In this paper, newly developed algorithm for enhancing images corrupted by white gaussian noise is proposed. In the method proposed here, image is subdivided into a number of subblocks, and each block is separated into cimponents corresponding to signal and noise subspaces, respectively through the signal subspace method. A clean signal is then estimated form the signal subspace by the adaptive wiener filtering. The decomposition of noisy signal into noise and signal subspaces in is implemented by eigendecomposition of covariance matrix for noisy image, and by performing blockwise KLT (karhunen loeve transformation) using eigenvector. To reduce the perceptual noise level and distortion, wiener filtering is implementd by adaptively adjusting noise level according to activity characteristics of given block. Simulation results show the effectiveness of proposed method. In particular, edge bluring effects are reduced compared to the previous methods.