The geometries and stabilities of the FeFe cofactor at different oxidation states and its complexes with N2 have been determined by density functional calculations. These calculations support an EPR-inactive resting state of the FeFe cofactor with four Fe2+ and four Fe3+ sites (4Fe2+4Fe3+). FeFeco(μ6-N2) with a central dinitrogen ligand is predicted to be the most stable complex of the FeFe cofactor with N2. It is easily formed by penetration of N2 into the trigonal Fe6 prism of the FeFe cofactor with an approximate barrier of 4 kcal mol-1. The present DFT results suggest that an FeFeco-(μ6-N2) entity is a plausible intermediate in dinitrogen fixation by nitrogenase. CO is calculated to bind even more strongly than N2 to the FeFe cofactor so that CO may inhibit the reduction of nitrogen by Fe-only nitrogenase.