In this paper a system for estimating the prevailing illumination conditions on the basis of source information is proposed for digital imaging. Further, a method for utilizing the illumination estimate in color balance adjustment is presented. The goal of the adjustment is to produce images whose color balance is approximately in keeping with the original scene as seen in specified illumination conditions. To estimate the proper amount of color balance shift from what is considered to be a neutral point, a degree of adaptation parameter is used as recommended in CIECAM97s. Although color appearance, in a strict sense, cannot be reproduced by simple white point mappings used here, the system can be used to loosely accommodate the effects of source illumination conditions in the context of color management. It also facilitates intuitive interactive color balance adjustment based on illumination information.