Photoelectron microscopy has recently been developed into a strong tool for the investigation of surfaces of solids. The use of electron energy analyzers or synchrotron radiation tunable to particular electron excitation edges provides high element sensitivity of the method. In addition, when circularly polarized soft x rays are used, the magnetic circular dichroism effect offers the possibility of imaging magnetic domain structures in an element specific way.1234 The low energy electron microscope (LEEM) in combination with the PM 3 monochomator at BESSY which supplies circularly polarized soft x rays has been used for this purpose. The LEEM was equipped with an electrostatic energy analyzer providing an energy resolution of the photon-excited electrons of better than 500 meV. The lateral resolution of the LEEM instrument was shown earlier to reach down to 10 nm in the electron excitation mode. In the case of synchrotron radiation excitation the resolution depends largely on the brightness of the photon beam. At the BESSY TGM 5 undulator beamline which supplies linearly polarized light we have achieved a resolution of 30–40 nm in chemically sensitive photoelectron microscopy. At the PM 3 beamline using circularly polarized soft x rays at about 700 eV photon energy the resolution was 200–300 nm. In the chemically and magnetically sensitive mode we have studied a stainless steel sample that showed locally ordered grains with interesting magnetic domain structures. On the basis of LEEM in the electron impact low energy electron diffraction (LEED) mode (= LEED microprobe) it was possible to correlate the domain structures to the underlying bcc Fe lattice orientation. Exposure to external magnetic fields and heat treatment had a strong influence on the magnetic structure.