diff --git a/include/osgDB/Output b/include/osgDB/Output
index 9acc24637..8fb8a9a4d 100644
--- a/include/osgDB/Output
+++ b/include/osgDB/Output
@@ -91,6 +91,9 @@ class OSGDB_EXPORT Output : public osgDB::ofstream
         virtual std::string getFileNameForOutput(const std::string& filename) const;
         const std::string& getFileName() const { return _filename; }
 
+        void setOutputRelativeTextures(bool flag) { _outputRelativeTextures = flag; }
+        bool getOutputRelativeTextures() const { return _outputRelativeTextures; }
+
         void setOutputTextureFiles(bool flag) { _outputTextureFiles = flag; }
         bool getOutputTextureFiles() const { return _outputTextureFiles; }
 
@@ -120,6 +123,7 @@ class OSGDB_EXPORT Output : public osgDB::ofstream
         
         PathNameHint _pathNameHint;
 
+        bool _outputRelativeTextures;
         bool _outputTextureFiles;
         unsigned int _textureFileNameNumber;
 
diff --git a/src/osgDB/Output.cpp b/src/osgDB/Output.cpp
index 334c669c3..e8c953442 100644
--- a/src/osgDB/Output.cpp
+++ b/src/osgDB/Output.cpp
@@ -48,6 +48,7 @@ void Output::init()
     _numIndicesPerLine = 10;
     _pathNameHint = AS_IS;
     
+    _outputRelativeTextures = false;
     _outputTextureFiles = false;
     _textureFileNameNumber = 0;
 
diff --git a/src/osgPlugins/osg/ReaderWriterOSG.cpp b/src/osgPlugins/osg/ReaderWriterOSG.cpp
index a1e24f7d4..11df7b96f 100644
--- a/src/osgPlugins/osg/ReaderWriterOSG.cpp
+++ b/src/osgPlugins/osg/ReaderWriterOSG.cpp
@@ -110,6 +110,7 @@ class OSGReaderWriter : public ReaderWriter
             supportsExtension("osgs","Psuedo OpenSceneGraph file loaded, with file encoded in filename string");
             supportsOption("precision","Set the floating point precision when writing out files");
             supportsOption("OutputTextureFiles","Write out the texture images to file");
+            supportsOption("OutputRelativeTextures","Write texture images to a subfolder and reference them with relative file names");
         }
     
         virtual const char* className() const { return "OSG Reader/Writer"; }
@@ -260,6 +261,10 @@ class OSGReaderWriter : public ReaderWriter
                         iss >> prec;
                         fout.precision(prec);
                     }
+                    if (opt=="OutputRelativeTextures")
+                    {
+                        fout.setOutputRelativeTextures(true);
+                    }
                     if (opt=="OutputTextureFiles")
                     {
                         fout.setOutputTextureFiles(true);
@@ -277,6 +282,7 @@ class OSGReaderWriter : public ReaderWriter
             std::string ext = osgDB::getLowerCaseFileExtension(fileName);
             if (!acceptsExtension(ext)) return WriteResult::FILE_NOT_HANDLED;
 
+
             Output fout(fileName.c_str());
             if (fout)
             {
@@ -296,6 +302,7 @@ class OSGReaderWriter : public ReaderWriter
         virtual WriteResult writeObject(const Object& obj,std::ostream& fout, const osgDB::ReaderWriter::Options* options) const
         {
 
+
             if (fout)
             {
                 Output foutput;
@@ -361,6 +368,7 @@ class OSGReaderWriter : public ReaderWriter
 
 };
 
+
 // now register with Registry to instantiate the above
 // reader/writer.
 REGISTER_OSGPLUGIN(osg, OSGReaderWriter)
diff --git a/src/osgPlugins/osg/Texture2D.cpp b/src/osgPlugins/osg/Texture2D.cpp
index 9e4a92138..7a9d3ed4d 100644
--- a/src/osgPlugins/osg/Texture2D.cpp
+++ b/src/osgPlugins/osg/Texture2D.cpp
@@ -5,6 +5,8 @@
 #include "osgDB/Input"
 #include "osgDB/Output"
 #include "osgDB/WriteFile"
+#include "osgDB/FileNameUtils"
+#include "osgDB/FileUtils"
 
 using namespace osg;
 using namespace osgDB;
@@ -87,7 +89,18 @@ bool Texture2D_writeLocalData(const Object& obj, Output& fw)
         else
         {
             std::string fileName = texture.getImage()->getFileName();
-            if (fw.getOutputTextureFiles())
+            if (fw.getOutputRelativeTextures())
+            {
+				std::string generatedFileName = osgDB::getSimpleFileName(osgDB::getNameLessExtension(fw.getTextureFileNameForOutput()));
+				std::string textureDir = osgDB::getNameLessExtension(fw.getFileName()) + "_textures";
+				std::string relativeDir = osgDB::getSimpleFileName(textureDir);
+				std::string texFnWithOriginalFormat = generatedFileName + osgDB::getFileExtensionIncludingDot(fileName);
+				std::string fullFileName =  osgDB::concatPaths(textureDir, texFnWithOriginalFormat);
+				fileName = relativeDir + "/" + texFnWithOriginalFormat;
+				osgDB::makeDirectory(textureDir);
+                osgDB::writeImageFile(*texture.getImage(), fullFileName);
+            }
+            else if (fw.getOutputTextureFiles())
             {
                 if (fileName.empty())
                 {
diff --git a/src/osgPlugins/osgViewer/ReaderWriterOsgViewer.cpp b/src/osgPlugins/osgViewer/ReaderWriterOsgViewer.cpp
index 1934ff2b6..5628e0621 100644
--- a/src/osgPlugins/osgViewer/ReaderWriterOsgViewer.cpp
+++ b/src/osgPlugins/osgViewer/ReaderWriterOsgViewer.cpp
@@ -47,6 +47,10 @@ public:
                     iss >> prec;
                     fout.precision(prec);
                 }
+                if (opt=="OutputRelativeTextures")
+                {
+                    fout.setOutputRelativeTextures(true);
+                }
                 if (opt=="OutputTextureFiles")
                 {
                     fout.setOutputTextureFiles(true);