The structure and magnetic properties of mechanically alloyed and heat treated SM 13(Co1-xFex)87 powders have been studied. The substitution of Fe for Co improved the magnetic properties of the remanence enhanced SmCo7 phase. Remanence enhancement was also achieved in mechanically alloyed and heat treated powders containing a two phase mixture of Sm(Co, Fe)5 or SM2(Co, Fe)7 and a bcc (Fe, Co) phase. Coercivities of 4-5 kOe and maximum energy products of 20 MG Oe were measured for this new two-phase system. Coercivities exceeding 20 kOe were obtained in single phase SM2(Co, Fe)17Ny over a wide Fe concentration range.