diff --git a/app/MainWindow.cpp b/app/MainWindow.cpp
index e191720..510cbd2 100644
--- a/app/MainWindow.cpp
+++ b/app/MainWindow.cpp
@@ -222,12 +222,12 @@ namespace glabels
 		viewGridAction = new QAction( tr("Grid"), this );
 		viewGridAction->setCheckable( true );
 		viewGridAction->setStatusTip( tr("Change visibility of the grid in current window") );
-		connect( viewGridAction, SIGNAL(triggered()), this, SLOT(viewGrid()) );
+		connect( viewGridAction, SIGNAL(toggled(bool)), this, SLOT(viewGrid(bool)) );
 
 		viewMarkupAction = new QAction( tr("Markup"), this );
 		viewMarkupAction->setCheckable( true );
 		viewMarkupAction->setStatusTip( tr("Change visibility of markup lines in current window") );
-		connect( viewMarkupAction, SIGNAL(triggered()), this, SLOT(viewMarkup()) );
+		connect( viewMarkupAction, SIGNAL(toggled(bool)), this, SLOT(viewMarkup(bool)) );
 
 		viewZoomInAction = new QAction( tr("Zoom &In"), this );
 		viewZoomInAction->setIcon( QIcon::fromTheme( "zoom-in", Icons::Fallback::ZoomIn() ) );
@@ -637,17 +637,20 @@ namespace glabels
 		bool showObjectsToolBar = settings.value( "showObjectsToolBar", true ).toBool();
 		bool showEditToolBar    = settings.value( "showEditToolBar",    true ).toBool();
 		bool showViewToolBar    = settings.value( "showViewToolBar",    true ).toBool();
+		bool showGrid           = settings.value( "showGrid",           true ).toBool();
 		settings.endGroup();
 
 		viewFileToolBarAction->setChecked(    showFileToolBar );
 		viewObjectsToolBarAction->setChecked( showObjectsToolBar );
 		viewEditToolBarAction->setChecked(    showEditToolBar );
 		viewViewToolBarAction->setChecked(    showViewToolBar );
+		viewGridAction->setChecked(           showGrid );
 
 		fileToolBar->setVisible(    showFileToolBar );
 		objectsToolBar->setVisible( showObjectsToolBar );
 		editToolBar->setVisible(    showEditToolBar );
 		viewToolBar->setVisible(    showViewToolBar );
+		view->setGridVisible(       showGrid );
 	}
 
 
@@ -660,6 +663,7 @@ namespace glabels
 		settings.setValue( "showObjectsToolBar", viewObjectsToolBarAction->isChecked() );
 		settings.setValue( "showEditToolBar",    viewEditToolBarAction->isChecked() );
 		settings.setValue( "showViewToolBar",    viewViewToolBarAction->isChecked() );
+		settings.setValue( "showGrid",           viewGridAction->isChecked() );
 		settings.endGroup();
 	}
 
@@ -796,13 +800,13 @@ namespace glabels
 	}
 
 
-	void MainWindow::viewGrid()
+	void MainWindow::viewGrid( bool state )
 	{
-		std::cout << "ACTION: edit->Grid" << std::endl;
+		view->setGridVisible( state );
 	}
 
 
-	void MainWindow::viewMarkup()
+	void MainWindow::viewMarkup( bool state )
 	{
 		std::cout << "ACTION: edit->Markup" << std::endl;
 	}
diff --git a/app/MainWindow.h b/app/MainWindow.h
index 8955ec2..c046f84 100644
--- a/app/MainWindow.h
+++ b/app/MainWindow.h
@@ -72,8 +72,8 @@ namespace glabels
 		void viewObjectsToolBar( bool );
 		void viewEditToolBar( bool );
 		void viewViewToolBar( bool );
-		void viewGrid();
-		void viewMarkup();
+		void viewGrid( bool );
+		void viewMarkup( bool );
 		void viewZoomIn();
 		void viewZoomOut();
 		void viewZoom1To1();
diff --git a/app/View.cpp b/app/View.cpp
index ecc9b38..a1855d8 100644
--- a/app/View.cpp
+++ b/app/View.cpp
@@ -21,10 +21,13 @@
 #include "View.h"
 
 #include <QMouseEvent>
+#include <QGraphicsLineItem>
 #include <QGraphicsDropShadowEffect>
 #include <cmath>
 #include <iostream>
 
+#include "libglabels/FrameRect.h"
+
 
 namespace
 {
@@ -40,6 +43,10 @@ namespace
         const QColor  labelColor( 255, 255, 255 );
         const QColor  labelOutlineColor( 0, 0, 0 );
 	const double  labelOutlineWidthPixels = 1;
+
+	const QColor  gridLineColor( 192, 192, 192 );
+	const double  gridLineWidthPixels = 1;
+	const double  gridSpacing = 9; // TODO: determine from locale.
 }
 
 
@@ -58,6 +65,11 @@ namespace glabels
 
 		mScene = new QGraphicsScene();
 		setScene( mScene );
+
+		mScene->addItem( mLabelLayer      = new QGraphicsItemGroup() );
+		mScene->addItem( mGridLayer       = new QGraphicsItemGroup() );
+		mScene->addItem( mObjectLayer     = new QGraphicsItemGroup() );
+		mScene->addItem( mForegroundLayer = new QGraphicsItemGroup() );
 	}
 
