The present invention relates to digitally watermarking spot color images. In one embodiment, an original spot color is replaced with a combination of cyan (C), magenta (M) and yellow (Y) components and the original spot color. The CMY components convey a digital watermark. Preferably, a large percentage halftone process screens the spot color. This screened spot color is combined with the CMY components. Combining the CMY components with a large percentage halftone screening results in a watermarked image color that closely approximates to the original spot color. In another embodiment, a spot color is halftone-screened to a percentage of its original intensity. The screened-back spot color is modulated to accommodate a watermark signal.