A method of processing a digital image to improve tone scale, includes the steps of: generating a multiresolution image representation of the digital image including a plurality of base digital images and a plurality of residual digital images; applying a texture reducing spatial filter to the base digital images to produce texture reduced base digital images; combining the texture reduced base digital images and the residual digital images s to generate a texture reduced digital image; subtracting the texture reduced digital image from the digital image to produce a texture digital image; applying a compressive tone scale function to the texture reduced digital image to produce a tone scale adjusted digital image having a compressed tone scale in at least a portion of the image; and combining the texture digital image with the tone scale adjusted digital image to produce a processed digital image, whereby the contrast of the digital image is improved without compressing the contrast of the texture in the digital image.