International Stem Cell Corporation (OTCBB:ISCO),http://www.internationalstemcell.com, announced today that it had entered into an agreement with Aspire Capital Fund, LLC, to provide, at the Company's sole option, up to $25 million of equity capital over the next three years. As part of this transaction, Aspire purchased, upon execution of the agreement, 333,333 shares of ISCO Common Stock at a price of $1.50 per share, a 7% premium over Friday's closing price of $1.40 per share.

Pricing of future sales under the agreement will be determined each time the Company elects to sell shares to Aspire by a formula that is based on the actual sale prices of the Company's stock over the 12 days preceding each sale to Aspire. Thus, the Company will control the timing and amount of any sales of its Common Stock to Aspire, and will always know at the time it gives a notice of sale what the cost of that round of financing will be.

Aspire has no right to require any sales by the Company, but is obligated to make purchases as the Company directs in accordance with the purchase agreement, and the Company has the right to terminate the agreement at any time. The agreement does not restrict other financings by the Company. A more detailed description of the transaction agreements with Aspire is set forth in the Company's current report on Form 8-K, filed today with the U.S. Securities and Exchange Commission.

Ray Wood, Chief Financial Officer of ISCO, commented on the agreement, "This transaction is designed to provide both a source of working capital and maximum flexibility for the Company in determining the pricing and timing of any future financing it elects to use under this agreement. It provides us with access to capital that we believe will be adequate to fund our research activities for an extended period of time, but does not preclude us from pursuing additional financing during the term of the agreement. Because of the pricing flexibility this facility gives us, we believe that this agreement will provide both the lowest cost of capital currently available, plus maximum flexibility in meeting our future financing needs. If we don't need working capital or don't need as much as expected, we may elect not to use the facility. If we do need capital, it is available and we can choose when to obtain it."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent humanstem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryosand, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and has developed and is now marketing a line of skin care products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

ABOUT ASPIRE CAPITAL FUND, LLC

Aspire Capital Fund, LLC is an institutional investor based in Chicago,Illinois, with a fundamental investment approach. Aspire Capital invests in a wide range of companies and industries emphasizing life sciences, energy and technology.

FORWARD-LOOKING STATEMENTS

Statements pertaining to financing plans and capital needs, anticipatedtechnological developments and therapeutic applications, the potential benefits of opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "should," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update these forward-looking statements.

Key Words: Stem Cells, Biotechnology, Parthenogenesis

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman, 760-940-6383
kaldrich@intlstemcell.com
or
Ray Wood, CFO, 760-640-6383
rwood@intlstemcell.com

International Stem Cell Corporation (OTCBB:ISCO), http://www.internationalstemcell.com, announced today that the first new topical skin care products of its subsidiary, Lifeline Skin Care, are now available to the general public within the United States at http://www.lifelineskincare.com. Lifeline Skin Care's first two products consist of a Defensive Day Moisture Serum and Recovery Night Moisture Serum. Previously, these breakthrough serums, containing extracts from "parthenogenetic" stem cells, were available only to individuals and organizations formerly identified and selected for their interest in innovative approaches to skin care.

According to Lifeline Skin Care CEO, Dr. Ruslan Semechkin, "Because the quality products Lifeline Skin Care offers are experiencing strong demand and the human stem cell extracts require innovative manufacturing processes, we chose to develop our sales channels gradually and incrementally. We are very pleased with the customer feedback from our first limited launch and are delighted to now be able to expand production and make the products available to the general public within the US."

Purchases that could previously be made only by phone, can now be made directly through the company's website,http://www.lifelineskincare.com. "Enabling electronic order processing though our website provides the benefit of both lowering our transaction costs and increasing our scalability, while simultaneously simplifying the ordering process for our customers," said ISCO VP, Dr. Simon Craw.

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments, product introduction plans and related support, the potential benefits of planned products, anticipated sales growth for recently introduced products, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology, skin care, anti-aging

International Stem Cell Corporation

Kenneth C. Aldrich, Chairman

1-760-940-6383

kaldrich@intlstemcell.com

or

Lifeline Skin Care, Inc.

Ruslan Semechkin, PhD, President & CEO Vice President, ISCO

ras@intlstemcell.com

The initial launch of the serums is to a pre-existing list of interested parties. We expect that the products will be available to the general public via our online store http://www.lifelineskincare.com in the near future.

