This present paper describes a mathematical model of profile shifted elliptical gears, and this model is based on the concepts of envelope theory and conjugate geometry between the blank and the straight-sided rack cutter. The geometric model of the rack cutter includes working regions generating involute curves and fillets for trocoidal curves, and furthermore the addendum modified coeff. is considered for avoiding undercutting. The addendum modified coeff. is changed linearly along with pitch curves and must be the same absolute value at both major semi-axis and minor semi-axis. If undercutting is at all pronounced, the undercut tooth not only are weakened in strength, but lose a small portion of the involute adjacent to the base circle, then this loss of involute may cause a serious reduction in the length of contact. A very effective method of avoiding undercutting is to use the so-called profile shifted gearing. Non-undercutting condition is examined with the change of eccentricity and addendum modified coeff. in elliptical gears and then the minimum number of tooth is proposed not to gernerate undercutting phenomenon.