REVOLVING LINE OF CREDIT PROMISSORY NOTE

$10,000,000.00 U.S.        Manchester, NH               December 18, 1996

     FOR VALUE RECEIVED, PRESSTEK, INC., a Delaware corporation with a principal
place of business at 8 Commercial Street, Hudson, New Hampshire 03051 (the
"Borrower"), promises to pay to the order of CITIZENS BANK NEW HAMPSHIRE, a
guaranty savings bank organized under the laws of the State of New Hampshire
with an address of 875 Elm Street, Manchester, New Hampshire 03101 (the "Bank"),
at such address, or such other place or places as the holder hereof may
designate in writing from time to time hereafter, the maximum principal sum of
TEN MILLION DOLLARS ($10,000,000.00), or so much thereof as may be advanced or
readvanced by the Bank to the Borrower from time to time hereafter (such amounts
defined as the "Debit Balance" below), together with interest as provided for
hereinbelow, in lawful money of the United States of America.

     The Borrower's "Debit Balance" shall mean the debit balance in an account
on the books of the Bank, maintained in the form of a ledger card, computer
records or otherwise in accordance with the Bank's customary practice and
appropriate accounting procedures wherein there shall be recorded the principal
amount of all advances made by the Bank to the Borrower, all principal payments
made by the Borrower to the Bank hereunder, and all other appropriate debits and
credits.

     Under the Revolving Line of Credit Loan evidenced by this Note (the "Line
of Credit"), the Bank agrees to lend to the Borrower, and the Borrower may
borrow, up to the maximum principal sum provided for in this Note, all in
accordance with and subject to the terms, conditions, and limitations of this
Note and the Loan Agreement of even date herewith by and between the Borrower
and the Bank, as the same may be amended from time to time (the "Loan
Agreement"). The holder of this Note is entitled to all of the benefits and
rights of the Bank under the Loan Agreement. However, neither this reference to
the Loan Agreement nor any provision thereof shall impair the absolute and
unconditional obligation of the Borrower to pay the principal and interest of
this Note as herein provided. Terms not otherwise defined herein shall have the
meanings ascribed to them in the Loan Agreement.

     The Borrower shall make requests for advances under this Note as provided
in the Loan Agreement. The Borrower agrees that the Bank may make all advances
under this Note by direct deposit to any demand account of the Borrower with the
Bank or in such other manner as may be provided in the Loan Agreement, and that
all such advances shall represent binding obligations of the Borrower.

     The Borrower acknowledges that this Note is to evidence the Borrower's
obligation to pay its Debit Balance, plus interest and any other applicable
charges as determined from time to time, and that it shall continue to do so
despite the occurrence of intervals when no Debit Balance exists because the
Borrower has paid the previously existing Debit Balance in full.


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     Interest shall be calculated and charged daily, based on the actual days
elapsed over a three hundred sixty (360) day banking year, on the unpaid
principal balance outstanding from time to time of each Advance at a fixed rate
for the Advance Term applicable to such Advance equal to the LIBOR rate plus one
and three-quarters percent (1.75%) per annum. The term "LIBOR rate" shall mean
the rate as determined for each separate Advance by the BANK in accordance with
the provisions of the Loan Agreement. Subject to the terms of Loan Agreement,
outstanding principal which is not subject to an interest rate hereunder based
upon the LIBOR rate shall bear interest at a variable annual rate equal to the
Prime Rate (as hereinafter defined). As used herein, the term "Prime Rate" shall
mean the rate published by The Wall Street Journal from time to time under the
category "Prime Rate: The Base Rate of Corporate Loans posted by at least 75% of
the Nation's 30 Largest Banks" (the lowest of the rates so published if more
than one rate is published under this category at any given time) or such other
comparable index rate selected by the Bank in its sole discretion if The Wall
Street Journal ceases to publish such rate. The Borrower acknowledges that the
Prime Rate is used for reference purposes only as an index and is not
necessarily the lowest interest rate charged by the Bank on commercial loans.
Each time the Prime Rate changes the interest rate applicable to outstanding
principal hereunder which is subject to the Prime Rate shall change
contemporaneously with such change in the Prime Rate. Interest shall be
calculated and charged daily on the basis of actual days elapsed over a three
hundred sixty (360) day banking year.

     The Bank shall extend the Line of Credit through and until July 31, 1997,
and, if the Line of Credit is renewed and extended by the Bank pursuant to the
Loan Agreement, through and until each anniversary of such date with respect to
which the Line of Credit is renewed and extended (July 31, 1997, and each
anniversary thereof to which the Line of Credit is renewed and extended, being a
"Review Date"). Pending a Review Date as to which the Line of Credit is not
extended, the Borrower shall (i) make payments of outstanding principal from
time to time as may be required under the Loan Agreement and (ii) make payments
of accrued and unpaid interest monthly in arrears commencing thirty (30) days
from the date hereof (or on any day within 30 days of the date hereof agreed to
by the Borrower and the Bank to provide for a convenient payment date) and
continuing on the same date of each month thereafter, through and until any
Review Date as to which the Line of Credit is not renewed by the Bank, whereupon
all principal, accrued and unpaid interest, and any other charges provided for
hereunder, shall be due and payable in full. In the event that the Line of
Credit is renewed pursuant to the Loan Agreement as of any Review Date, this
Note shall thereafter continue to evidence amounts advanced and due under the
Line of Credit as renewed. Prepayments of the outstanding principal amount of
any Advance prior to the end of the Advance Term therefor shall be subject to
prepayment charges and costs as

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Citizens Bank NH/Presstek, Inc. Note

determined under the Loan Agreement.

