I keep punishing the demon on Level 2 with everything I have and can't seem to do anything to him. Still stuck on this level after many tries. Any help on defeating this beast would be greatly appreciated.

The notes in the library rooms give some hints on how to deal with him. Each of his forms is vulnerable to a particular form of attack (e.g. when he looks like an Ice Golem, hit him with Fire spells).

Also, you want to pound him faster than he can regenerate. This is a good time to use any Whirlwind Attacks if you have them and/or cast Improved Haste on your fighters beforehand.

- Imrahil

<font color="gold">If you don't have the time to read in the library, I can give you a hint right away:
Fire form = vulnerable to Air
Air form = vulnerable to Acid
Acid form = vulnerable to Ice
Ice form = vulnerable to Fire

Ok, that was maybe four hints, but I guess you get the picture. ;) </font>

Way I did it was .......

keep all party way back , and cast prot. from fire on one char. who was wearing boots of speed . Have that chr. go to cage and wait for Demon to take Ice form before talking to him. When Demon , in Ice form comes out of cage , had cleric cast Fire Storm . End of Demon