The current work implemented excited levels of atomic N and corresponding electron impact excitation/de-excitation and ionization processes in DSMC. Results show that when excitation models are included, the Stardust 68.9 km re-entry flow has an observable change in the ion number densities and electron temperature. Adding in the excited levels of atoms improves the degree of ionization by providing additional intermediate steps to ionization. The extra ionization reactions consume the electron energy and reduce the electron temperature. The DSMC results of number densities of excited levels are lower than the prediction of quasi steady state calculation. Comparison of radiation calculations using electronic excited populations from DSMC and QSS indicates that, at the stagnation point, there is about 20 % difference of the radiative heat flux between DSMC and QSS.