diff --git a/.gitignore b/.gitignore
index cd42ee3..3e4ab67 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,2 +1,3 @@
 bin/
 obj/
+output/
diff --git a/src/Color.cs b/src/Color.cs
index f876c5e..436cde3 100644
--- a/src/Color.cs
+++ b/src/Color.cs
@@ -6,5 +6,10 @@ namespace Palettizer
 		public byte G { get; set; }
 		public byte B { get; set; }
 		public byte A { get; set; }
+
+		public override string ToString()
+		{
+            return $"{{R: {R.ToString()}, G: {G.ToString()}, B: {B.ToString()}, A: {A.ToString()}}}";
+        }
 	}
 }
diff --git a/src/Palette.cs b/src/Palette.cs
index 4f7fd9b..ebcc528 100644
--- a/src/Palette.cs
+++ b/src/Palette.cs
@@ -40,8 +40,9 @@ namespace Palettizer
 				}
 				else
 				{
-					System.Console.WriteLine("That color doesn't exist in the grayscale palette!! Bailing!!!");
-				}
+					System.Console.WriteLine($"Color {color.ToString()} doesn't exist in the grayscale palette!! Bailing!!!");
+                    return;
+                }
 			}
 
 			AlternateColorRows.Add(byteArray);
diff --git a/src/Program.cs b/src/Program.cs
index 35a378d..2932eb3 100644
--- a/src/Program.cs
+++ b/src/Program.cs
@@ -43,7 +43,7 @@ namespace Palettizer
             var gmProject = Importer.ImportProject(project);
             var projectDir = project.Directory;
 
-            console.Out.Write("Parsing: " + gmProject.Name);
+            console.Out.Write("Parsing: " + gmProject.Name + "\n");
 
             if (Directory.Exists("output"))
             {
@@ -54,10 +54,11 @@ namespace Palettizer
 			var palette = new Palette();
 			var writer = new StbImageWriteSharp.ImageWriter();
 
-			// Add all sprite colors to palette 
+			// Add all sprite colors to palette
 			foreach (var resource in gmProject.Resources)
 			{
 				var path = Path.Combine(projectDir.FullName, resource.ID.Path);
+                var spriteDir = Path.GetDirectoryName(path);
                 var file = new FileInfo(path);
 
 				if (file.Name.StartsWith("pal_")) { continue; }
@@ -71,12 +72,14 @@ namespace Palettizer
 
 					if (sprite.TextureGroupID.Name == textureGroup)
 					{
+						console.Out.Write(sprite.Name + "\n");
+
 						foreach (var spriteFrame in sprite.Frames)
 						{
 							ImageResult image;
 							byte[] grayscaleImage;
 
-							var spriteImageFilePath = Path.Combine(path, spriteFrame.CompositeImage.FrameID.Name + ".png");
+							var spriteImageFilePath = Path.Combine(spriteDir, spriteFrame.CompositeImage.FrameID.Name + ".png");
 
 							// Add sprite to palette
 							using (var stream = File.OpenRead(spriteImageFilePath))
@@ -85,14 +88,18 @@ namespace Palettizer
 								grayscaleImage = AddSpriteToPalette(palette, image, console);
 							}
 
-							// Now write the image to output directory as grayscale
-							using (var stream = File.OpenWrite(Path.Combine(outputDir.FullName, resource.ID.Path)))
+                            var spriteWriteDir = Path.Combine(outputDir.FullName, Path.GetRelativePath(projectDir.FullName, spriteDir));
+                            Directory.CreateDirectory(spriteWriteDir);
+
+                            var spriteWritePath = Path.Combine(spriteWriteDir, spriteFrame.CompositeImage.FrameID.Name + ".png");
+                            // Now write the image to output directory as grayscale
+                            using (var stream = File.OpenWrite(spriteWritePath))
 							{
 								writer.WritePng(grayscaleImage, image.Width, image.Height, StbImageWriteSharp.ColorComponents.RedGreenBlueAlpha, stream);
 							}
 						}
 					}
-				} 
+				}
 			}
 
 			var paletteSpriteJSONDir = Path.Combine(projectDir.FullName, "sprites", paletteSpriteName);
@@ -115,10 +122,10 @@ namespace Palettizer
 					{
 						colorPalette[i] = new Color
 						{
-							R = paletteImage.Data[j + i * paletteImage.Width],
-							G = paletteImage.Data[j + i * paletteImage.Width + 1],
-							B = paletteImage.Data[j + i * paletteImage.Width + 2],
-							A = paletteImage.Data[j + i * paletteImage.Width + 3]
+							R = paletteImage.Data[j * 4 + i * paletteImage.Width * 4],
+							G = paletteImage.Data[(j * 4 + i * paletteImage.Width * 4) + 1],
+							B = paletteImage.Data[(j * 4 + i * paletteImage.Width * 4) + 2],
+							A = paletteImage.Data[(j * 4 + i * paletteImage.Width * 4) + 3]
 						};
 					}
 
@@ -127,7 +134,7 @@ namespace Palettizer
 			}
 
 			// Write final palette sprite to PNG
-			var paletteOutputPath = Path.Combine(outputDir.FullName, textureGroup, "Palette.png");
+			var paletteOutputPath = Path.Combine(outputDir.FullName, textureGroup + "_Palette.png");
 			using (var stream = File.OpenWrite(paletteOutputPath))
 			{
 				writer.WritePng(palette.CreateIndexedPaletteBitmap(), palette.Width, palette.Height, StbImageWriteSharp.ColorComponents.RedGreenBlueAlpha, stream);