\documentclass{article} 
% psfrag example
\usepackage{graphicx,psfrag}
\pagestyle{empty}
\begin{document}
\psfrag{A}{\boldmath$\alpha$}
\psfrag{B}{\boldmath$\beta^2$}
\psfrag{C}{\boldmath$\gamma_3$}
\psfrag{D}{\boldmath$\delta_4$}
\begin{figure}
%Note: figures generated with xfig need to be rotated
\includegraphics[height=.5\textheight,width=.7\textwidth]{grifpic.eps}
\end{figure}
\end{document}