Hands-free handset with noise reduction capability for a vehicular cellular phone

A handset body (10) is adapted to be mounted on a driver's seat. The handset body has an audio processing circuit that is connected between a microphone (20) and a speaker (30) to amplify audio signals and to provide a squelch capability. The microphone is connected to the handset body by a first adjustable device (21) to adjust the position of the microphone relative to the driver's mouth. The speaker is connected to the handset body by a second adjustable device (31) to adjust the position of the speaker relative to the driver's ear.