Mail Stop 6010 Via Facsimile and U.S. Mail July 7, 2005 Mr. Stephen R. Davis Chief Business Officer Neurogen Corporation 33 Northeast Industrial Road Branford, CT 06405 Re:	Neurogen Corporation 		Form 10-K for Fiscal Year Ended December 31, 2004 	 File No. 000-18311 Dear Mr. Davis: We have limited our review of your filing to the issue we have addressed in our comment. In our comment, we ask you to provide us with information so we may better understand your disclosure. After reviewing this information, we may raise additional comments. 	Please understand that the purpose of our review process is to assist you in your compliance with the applicable disclosure requirements and to enhance the overall disclosure in your filing. We look forward to working with you in these respects. We welcome any questions you may have about our comments or any other aspect of our review. Feel free to call us at the telephone numbers listed at the end of this letter. Consolidated Financial Statements Consolidated Statements of Operations, page 29 Please tell us your basis for recording subsequent annual license maintenance payments ratably over the remaining duration of the research program under the collaboration. Please specifically address the provisions of EITF Issue No. 00-21 and SAB 101, as amended by SAB 104. * * * * Please respond to the comment within 10 business days or tell us when you will provide us with a response. Please furnish a letter that keys your response to our comment and provides requested information. Detailed letters greatly facilitate our review. Please file your letter on EDGAR under the form type label CORRESP. 	We urge all persons who are responsible for the accuracy and adequacy of the disclosure in the filings to be certain that the filing includes all information required under the Securities and Exchange Act of 1934 and that they have provided all information investors require for an informed investment decision. Since the company and its management are in possession of all facts relating to a company`s disclosure, they are responsible for the accuracy and adequacy of the disclosures they have made. 	In connection with responding to our comment, please provide, in writing, a statement from the company acknowledging that * the company is responsible for the adequacy and accuracy of the disclosure in the filings; * staff comments or changes to disclosure in response to staff comments do not foreclose the Commission from taking any action with respect to the filing; and * the company may not assert staff comments as a defense in any proceeding initiated by the Commission or any person under the federal securities laws of the United States. 	In addition, please be advised that the Division of Enforcement has access to all information you provide to the staff of the Division of Corporation Finance in our review of your filing or in response to our comments on your filing. You may contact Todd Sherman, Staff Accountant, at 202-551- 3665 or Kevin Woody, Branch Chief, at 202-551-3629 if you have questions regarding the comment. In this regard, do not hesitate to contact me, at (202) 551-3679. 							Sincerely, 							Jim B. Rosenberg 						Senior Assistant Chief Accountant ?? ?? ?? ?? Stephen R. Davis Neurogen Corporation July 7, 2005 Page 1