A method performs inverse tone mapping of an image in a decoder. For each block of each color channel of the image the following steps are performed. A scaling factor is determined for a current block of the image by adding a predicted scaling factor for the current block to a difference between the predicted scaling factor and the scaling factor of an adjacent block. An offset value for the current block is determined by adding a predicted offset for the current block to a difference between the predicted offset value and the offset value of the adjacent block. The scaling factor and the offset value are applied to pixel intensity values of the current block to produce a mapped block in which a bit-depth of the mapped block is greater than the bit-depth of the current block.
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