A key innovation in creating the Lifeline Skin Care™ serums was the encapsulation of the parthenogenetic stem cell extractsinto nanospheres, which not only protect the proteins, but substantially enhance the effectiveness of the serums. World renowned skin cream formulation experts assisted ISCO's scientists to create the finished products and ensure that the final serums deliver the most up-to-date advances in skin rejuvenation technology that also helps to prevent and repair damage caused by the environment.

According to Gregory S. Keller, MD, FACS (2007 Specialist of the Year in Facial Cosmetic Surgery in Strathmore's "Who's Who"): "These new day and night serums represent a huge step forward in anti-aging skin care products. Combining liposome-encapsulated proteins derived from ISCO's powerful new class human stem cells with a unique blend of anti-oxidants, vitamins and natural extracts, allowed Lifeline Skin Care to create highly effective stem cell-based serums that provide strong anti-aging benefits."

The new skin rejuvenation serums are based on the breakthrough discovery that certain proteins derived from ISCO's proprietary pluripotent human parthenogenetic stem cells are beneficial to the culture of human skin cells in the laboratory. ISCO, the world leader in human parthenogenetic stem cell technology, is studying this new class of stem cells, and has demonstrated their therapeutic potential in many fields of regenerative medicine. Human parthenogenetic stem cells are created from unfertilized human eggs and do not involve any harm to a viable human embryo, thus avoiding serious ethical questions that surround other areas of stem cell research. hpSC possess unique immune-matching attributes making them an excellent platform for the development of cellular therapies for large populations of individuals. As of today, ISCO has successfully derived ten hpSC lines. One of these lines carries the most common immune type found within the US population and can be immune-matched to an estimated 75 million people worldwide.

"The commercial launch of the new skin care products represents an important step in the execution of ISCO's strategy. The revenue generated from sales will help support the development of our therapeutic programs utilizing our unique and powerful class of human pluripotent stem cells," said Dr. Ruslan Semechkin, CEO of Lifeline Skin Care.

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments, product introduction plans, the potential benefits of planned products, collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology, skin care, anti-aging

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
1-760-940-6383
kaldrich@intlstemcell.com
or
Lifeline Skin Care, Inc.
Ruslan Semechkin, PhD, President & CEO
Vice President, ISCO
ras@intlstemcell.com

International Stem Cell Corporation (OTCBB: ISCO), http://www.internationalstemcell.com, announced today that the recent presentation entitled "Hepatocyte-like cells derived from patient-specific human parthenogenetic stem cells possess functions of mature human hepatocytes including P450 activity" has been identified as an "AASLD Presidential Poster of Distinction" in the Stem Cells session of The Liver Meeting, the 61st Annual Meeting of the American Association for the Study of Liver Diseases (AASLD), in Boston, MA, one of the most prestigious annual medical and scientific conferences. The abstract of the presentation is published in the peer-reviewed supplement to Hepatology, volume 52, number 4 (SUPPL), Oct. 2010, pg 965A, the official journal of the AASLD.

ISCO's CEO Andrey Semechkin, Ph.D., said, "For our cell biologists to have received this award from the leading society in the U.S. focused on treating liver diseases, demonstrates the high caliber of research being carried out at ISCO, and that human parthenogenetic stem cells and their differentiated derivatives are becoming of greater interest to the medical research community as a potential source of therapeutically valuable cells."

ISCO also announced today the initiation of the first in a series of animal studies designed to demonstrate whether hepatocytes and their progenitors derived from the human parthenogenetic stem cells show any disease modifying activity in vivo.

Dr. Nikolay Turovets, ISCO's Director of Research and Therapeutic Development said, "ISCO's continued focus on therapeutic development is critical to show that hepatocytes derived from stem cells can reproduce missing liver function in a diseased organism. Our first series of experiments are designed to test the ability of our cells to engraft and survive in vivo. A second set of experiments will investigate the functional activity of successfully engrafted cells. Data from these studies will also be used to guide the development of future IND submissions."

In other research news, ISCO announced that a grant in which ISCO is a partner, was recently funded by the Qualified Therapeutic Discovery Project Grants Program created under the healthcare reform legislation enacted last March. The study is led by Paul H. Chen, M.D. to investigate healing after corneal surgery using ISCO's corneal epithelial cells developed by ISCO's wholly-owned subsidiary Lifeline Cell Technology. ISCO's cells, combined with a proprietary surgical device developed by Dr. Chen, may provide safer and better long term results than LASIK. By utilizing ISCO's human corneal cells, ISCO and Dr. Chen believe that cellular enhanced PRK could eventually replace LASIK for many of the hundreds of thousands of patients who require corrective eye surgery.

