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A novel stereophonic noise reduction method is proposed. This method is based upon a combination of a subspace approach realized in a sliding window operation and two-channel adaptive signal enhancing. The signal obtained from the signal subspace is used as the input signal to the adaptive signal enhancer for each channel, instead of noise, as in the ordinary adaptive noise canceling scheme. Simulation results based upon real stereophonic speech contaminated by noise components show that the proposed method gives improved enhancement quality in terms of both segmental gain and cepstral distance performance indices in comparison with conventional nonlinear spectral subtraction approaches.