NDD094 is potentially new therapeutic agent for Alzheimer's disease (AD). Preclinical experiments indicate the NDD094 has been found to influence the course of lesion-induced structural and functional brain abnormalities in the animal model that resembles some of the cognitive and behavioral disturbance found in patients with AD. If it has similar effects in patients with AD, it may improve both the behavioral and cognitive disturbances associated with the disease and may retard or arrest disease progression. This protocol describes a Phase IIA study for the NDd094 in patients with AD. This clinical trial is designed to determine the maximum tolerated dose of NDD094 in patients with AD, to assess safety and tolerability of the doses tested and to study its pharmacokinetics in this population. Efficacy data will be tracked in individual patients in order to justify continued long-term treatment. The study will be conducted at two clinical sites, both the Outpatient clinic, room 3124 and the General Clinical Research Center. There will be three, sequential, escalating-dose cohorts of 36 patients (27 NND094; 9 placebo). Subjects will be observed for adverse reactions throughout the study. Blood and urine will be collected to determine drug concentration and pharmacokinetic evaluations. Primary efficacy data utilizing neuropsychological performance tests will be obtained which may suggest possible effects of NDD094 on memory in humans.