Images not showing on initial set up

New to rails and trying to get everything up and running. Working
through
railstutorial.org and can see that a local install should look like
this:

http://railstutorial.org/images/figures
3-full.pnghttp://railstutorial.org/images/figures/riding_rails_3-full.png

But instead looks like:

http://www.flickr.com/photos/peteralder
hotostreamhttp://www.flickr.com/photos/peteralderson/6890785887/in/photostream

Basically the rails.png file is not being displayed. App running in
development.

Any ideas where I went wrong?

Thanks.