This paper introduces an idea for image compression; consist from two parts; the first part used
single stage Discrete Wavelet Transform (DWT), which produces four sub matrices; LL, HL, LH, and HH.
The two sub matrices HL and LH are merged to be one matrix "Merged - Matrix", and store non-zero data in
array "Non-Zero-Array", then compress it by RLE and Arithmetic coding. In the second part the sub-matrix
LL coefficients converted into data at range {0…80}, LL sub matrix used by Shift Number Coding (SNC),
this algorithm converts each four data into single floating point number, which stored in one dimensional
array "SNC-Array", finally apply arithmetic coding on it. Our approach compared with JPEG, and JPEG-
2000, by using compression ratio and PSNR.