The ordered dither can be interpreted as a decimator in some senses that results in an aliasing effect. An ordered dither image can be decimated before transmission or storage without causing severe degradation for halftone display because of the inherent aliasing effect existed in the dithering procedure. In this work, two image compression algorithms for halftone (ordered dither) display are investigated. The decimation is employed in the proposed compression technique to reduce the encoding bit rate. In addition, the high frequency region of original images is preserved to improve halftone image quality. Experimental results reveal that halftone images with high quality and high compressibility can be obtained.