Hi Anita,
You are correct in your assessment of the decor. My understanding is that Papillon is simply a word for butterfly and indicates the iridescent spotting found on the decor, modeled after the look of a butterfly wing.
Creta Papillon would indicate green glass, Candia Papillon would indicate a gold color and clear glass, and Cobalt Papillon would indicate a dark blue color of glass. There is also a less commonly seen Red Papillon. You can see examples of different colors here:
http://sites.google.com/site/loetzandglass/loetz-4--from-n-to-w There are also good examples at Loetz.com Click on the Decors link on the lower left column and then click on the Papillon link in the Pre 1900 column. At this site you will find an example of a Creta Papillon piece having green glass, with a markedly pink iridescence on the surface.
Since the glass was produced by a variety of artists in any given factory, there can be variances in the look of a decor from artist to artist, even if they are producing the same decor.
I have looked through some of my books, and also on the internet sites I use and I can not seem to find what I would consider to be a reasonable facsimile of this shape attributed to Loetz. The shape of the body reminds me strongly of many Kralik inkwells and I can not seem to shake that idea off.
I will forward a copy of the image to Alfredo for his opinion... and will post it here when I get a response from him.
When in doubt, I always defer to those much wiser than I!!!
Craig