Ohba has suggested the Colored Thread Algorithm to prevent looped path when LSP is to be setup. M immediate node sends thread information such as color, hop count. ill, to downs1ream node via LDP message for the set-up of LSP. Afterward, decides that the looped path is formed when it receives a message with a same colored thread that was sent to downs1ream node, and it searches another path. If the message reaches to the egress node, then acknowledged message is sent to upstream node as reverse direction to the ingress node to set up loop-free path. For the algorithm, Ohva has defined three thread states as Null, Colored, Transparent. In this paper, the state of thread is extended to 5 states such as Extending, Merging, Stalling, Null, and Transparent. By the way, related FSM and TCB was redefined to make clear the ambiguity of thread states which causes faulty actions and to remove overhead. And, to improve performance, it limits to generate a thread in the state of Stalling.