Lossless gray scale image compression is necessary for many purposes, such as medical imaging, image databases and so on. Lossy images are important as well, because of the high compression ratio. The authors propose a lossless image compression scheme using a lossy image generated with the JPEG-DCT scheme. The concept is, send a JPEG-compressed lossy image primarily, then send residual information and reconstruct the original image using both the lossy image and residual information. 3D adaptive prediction and adaptive arithmetic coding are used, which fully use the statistical parameters of the distribution of the symbol source. The optimal number of neighbor pixels and lossy pixels used for prediction is discussed. The compression ratio is better than previous work and quite close to the original lossless algorithm.<<ETX>>
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