Image processing with in-line optical systems has been improved with improved experimental techniques and with precise methods of filter generation. Both analog and digital processing techniques are available and combined hybrid processing methods have been developed. Analog processing includes in-line and holographic optical processing and hybrid processing utilizes the combined capabilities of digital and analog systems. This paper is concerned with in-line optical processing and one hybrid scheme utilizing digital processing for filter fabrication and an in-line analog system for image processing. Experimental results are demonstrated with illustrations including restored defocused and blurred imagery.