  We present a domain decomposition approach for the computation of the
electromagnetic field within periodic structures. We use a Schwarz method with
transparent boundary conditions at the interfaces of the domains. Transparent
boundary conditions are approximated by the perfectly matched layer method
(PML). To cope with Wood anomalies appearing in periodic structures an adaptive
strategy to determine optimal PML parameters is developed. We focus on the
application to typical EUV lithography line masks. Light propagation within the
multi-layer stack of the EUV mask is treated analytically. This results in a
drastic reduction of the computational costs and allows for the simulation of
next generation lithography masks on a standard personal computer.
