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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 TUwUHnSUesv4e0sjLZeEWUdNlVBZztppsfxoXjw+VyTJqaK9TJiDlOjhFDXC8vrY
 00cvS5tv7NtbleatCXz5jA==

<SEC-DOCUMENT>0001005477-03-002455.txt : 20030729
<SEC-HEADER>0001005477-03-002455.hdr.sgml : 20030729
<ACCEPTANCE-DATETIME>20030729174507
ACCESSION NUMBER:		0001005477-03-002455
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20030728
FILED AS OF DATE:		20030729

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			RAG SHOPS INC
		CENTRAL INDEX KEY:			0000874385
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-HOBBY, TOY & GAME SHOPS [5945]
		IRS NUMBER:				510333503
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0831

	BUSINESS ADDRESS:	
		STREET 1:		111 WAGARAW RD
		CITY:			HAWTHORNE
		STATE:			NJ
		ZIP:			07506
		BUSINESS PHONE:		9734231303

	MAIL ADDRESS:	
		STREET 1:		111 WAGARAW RD
		CITY:			HAWTHORNE
		STATE:			NJ
		ZIP:			07506

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			BERENZWEIG STANLEY
		CENTRAL INDEX KEY:			0001232796

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-19194
		FILM NUMBER:		03809589

	BUSINESS ADDRESS:	
		STREET 1:		C/O RAG SHOPS INC
		STREET 2:		111 WAGARAW ROAD
		CITY:			HAWTHORNE
		STATE:			NJ
		ZIP:			07506
		BUSINESS PHONE:		9734231303
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>edgar123.xml
<DESCRIPTION>FORM 4
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0201</schemaVersion>

    <documentType>4</documentType>
    <periodOfReport>2003-07-28</periodOfReport>
    <notSubjectToSection16>0</notSubjectToSection16>
    <issuer>
        <issuerCik>0000874385</issuerCik>
        <issuerName>RAG SHOPS INC</issuerName>
        <issuerTradingSymbol>RAGS</issuerTradingSymbol>
    </issuer>

    <reportingOwner>

        <reportingOwnerId>
            <rptOwnerCik>0001232796</rptOwnerCik>
            <rptOwnerName>BERENZWEIG STANLEY</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O RAG SHOPS, INC.</rptOwnerStreet1>
            <rptOwnerStreet2>111 WAGARAW ROAD</rptOwnerStreet2>
            <rptOwnerCity>HAWTHORNE,</rptOwnerCity>
            <rptOwnerState>NJ</rptOwnerState>
            <rptOwnerZipCode>07506</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
        <isDirector>1</isDirector>
        <isOfficer>1</isOfficer>
        <isTenPercentOwner>1</isTenPercentOwner>
        <isOther>0</isOther>
        <officerTitle>Chief Executive Officer</officerTitle>
    </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>

        <securityTitle>
            <value>Common Stock</value>
        </securityTitle>

        <transactionDate>
            <value>2003-07-28</value>
        </transactionDate>
    <transactionCoding>
        <transactionFormType>4</transactionFormType>
        <transactionCode>P</transactionCode>
        <equitySwapInvolved>0</equitySwapInvolved>
    </transactionCoding>
        <transactionAmounts>

            <transactionShares>
                <value>234675</value>
            </transactionShares>

            <transactionPricePerShare>
                <value>3.21</value>
            </transactionPricePerShare>

            <transactionAcquiredDisposedCode>
                <value>A</value>
            </transactionAcquiredDisposedCode>
        </transactionAmounts>
        <postTransactionAmounts>

            <sharesOwnedFollowingTransaction>
                <value>2201849</value>
                <footnoteId id="F1"/>
            </sharesOwnedFollowingTransaction>
        </postTransactionAmounts>
        <ownershipNature>

            <directOrIndirectOwnership>
                <value>D</value>
                <footnoteId id="F2"/>
            </directOrIndirectOwnership>
        </ownershipNature>
        </nonDerivativeTransaction>

    </nonDerivativeTable>
    <footnotes>
        <footnote id="F1">Includes 964,042 shares owned by Doris Berenzweig, spouse, and 102,900 shares beneficially owned by the Stanley and Doris Berenzweig Charitable Foundation, Inc. of
which Mr. &amp; Mrs. Berenzweig are trustees. Mr. and Mrs. Berenzweig each disclaim beneficial ownership of the shares held by the other and by the Foundation.</footnote>
        <footnote id="F2">Of the 2,201,849 shares beneficially owned by the reporting person, 964,042 shares are held indirectly (I) as such ownership is through the reporting person's spouse, Doris
Berenzweig, 102,900 shares are held indirectly (I) as such ownership is through the Stanley and Doris Berenzweig Charitable Foundation, Inc. and the remaining 1,134,907
shares (which are the subject of this filing) are held directly (D) by Stanley Berenzweig.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>Stanley Berenzweig</signatureName>
        <signatureDate>2003-07-29</signatureDate>
    </ownerSignature>

</ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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