A method comprising: transforming, using one or more processors, one or more frames of a two-channel time domain audio signal into a time-frequency domain representation including a plurality of time-frequency tiles, wherein the frequency domain of the time-frequency domain representation includes a plurality of frequency bins grouped into a plurality of subbands; for each time-frequency tile: calculating, using the one or more processors, spatial parameters and a level for the time-frequency tile; modifying, using the one or more processors, the spatial parameters using shift and squeeze parameters; obtaining, using the one or more processors, a softmask value for each frequency bin using the modified spatial parameters, the level and subband information; and applying, using the one or more processors, the softmask values to the time-frequency tile to generate a modified time-frequency tile of an estimated audio source, wherein the spatial parameters include panning parameters and phase difference parameters for each of the time-frequency tiles and wherein the method further comprises, for each subband: determining a smoothed level-parameter-weighted histogram of the panning parameters and a smoothed level-parameter-weighted histogram of the phase difference parameters; determining the shift parameters as the panning parameter and the phase difference parameter corresponding to a peak value of the respective histograms of the panning parameters and phase difference parameters; and determining the squeeze parameters as a width around the peak value of the respective histograms of the panning parameters and phase difference parameters for capturing a predetermined amount of audio energy. transforming, using one or more processors, one or more frames of a two-channel time domain audio signal into a time-frequency domain representation including a plurality of time-frequency tiles, wherein the frequency domain of the time-frequency domain representation includes a plurality of frequency bins grouped into a plurality of subbands; for each time-frequency tile: calculating, using the one or more processors, spatial parameters and a level for the time-frequency tile; modifying, using the one or more processors, the spatial parameters using shift and squeeze parameters; obtaining, using the one or more processors, a softmask value for each frequency bin using the modified spatial parameters, the level and subband information; and applying, using the one or more processors, the softmask values to the time-frequency tile to generate a modified time-frequency tile of an estimated audio source, calculating, using the one or more processors, spatial parameters and a level for the time-frequency tile; modifying, using the one or more processors, the spatial parameters using shift and squeeze parameters; obtaining, using the one or more processors, a softmask value for each frequency bin using the modified spatial parameters, the level and subband information; and applying, using the one or more processors, the softmask values to the time-frequency tile to generate a modified time-frequency tile of an estimated audio source, wherein the spatial parameters include panning parameters and phase difference parameters for each of the time-frequency tiles and wherein the method further comprises, for each subband: determining a smoothed level-parameter-weighted histogram of the panning parameters and a smoothed level-parameter-weighted histogram of the phase difference parameters; determining the shift parameters as the panning parameter and the phase difference parameter corresponding to a peak value of the respective histograms of the panning parameters and phase difference parameters; and determining the squeeze parameters as a width around the peak value of the respective histograms of the panning parameters and phase difference parameters for capturing a predetermined amount of audio energy. determining a smoothed level-parameter-weighted histogram of the panning parameters and a smoothed level-parameter-weighted histogram of the phase difference parameters; determining the shift parameters as the panning parameter and the phase difference parameter corresponding to a peak value of the respective histograms of the panning parameters and phase difference parameters; and determining the squeeze parameters as a width around the peak value of the respective histograms of the panning parameters and phase difference parameters for capturing a predetermined amount of audio energy.