According to Dr. Chen, "This collaborative work with ISCO could lead to a safer and more effective treatment that hopefully will provide quicker visual recovery, less pain, and an improved refractive correction outcome."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments and therapeutic applications, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as" could", "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology, hepatocytes, liver disease

International Stem Cell Corporation
Jeffrey D. Janus
Sr. Vice President, Operations
1-760-940-6383
jjanus@intlstemcell.com
or
Nikolay Turovets, Ph.D.
Director of Research and Therapeutic Development
nturovets@intlstemcell.com

As best we can determine, Patrick Cox, who has been and continues to be a strong supporter of our company, was required yesterday by his publisher to cease coverage of our stock and issue a sell recommendation because he has an equity interest in a company with which we do business that could have been perceived as a conflict of interest. That has resulted in numerous negative comments on investor message boards that referred to the sell recommendation without giving the background or a full explanation. As a result, I felt it was important that we put the day's events into proper context. The following are what I believe to be the relevant excerpts from Patrick's article:

As you know, I've been a huge promoter of International Stem Cell Corp.'s (OTCBB: ISCO) parthenogenic stem cell technology. I've not only told you about the company, but I appeared on John Mauldin's podcast show with ISCO board chairman Ken Aldrich about six months ago. Aldrich and Mauldin subsequently became friends and found that their organizations were a perfect fit for marketing ISCO's cosmeceutical skin care product.

John Mauldin asked me to be a part of that organization. We looked hard at Agora Financial's policies as well as applicable SEC regulations and concluded that there would be no conflict of interest because the position gave me no direct interest in ISCO or its stock price....

My publisher, however, has grown increasingly uncomfortable with this arrangement. The reason is not that Agora Financial believes that there would be an actual conflict of interest. Rather, it is that it might be perceived as one by some, in particular SEC lawyers....

My publisher's trading policy's aim, however, is to keep me purely objective and disinterested. This policy is debatable, but I respect it. My only option, therefore, is to issue a sell order or face the wrath of a disappointed spouse.

You can probably guess what that means. I'm going to have to issue a sell order.

Obviously, we can't know for certain if these articles caused the price movement yesterday, but we believe they were a major factor. Moreover, the comments and the response of investors to them are beyond our control, but we do want to reassure all interested parties that there is no information of which we are aware to justify the price fluctuation that occurred yesterday.

I hope this will prove helpful.

Sincerely,

Ken Aldrich

Chairman

International Stem Cell Corporation Announces Completion of Its First Manufacturing Run of Lifeline Skin Care's Stem Cell-Based Skin Rejuvenation Products

International Stem Cell Corporation (OTCBB:ISCO), http://www.internationalstemcell.com, announced today that its wholly-owned subsidiary, Lifeline Skin Care, Inc., in partnership with an experienced OTC drug licensed manufacturer of cosmetic products, successfully manufactured its first scaled-up lots of stem cell-based skin creams, confirming that these unique products can be made in larger batch quantities and continue to meet Lifeline's high quality standards. This marks an important milestone in proving that two new technologies, the derivation of human parthenogenetic stem cells, and the packaging and delivery of critical anti-aging ingredients, including those derived from stem cells, can be scaled-up into a level of production suitable to meet commercial levels of demand.

Lifeline Skin Care's product development scientists have combined human parthenogenetic stem cell technology with the latest discoveries in skin rejuvenation to create its unique day and night skin care creams. ISCO's scientists were the first to intentionally create human parthenogenetic stem cells from unfertilized human eggs, thus avoiding the ethical concerns of harming a viable human embryo. ISCO's therapeutic research team discovered that such cells had qualities that made them suitable for skin care products, thus leading to the formation of ISCO's wholly-owned subsidiary, Lifeline Skin Care. Valuable assistance from ISCO's other wholly-owned subsidiary, Lifeline Cell Technology, allowed the rapid transition and scale-up of a research-based discovery into a quality-controlled commercial product. Lifeline Cell Technology is staffed with experts in the manufacture and quality control of cell based products.

