Signal compression can be obtained by wavelet transformation of intege
r input data followed by quantification and coding, As the quantificat
ion is usually lossy, the whole compression/decompression scheme is lo
ssy too. We define a critical wavelet coefficient quantification, i,e.
, the coarsest quantification that allows perfect reconstruction, This
is demonstrated for the Haar transform and for arbitrarily smooth wav
elet transforms derived from it. The new integer wavelet transform all
ows implementation of multiresolution subband compression schemes, in
which the decompressed data are gradually refined, retaining the optio
n of perfect reconstruction.