A noise suppression algorithm is proposed for nonstationary noisy environments. The proposed algorithm is different from the conventional approaches such as the spectral subtraction algorithm and the minimum statistics noise estimation algorithm in that it classifies speech and noise signals in time-frequency bins. It calculates the ratio of the variance of the noisy power spectrum in time-frequency bins to its normalized time-frequency average. If the ratio is greater than an adaptive threshold, speech is considered to be present. Our adaptive algorithm tracks the threshold and controls the trade-off between residual noise and distortion. The estimated clean speech power spectrum is obtained by a modified gain function and the updated noisy power spectrum of the time-frequency bin. This new algorithm has the advantages of simplicity and light computational load for estimating the noise. This algorithm reduces the residual noise significantly, and is superior to the conventional methods.