This paper describes a highly performance scalable video coder. Wavelet transform is employed to decompose the video frame into different resolutions. Novel features of this coder are 1) a highly efficient multi-resolution motion estimation that requires minimum compuation and overhead motion information is embedded in this scheme; 2) the wavelet coefficients are organized in an extended zero tree (EZT) which is much more efficient than the simple zerotree. We show with experimental results that this video coder achieves good performances both in processing time and compression ratio when applied to typical test video sequences.