  We report on a short XMM-Newton observation of the radio-quiet Narrow Line
Seyfert 1 PG 1402+261. The EPIC X-ray spectrum of PG 1402+261 shows a strong
excess of counts between 6-9 keV in the rest frame. This feature can be modeled
by an unusually strong (equivalent width 2 keV) and very broad (FWHM velocity
of 110000 km/s) iron K-shell emission line. The line centroid energy at 7.3 keV
appears blue-shifted with respect to the iron Kalpha emission band between
6.4-6.97 keV, while the blue-wing of the line extends to 9 keV in the quasar
rest frame. The line profile can be fitted by reflection from the inner
accretion disk, but an inclination angle of >60 deg is required to model the
extreme blue-wing of the line. Furthermore the extreme strength of the line
requires a geometry whereby the hard X-ray emission from PG 1402+261 above 2
keV is dominated by the pure-reflection component from the disk, while little
or none of the direct hard power-law is observed. Alternatively the spectrum
above 2 keV may instead be explained by an ionized absorber, if the column
density is sufficiently high (N_H > 3 x 10^23 cm^-2) and if the matter is
ionized enough to produce a deep (tau~1) iron K-shell absorption edge at 9 keV.
This absorber could originate in a large column density, high velocity outflow,
perhaps similar to those which appear to be observed in several other high
accretion rate AGN. Further observations, especially at higher spectral
resolution, are required to distinguish between the accretion disk reflection
or outflow scenarios.