 
@@ -66,12 +78,20 @@ namespace glabels
 		mModel = model;
 
 		createLabelLayer();
+		createGridLayer();
 
 		foreach (LabelModelObject* object, model->objectList() )
 		{
-			QGraphicsItem* item = object->createGraphicsItem();
-			mScene->addItem( item );
+			addObjectToObjectLayer( object );
 		}
+
+		createForegroundLayer();
+	}
+
+
+	void View::setGridVisible( bool visibleFlag )
+	{
+		mGridLayer->setVisible( visibleFlag );
 	}
 
 
@@ -191,26 +211,97 @@ namespace glabels
 	}
 
 
+	void View::clearLayer( QGraphicsItemGroup* layer )
+	{
+		foreach( QGraphicsItem* item, layer->childItems() )
+		{
+			layer->removeFromGroup( item );
+		}
+	}
+
+
 	void View::createLabelLayer()
 	{
+		clearLayer( mLabelLayer );
+
                 QGraphicsPathItem *labelItem  = new QGraphicsPathItem( mModel->frame()->path() );
 
                 QBrush brush( labelColor );
                 labelItem->setBrush( brush );
 
-                QPen pen( labelOutlineColor );
-		pen.setJoinStyle( Qt::MiterJoin );
-		pen.setCosmetic( true );
-                pen.setWidthF( labelOutlineWidthPixels );
-                labelItem->setPen( pen );
-
                 QGraphicsDropShadowEffect *shadowEffect = new QGraphicsDropShadowEffect();
                 shadowEffect->setColor( shadowColor );
                 shadowEffect->setOffset( shadowOffsetPixels );
                 shadowEffect->setBlurRadius( shadowRadiusPixels );
 		labelItem->setGraphicsEffect( shadowEffect );
 
-                mScene->addItem( labelItem );
+                mLabelLayer->addToGroup( labelItem );
+	}
+
+
+	void View::createGridLayer()
+	{
+		clearLayer( mGridLayer );
+
+                QGraphicsPathItem *clipItem  = new QGraphicsPathItem( mModel->frame()->path() );
+		clipItem->setFlag( QGraphicsItem::ItemClipsChildrenToShape );
+
+                QPen pen( gridLineColor );
+		pen.setCosmetic( true );
+                pen.setWidthF( gridLineWidthPixels );
+
+		double w = mModel->w();
+		double h = mModel->h();
+		double x0;
+		double y0;
+		if ( dynamic_cast<const libglabels::FrameRect*>( mModel->frame() ) )
+		{
+			x0 = gridSpacing;
+			y0 = gridSpacing;
+		}
+		else
+		{
+			/* round labels, align grid with center of label. */
+			x0 = fmod( w/2, gridSpacing );
+			y0 = fmod( h/2, gridSpacing );
+		}
+
+		for ( double x = x0; x < w; x += gridSpacing )
+		{
+			QGraphicsLineItem* lineItem = new QGraphicsLineItem( x, 0, x, h, clipItem );
+			lineItem->setPen( pen );
+		}
+
+		for ( double y = y0; y < h; y += gridSpacing )
+		{
+			QGraphicsLineItem* lineItem = new QGraphicsLineItem( 0, y, w, y, clipItem );
+			lineItem->setPen( pen );
+		}
+
+                mGridLayer->addToGroup( clipItem );
+	}
+
+
+	void View::addObjectToObjectLayer( LabelModelObject* object )
+	{
+		QGraphicsItem* item = object->createGraphicsItem();
+		mObjectLayer->addToGroup( item );
+	}
+
+
+	void View::createForegroundLayer()
+	{
+		clearLayer( mForegroundLayer );
+
+                QGraphicsPathItem *outlineItem  = new QGraphicsPathItem( mModel->frame()->path() );
+
+                QPen pen( labelOutlineColor );
+		pen.setJoinStyle( Qt::MiterJoin );
+		pen.setCosmetic( true );
+                pen.setWidthF( labelOutlineWidthPixels );
+                outlineItem->setPen( pen );
+
+                mForegroundLayer->addToGroup( outlineItem );
 	}
 
 }
diff --git a/app/View.h b/app/View.h
index 0aea061..9b458d2 100644
--- a/app/View.h
+++ b/app/View.h
@@ -23,6 +23,7 @@
 
 #include <QGraphicsView>
 #include <QGraphicsScene>
+#include <QGraphicsItemGroup>
 
 #include "LabelModel.h"
 
@@ -64,6 +65,13 @@ namespace glabels
 		void setModel( LabelModel* model );
 
 
+		/////////////////////////////////////
+		// Visibility operations
+		/////////////////////////////////////
+	public:
+		void setGridVisible( bool visibleFlag );
+
+
 		/////////////////////////////////////
 		// Zoom operations
 		/////////////////////////////////////
@@ -91,19 +99,28 @@ namespace glabels
 		// Private methods
 		/////////////////////////////////////
 	private:
+		void clearLayer( QGraphicsItemGroup* layer );
 		void createLabelLayer();
+		void createGridLayer();
+		void addObjectToObjectLayer( LabelModelObject* object );
+		void createForegroundLayer();
 
 
 		/////////////////////////////////////
 		// Private data
 		/////////////////////////////////////
 	private:
-		QGraphicsScene*  mScene;
+		QGraphicsScene*     mScene;
 
-		double           mZoom;
-		bool             mZoomToFitFlag;
+		QGraphicsItemGroup* mLabelLayer;
+		QGraphicsItemGroup* mGridLayer;
+		QGraphicsItemGroup* mObjectLayer;
+		QGraphicsItemGroup* mForegroundLayer;
 
-		LabelModel*      mModel;
+		double              mZoom;
+		bool                mZoomToFitFlag;
+
+		LabelModel*         mModel;
 
 	};