N@C-60 (atomic nitrogen in C-60, produced by ion implantation) is the first member of a new class of endohedral fullerenes in which a highly reactive atom in its atomic ground state is enclosed in C-60. Nitrogen in C-60 is chemically inert and stable under ambient conditions, The atomic states of nitrogen in C-60 can be slightly tuned by cage distortions caused by exohedral additions to N@C-60. In this Letter, a new and simple production method for N@C-60 is described and the effect of cage distortions on the atomic states of nitrogen is discussed. (C) 1997 Elsevier Science B.V.