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The use of holographic structures is promising for the realization of efficient systems in backlight applications for displays. By applying surface relief gratings on top of a side-lit lightguide we realize a backlight that avoids the use of color filters. The grating is used as a light outcoupling and color-separating element. The demands for this grating are stringent and calculations have been performed to meet them. A prototype backlight, including the grating structure, has been assembled and characterized. Results of experiments are discussed.