According to Dr. Ruslan Semechkin, CEO of Lifeline Skin Care, "Although it will be necessary to continue to develop new technologies to further scale-up the production of our new skin care products, this first successful manufacturing run proves that the team of ISCO's therapeutic research scientists, in combination with Lifeline Skin Care's product development expertise and Lifeline Cell Technology's manufacturing and quality control expertise, has the ability to quickly develop and commercialize new products using stem cell technologies."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology, skin care

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
1-760-940-6383
kaldrich@intlstemcell.com
or
Lifeline Skin Care, Inc.
Ruslan Semechkin, Ph.D., President & CEO
Vice President, International Stem Cell Corporation
ras@intlstemcell.com

International Stem Cell Corporation (OTCBB:ISCO), http://www.internationalstemcell.com, and a new firm to be formed by John Mauldin announced today the formation of a new joint marketing venture to launch a line of skin care products developed by ISCO's wholly owned subsidiary, Lifeline Skin Care, Inc. ('LSC'). Mauldin, a significant marketing talent, is president of Millennium Wave Investments and author of an economic letter that goes to over 1.5 million readers.

Lifeline Skin Care's products have been in active development for well over a year and involve a unique high-technology, patent pending formulation for skin rejuvenation crèmes, developed using ISCO's proprietary 'parthenogenetic' stem cells that do not require the use of fertilized embryos. The product was discovered during ISCO's therapeutic stem cell research that revealed the stem cell's potential applications in skin cell rejuvenation. Part of the discovery included developing a way to surround the proteins from the stem cells with a nanovesicle allowing for extended shelf life and enhanced delivery of the product to the skin. Independent third party testing indicates that the crèmes (one for day and one for nighttime application) have significant positive effects on the look and feel of the skin.

'This represents an amazing leap forward in the combination of a variety of cutting edge technologies to yield products that have the potential to find significant consumer acceptance. The anti-aging market is extremely large, and Lifeline Skin Care is offering something completely new and different. We are excited about the prospects,' said Kenneth Aldrich, Chairman of ISCO.

Because the LSC products involve a unique extract from living parthenogenetic stem cells, rather than 'off the shelf' ingredients used by most skin care products, it takes additional time to manufacture the products. Building inventory in advance of demand is critical to avoid disappointing customers.

ISCO and LSC believe the collaboration with Mauldin will provide a much broader potential customer base and a much lower market cost per customer than the alternative marketing programs previously considered. As a result, LSC has revised its previously announced marketing launch plans to be certain that it will have adequate product on hand to meet initial demand.

The initial product offering will be to ISCO's own database of investors and followers, originally set to launch October and now scheduled for November to coordinate with Mauldin's timetable. That will be followed with an offering to Mauldin's extensive subscription base and to a select market of other potential purchasers.

Only after these initial offerings have been completed, involving a total of over 1.5 million potential customers, will more broad scale product offerings be made. 'This will enable us to measure probable future demand, assure our loyal investors and Mauldin's subscribers and affiliates that they will be able to purchase all the products they require while allowing LSC to build an inventory of the unique stem cell extract that is at the heart of this new product,' said Dr. Ruslan Semechkin, CEO of Lifeline Skin Care.

'We are extraordinarily excited to be able to offer LSC's products to our loyal client base in a way that assures they will be able to obtain the product they want, plus monthly refills as required, in spite of the fact that LSC's products are unique and require time and care by many people to bring to market,' said John Mauldin, founder and Chairman of Millennium. 'This is a truly revolutionary approach to skin care. Early test results are very promising and I am excited to be associated with a company of the scientific reputation of International Stem Cell Corporation and their world-renowned staff.'

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments and therapeutic applications, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology, skin care

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
1-760-940-6383
kaldrich@intlstemcell.com
or
Lifeine Skin Care, Inc.
Ruslan Semechkin, Ph.D., President & CEO
Vice President, ISCO
ras@intlstemcell.com

Do we have to kill the last CML cell? DM Ross, TP Hughes and JV Melo, Leukemia 2010(Sep 16) [Epub ahead of print][FriendFeed entry][PubMed citation][Full text]. The abstract of this OA review:

Previous experience in the treatment of chronic myeloid leukaemic (CML) has shown that the achievement of clinical, morphological and cytogenetic remission does not indicate eradication of the disease. A complete molecular response (CMR; no detectable BCR-ABL mRNA) represents a deeper level of response, but even CMR is not a guarantee of elimination of the leukaemic, because the significance of CMR is determined by the detection limit of the assay that is used. Two studies of imatinib cessation in CMR are underway, cumulatively involving over 100 patients. The current estimated rate of stable CMR after stopping imatinib is approximately 40%, but the duration of follow-up is relatively short. The factors that determine relapse risk are yet to be identified. The intrinsic capacity of any residual leukaemic cells to proliferate following the withdrawal of treatment may be important, but there may also be a role for immunological suppression of the leukaemic clone. No currently available test can formally prove that the leukaemic clone is eradicated. Here we discuss the sensitive measurement of minimal residual disease, and speculate on the biology of BCR-ABL-positive cells that may persist after effective therapy of CML.

