Detection and reorganization of text may save a lot of time while reproducing old books text and its chapters. This is really challenging research topic as different books may have different font types and styles. The digital books and eBooks reading habit is increasing day by day and new documents are producing every day. So in order to boost the process the text reorganization using digital image processing techniques can be used. This research work is using hybrid algorithms and morphological algorithms. For sample we have taken an letter pad where the text and images are separated using algorithms. The another objective of this research is to increase the accuracy of recognized text and produce accurate results. This research worked on two different concepts, first is concept of Pixel-level thresholding processing and another one is Otsu Method thresholding.