reflect total assets constituting
9% as of December 31, 1995 and 1994, and total revenues constituting 14% in
1995, 17% in 1994 and 14% in 1993 of the related consolidated totals.  Those
statements were audited by other auditors whose report has been furnished to us,
and our opinion, insofar as it relates to data included for Multiscript
International Inc., is based solely on the report of the other auditors.

We conducted our audits in accordance with generally accepted auditing
standards.  Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation. 
We believe that our audits and the report of other auditors provide a reasonable
basis for our opinion.

In our opinion, based on our audits and the report of other auditors, the
financial statements referred to above present fairly, in all material respects,
the consolidated financial position of ALPNET, Inc. and subsidiaries at December
31, 1995 and 1994, and the consolidated results of their operations and their
cash flows for each of the three years in the period ended December 31, 1995, in
conformity with generally accepted accounting principles.



                                               \s\ERNST & YOUNG LLP

Salt Lake City, Utah
March 15, 1996

</AUDIT-REPORT>



ITEM 9:   CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
          FINANCIAL DISCLOSURE

None.



                             PART III

ITEM 10: DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

The information with respect to directors required by Item 10 of Form 10-K is
presented in the section titled "Information About Directors" in the Company's
definitive Proxy Statement dated April 1, 1996 and is incorporated herein by
reference.  The information with respect to Executive Officers is presented in
the section titled "Information About Directors" and in paragraph 8 of the
section titled "Certain Significant Employees" in the Company's definitive Proxy
Statement dated April 1, 1996 and is incorporated herein by reference.  The
information with respect to other significant employees is presented in the
section titled "Certain Significant Employees" in the Company's definitive Proxy
Statement dated April 1, 1996 and is incorporated herein by reference.


ITEM 11: EXECUTIVE COMPENSATION

Information required by Item 11 of Form 10-K is presented in the sections titled
"Compensation of Directors," "Executive Compensation" and "Compensation Pursuant
to Plans" in the Company's definitive Proxy Statement dated April 1, 1996 and is
incorporated herein by reference.


ITEM 12: SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

Information required by Item 12 of Form 10-K is presented in the sections titled
"Principal Shareholders" and "Information About Directors" in the Company's
definitive Proxy Statement dated April 1, 1996 and is incorporated herein by
reference.


ITEM 13: CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Information required by Item 13 of Form 10-K is presented in the section titled
"Certain Relationships and Related Transactions" in the Company's definitive
Proxy Statement dated April 1, 1996 and is incorporated herein by reference.



                              PART IV

ITEM 14: EXHIBITS, FINANCIAL STATEMENT SCHEDULES, AND REPORTS ON FORM 8-K

(A)  (1)  FINANCIAL STATEMENTS:

     The financial statements are included in Item 8, Financial Statements and
     Supplementary Data, as listed in the Index to Consolidated Financial
     Statements at the beginning of Item 8.   


     (2)     FINANCIAL STATEMENT SCHEDULES:

     All schedules for which provision is made in the applicable accounting
     regulations of the Securities and Exchange Commission are not required
     under the related instructions and therefore have been omitted, or are not
     presented because the information required is included in the financial
     statements or notes thereto.


     (3)     LISTING OF EXHIBITS:

<TABLE>

<CAPTION>

   Exhibit                                                                     Filing  
     No.    Description                                                        Status  

    <S>     <C>                                                                <C>   
     3.1    Restated Articles of Incorporation, as Amended                      (iv)
     3.2    By-Laws                                                              (i)
     4.1    Specimen Series B Preferred Stock Certificate                       (iv)
     4.2    Specimen Series C Preferred Stock Certificate                       (iv)
     4.3    Specimen Series D Preferred Stock Certificate                       (iv)
    10.1    Stock Purchase Agreement between ALPNET, Inc. and Benitex A.G.
              dated 1 July 1993, with Exhibits                                  (ii)
    10.2    Debt Conversion Agreement dated 31 March 1994 between ALPNET, Inc.
              and H.F. Boeckmann, II                                           (iii)
    10.3    Debt Conversion Agreement dated 31 March 1994 between ALPNET, Inc.
              and NFT Ventures, Inc.                                           (iii)
    10.4    Debt Conversion Agreement dated 17 August 1995 between 
              Michael F. Eichner and ALPNET, Inc.                               (iv)
    10.5    Stock Purchase and Sale Agreement dated 20 October 1995 between
              ALPNET, Inc. and Jaap van der Meer                                (iv)
    10.6    Financial Monitoring Agreement dated 31 March 1994 between
              H.F. Boeckmann, II and ALPNET, Inc.                                (v)
    10.7    First Amendment to Financial Monitoring Agreement dated 
              15 September 1995 between H.F. Boeckmann II and ALPNET, Inc.       (v)
    10.8    Specimen Executive Stock Option Agreement dated 17 August 1995       (v)
    11      Statement Re:  Computation of Per Share Earnings                     (v)
    20      Opinion of Friedman & Friedman, Independent Auditors for Multiscript
              International Inc.                                                 (v)
    21      Subsidiaries of Registrant                                           (v)
    23.1    Consent of Ernst & Young LLP, Independent Auditors                   (v)
    23.2    Consent of Friedman & Friedman, Independent Auditors for Multiscript
              International Inc.                                                 (v)
    27      Financial Data Schedule                                              (v)
                                             
<FN>

     (i )   Previously filed on April 16, 1990 with the Securities and Exchange Commission as an Exhibit to Form 10-K for the
            year ended December 31, 1989, and incorporated herein by reference.
     (ii)   Previously filed on March 30, 1994 as an Exhibit to Form 10-K for the year ended December 31, 1993, and
            incorporated herein by reference.
     (iii)  Previously filed on March 29, 1995 as an Exhibit to Form 10-K for the year ended December 31, 1994, and
            incorporated herein by reference.
     (iv)   Previously filed on November 13, 1995 as an Exhibit to Form 10-Q for the quarterly period ended September 30,
            1995, and incorporated herein by reference.
     (v)    Filed herewith.
 
</FN>
</TABLE>

(B)  REPORTS ON 8-K:

     The following reports on Form 8-K were filed during the fourth quarter of
     the year ended December 31, 1995, which are incorporated herein by
     reference:
                                        
                                                 Financial 
        Date of                                  Statements
        Report     Item Reported                   Filed   


        11/01/95   ALPNET Announces Record Third
                    Quarter Results                 N/A 


(C)  EXHIBITS:

     The response to this portion of Item 14 is submitted as a separate section
     of this report.  See Item 14(a)(3) above.


(D)  FINANCIAL STATEMENT SCHEDULES:

     The response to this portion of Item 14 is submitted as a separate section
     of this report.  See Item 14(a)(2) above.          

                            SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


                             ALPNET, INC.



                             By:     \s\ Thomas F. Seal                   
                                     Thomas F. Seal, President

                             Date:   25 March 1996                        
             

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following persons on behalf of the registrant and
in the capacities and on the dates indicated.


\s\ Thomas F. Seal      President, Chief Executive Officer      25 March 1996
Thomas F. Seal          and Director


\s\ John W. Wittwer     Executive Vice President and Director   25 March 1996
John W. Wittwer


\s\ D. Kerry Stubbs     Chief Financial and Accounting Officer  25 March 1996
D. Kerry Stubbs                    


\s\ Michael F. Eichner  Chairman of the Board of Directors      25 March 1996 
Michael F. Eichner