The geometric and electronic structures of Fe islands on MgO film layers were studied with scanning tunneling microscopy and spectroscopy. The MgO layers were grown on a Nb-doped single crystal SrTiO3 (100) surface. Deposited Fe atoms aggregate into islands, the height and diameter of which are about 2.5 and 9.4 nm respectively. Fe islands modify the electronic structure of MgO surface; a ring type depression in the scanning tunneling microscope topography appears by lowered local electron density of states around Fe islands. We find that adsorbed Fe atoms reduce the gap states of MgO layers around Fe islands, which is attributed to the reason for the depletion of the electronic density of states. (C) 2014 Elsevier B.V. All rights reserved.