The hood intrudes throughout the focus range. At infinity, the top edge of the hood is further down, about half-way between the bottom edge of the 90mm frame-line and the 35mm frame-line. The left edge of the hood is about the same distance further to the right. Using the rule of thirds tic-tac-toe box, the hood compromises the bottom right corner. If you compose with this block, you may need to fish around a little with the finder to compose there.
I don't actually use the hood with the LTM 35/2.5 Color Skopar very often as the flare monster hasn't bitten me with this lens, one of the things I really like about it. I think the last time I used it and the 35/2.5 was for a slight mist/drizzle. Has the flare been an issue for you with the 35/2.5 Color Skopar? If you want the hood for protecting the front lens element, it'll certainly do that better than the tiny ring the lens cap goes over.
What prompted me to get the LH-2 was its sibling lens, the 50/2.5 Color Skopar. With the sun low in the sky on a 4th of July, the flare monster got me. In retrospect, if flare was going to happen, that was the time. Once bitten, twice shy, though. Nonetheless, with the 50/2.5, the intrusion of the LH-2 into the 50mm frame-line is truly negligible.
