SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                              ____________________

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                        Securities Exchange Act of 1934

                              ____________________

Date of Report (Date of Earliest Event Reported):  December 23, 1998



                            CALCOMP TECHNOLOGY, INC.
               (Exact Name of Registrant as Specified in Charter)


Delaware                            0-16071             06-0888312
(State or Other Jurisdiction      (Commission         (IRS Employer
of Incorporation)                 File Number)      Identification No.)



2411 West La Palma Avenue, Anaheim, CA                      92801
(Address of Principal Executive Offices)                  (Zip Code)


Registrant's Telephone Number, including Area Code:  (714) 821-2000


                                 Not Applicable
         (Former Name or Former Address, if Changed Since Last Report)

 
Item 5.   Other Events

     Pursuant to a letter to the Registrant from Lockheed Martin Corporation
("Lockheed Martin") dated December 23, 1998 (the "Lockheed Martin Notice"),
Lockheed Martin notified the Registrant that it will not increase the
Registrant's credit capacity beyond the currently available $43 million to fund
the Registrant's continuing operations.

     The Registrant expects to reach its credit limit during January 1999, and
does not anticipate it will be able to obtain additional funding from other
sources. Thus, the Registrant will be required to consider strategic
alternatives, including the sale of some or all of its operations, an orderly
shut-down of its operations, and should neither of these options be successfully
realized, the possible filing for protection under Chapter 11 of the Bankruptcy
Code.

     A copy of the Lockheed Martin Notice is attached hereto as Exhibit 99.1.
See also the Press Release of Registrant attached hereto as Exhibit 99.2.


Item 7.   Financial Statements, Pro Forma Financial Information and Exhibits.

          (c)  EXHIBITS
               --------

Exhibit No.    Description of Exhibit
- -----------    ----------------------

99.1           Letter to the Registrant from Lockheed Martin Corporation
               ("Lockheed") dated December 23, 1998, notifying the Registrant
               that Lockheed will not increase the existing credit it provides
               to the Registrant

99.2           Press Release dated December 29, 1998 issued by Registrant

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                                   SIGNATURES

          Pursuant to the requirements of the Securities and Exchange Act of
1934, the Registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.


Dated:  December 30, 1998                CALCOMP TECHNOLOGY, INC.


                                         By:  /s/ John J. Millerick
                                              ------------------------
                                              John J. Millerick
                                              Chief Financial Officer

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                                 EXHIBIT INDEX


Exhibit No.    Description of Exhibit
- -----------    ----------------------

99.1           Letter to the Registrant from Lockheed Martin Corporation
               ("Lockheed") dated December 23, 1998, notifying the Registrant
               that Lockheed will not increase the existing credit it provides
               to the Registrant

99.2           Press Release dated December 29, 1998 issued by Registrant

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