The main problem of image projection on a transmission type holographic screen is color sepa-ration. And it can be overcome by using a long narrow slit type diffuser as a source of the object beam when we record the screen. But that screen is not optimized and so needs changing several conditions. To set up the system many complicate things should be taken into accounted so it is very important to analyze the basic structure by simple concepts and calculations. We designed the system so that recording and projection axis coincide in one line and showed that the analysis of the system is very simple. We did it by a 1st order paraxial approximation calculation and it was good enough to describe the system. The photo-emulsion layer shrinks after processing of the hologram. It induced unsatisfactory color matching at the viewing zone. To overcome this effect, we pre-checked the shrinkage rate of an emulsion layer by experiments and modified the recording set up to compensate for the amount of shrinkage.