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Synthetic Aperture Radar (SAR) can provide all-time and all-weather surveying of the earth. Itpsilas a very important data source for remote sensing. While SAR images often display in gray scale and usually are coded in 16 bits, itpsilas necessary to propose an efficient method to generate pseudo-color SAR images to ease the interpretation difficulty. Considering combining the dynamic range compression and pseudo-color coding, a method based on Retinex is proposed in the paper. Experiments indicate that the proposed method can generate acceptable pseudo-color images. Analysis indicates that the proposed method can be improved further.