  We present results based on the analysis of optical spectra of KUG 1031+398,
a Narrow Line Seyfert 1 (NLS1) galaxy for which Mason et al. (1996) reported
evidence for a line-emitting region "intermediate" (both in terms of velocity
and density) between the conventional broad and narrow line regions (BLR and
NLR, respectively). From our observations and modelling of the spectra, we get
a consistent decomposition of the line profiles into four components: an
extended H II region with unresolved lines, two distinct Seyfert-type clouds
identified with the NLR, and a relatively narrow "broad line" component
emitting only Balmer lines but no forbidden lines. Therefore, and although we
find this object to be exceptional in having line-emission from the BLR with
almost the same width as the narrow lines, our interpretation of the data does
not support the existence of an "intermediate" line region (ILR).