     This Note is being executed and delivered in accordance with the terms of
the Loan Agreement and the documents defined therein as the "Loan Documents".
The payment and performance of the obligations contained in the Loan Documents
are secured by the collateral granted to the Bank therein (the "Collateral") and
the security granted to the Bank in the Loan Documents.

     Upon the occurrence and during the continuance of an Event of Default
specified in the Loan Agreement, or if any payment of principal or interest
under this Note is not paid within ten (10) days of the due date therefor, the
principal hereof and all interest accrued and accruing hereon may be declared to
be forthwith due and payable.

     The holder may impose upon the Borrower a delinquency charge of the greater
of Thirty Five Dollars ($35.00) or five percent (5%) of the amount of interest
not paid on or before the tenth (10th) day after such installment is due. The
entire principal balance of each Advance, together with accrued interest, shall
after maturity, whether by demand, acceleration or otherwise, bear interest at
the then applicable interest rate for such Advance hereunder plus five percent
(5%) per annum.

     The Borrower agrees that any other property upon or in which the Borrower
has granted or hereafter grants the holder a mortgage or security interest,
securing the payment and performance of any other liability of the Borrower to
the holder, shall also constitute Collateral. As additional Collateral, the
Borrower grants (1) a security interest in, or pledges, assigns and delivers to
the holder, as appropriate, all deposits, credits and other property now or
hereafter due from the holder to the Borrower; and (2) the right to set off and
apply (and a security interest in said right), upon an Event of Default and
without demand or notice of any nature, all, or any portion, of such deposits,
credits and other property, against the indebtedness evidenced by this Note
whether the other Collateral, if any, is deemed adequate or not.

     The Borrower, and every maker, endorser, or guarantor of this Note, jointly
and severally, agree to pay on demand all reasonable out-of-pocket costs of
collection hereof, including reasonable attorneys' fees, whether or not any
foreclosure or other action is instituted by the holder in its discretion.

     No delay or omission on the part of the holder in exercising any right,
privilege or remedy shall impair such right, privilege or remedy or be construed
as a waiver thereof or of

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Citizens Bank NH/Presstek, Inc. Note

any other right, privilege or remedy. No waiver of any right, privilege or
remedy or any amendment to this Note shall be effective unless made in writing
and signed by the holder. Under no circumstances shall an effective waiver of
any right, privilege or remedy on any one occasion constitute or be construed as
a bar to the exercise of or a waiver of such right, privilege or remedy on any
future occasion.

     The acceptance by the holder hereof of any payment after any default
hereunder shall not operate to extend the time of payment of any amount then
remaining unpaid hereunder or constitute a waiver of any rights of the holder
hereof under this Note.

     All rights and remedies of the holder, whether granted herein or otherwise,
shall be cumulative and may be exercised singularly or concurrently, and the
holder shall have, in addition to all other rights and remedies, the rights and
remedies of a secured party under the Uniform Commercial Code of New Hampshire.
The holder shall have no duty as to the collection or protection of the
Collateral or of any income thereon, or as to the preservation of any rights
pertaining thereto beyond the safe custody thereof. Surrender of this Note, upon
payment or otherwise, shall not affect the right of the holder to retain the
Collateral as security for the payment and performance of any other liability of
the Borrower to the holder.

     The Borrower, and every maker, endorser, or guarantor of this Note, hereby
jointly waive, to the fullest extent permitted by law, presentment, notice,
protest and all other demands and notices and assents (1) to any extension of
the time of payment or any other indulgence, (2) to any substitution, exchange
or release of Collateral, and (3) to the release of any other person primarily
or secondarily liable for the obligations evidenced hereby.

     This Note and the provisions hereof shall be binding upon the Borrower and
the Borrower's heirs, administrators, executors, successors, legal
representatives and assigns and shall inure to the benefit of the holder, the
holder's heirs, administrators, executors, successors, legal representatives and
assigns.

     The word "holder" as used herein shall mean the payee or endorsee of this
Note who is in possession of it, or the bearer, if this Note is at the time
payable to the bearer.

     This Note may not be amended, changed or modified in any respect except by
a written document which has been executed by each party. This Note constitutes
a New Hampshire contract to be governed by the laws of such state and to be paid
and performed therein.

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Citizens Bank NH/Presstek, Inc. Note



     The provisions of this Note are expressly subject to the condition that in
no event shall the amount paid or agreed to be paid to the holder hereunder and
deemed interest under applicable law exceed the maximum rate of interest on the
unpaid principal balance hereunder allowed by applicable law, if any, (the
"Maximum Allowable Rate"), which shall mean the law in effect on the date
hereof, except that if there is a change in such law which results in a higher
Maximum Allowable Rate being applicable to this Note, then this Note shall be
governed by such amended law from and after its effective date. In the event
that fulfillment of any provisions of this Note results in the interest rate
hereunder being in excess of the Maximum Allowable Rate, the obligation to be
fulfilled shall automatically be reduced to eliminate such excess. If
notwithstanding the foregoing, the holder receives an amount which under
applicable law would cause the interest rate hereunder to exceed the Maximum
Allowable Rate, the portion thereof which would be excessive shall automatically
be applied to and deemed a prepayment of the unpaid principal balance hereunder
and not a payment of interest.

     Executed and delivered this 18th day of December, 1996.

                                        PRESSTEK, INC.

/s/ Tom Manson                                 By: /s/ Robert E. Verrando
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Witness                                        Robert E. Verrando, President

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