Critical molecular pathways in cancer stem cells of chronic myeloid leukemia by Y Chen, C Peng, C Sullivan, D Li and S Li, Leukemia 2010(Sep); 24(9): 1545-54. Epub 2010 Jun 24. [Connotea bookmark][PubMed citation][Full text]. The abstract of this OA review:

Inhibition of BCR-ABL with kinase inhibitors in the treatment of Philadelphia-positive (Ph(+)) chronic myeloid leukemia (CML) is highly effective in controlling but not curing the disease. This is largely due to the inability of these kinase inhibitors to kill leukemia stem cells (LSCs) responsible for disease relapse. This stem cell resistance is not associated with the BCR-ABL kinase domain mutations resistant to kinase inhibitors. Development of curative therapies for CML requires the identification of crucial molecular pathways responsible for the survival and self-renewal of LSCs. In this review, we will discuss our current understanding of these crucial molecular pathways in LSCs and the available therapeutic strategies for targeting these stem cells in CML.

Insights into the stem cells of chronic myeloid leukemia by I Sloma, X Jiang, A C Eaves and C J Eaves, Leukemia 2010(Sep 23). [Epub ahead of print][PubMed citation]. Abstract:

Chronic myeloid leukemia (CML) has long served as a paradigm for generating new insights into the cellular origin, pathogenesis and improved approaches to treating many types of human cancer. Early studies of the cellular phenotypes and genotypes represented in leukemic populations obtained from CML patients established the concept of an evolving clonal disorder originating in and initially sustained by a rare, multipotent, self-maintaining hematopoietic stem cell (HSC). More recent investigations continue to support this model, while also revealing new insights into the cellular and molecular mechanisms that explain how knowledge of CML stem cells and their early differentiating progeny can predict the differing and variable features of chronic phase and blast crisis. In particular, these emphasize the need for new agents that effectively and specifically target CML stem cells to produce non-toxic, but curative therapies that do not require lifelong treatments.

Surprise breast cancer source by Jennifer Welsh,TheScientist.com, September 2, 2010. First paragraph:

Some breast cancer tumors may not originate from stem cells as previously believed, according to a study published in the September 3rd issue of Cell Stem Cell. The discovery is an important step in the development of treatments for these cancers.

This news story is based on the publication: BRCA1 Basal-like Breast Cancers Originate from Luminal Epithelial Progenitors and Not from Basal Stem Cells by Gemma Molyneux and 11 co-authors, including Matthew J Smalley, Cell Stem Cell 2010(Sep 3); 7(3): 403-417. OA article [Full text] [PubMed citation].

A commentary: Cancer Cell of Origin: Spotlight on Luminal Progenitors by Christine L Chaffer and Robert A Weinberg, Cell Stem Cell 2010(Sep 3); 7(3): 271-272. [PubMed citation].

Tumor-Initiating Cells Are Rare in Many Human Tumors by Kota Ishizawa and 16 co-authors, including Benjamin G Neel and William Matsui, Cell Stem Cell 2010(Sep 3); 7(3): 279-282. [FriendFeed entry][PubMed citation]. Abstract:

Tumor-initiating cells (TICs) are defined by their ability to form tumors after xenotransplantation in immunodeficient mice and appear to be relatively rare in most human cancers. Recent data in melanoma indicate that the frequency of TICs increases dramatically via more permissive xenotransplantation conditions, raising the possibility that the true frequency of TICs has been greatly underestimated in most human tumors. We compared the growth of human pancreatic, non-small cell lung, and head and neck carcinomas in NOD/SCID and NSG mice. Although TIC frequency was detected up to 10-fold higher in NSG mice, it remained low (<1 in 2500 cells) in all cases. Moreover, aldehyde dehydrogenase-positive (ALDH(+)) and CD44(+)CD24(+) cells, phenotypically distinct cells enriched in TICs, were equally tumorigenic in NOD/SCID and NSG mice. Our findings demonstrate that TICs are rare in these cancers and that the identification of TICs and their frequency in other human malignancies should be validated via primary tumors and highly permissive xenotransplantation conditions.

Selective targeting of neuroblastoma tumour-initiating cells by compounds identified in stem cell-based small molecule screens by Kristen M Smith and 16 co-authors, including David R Kaplan, EMBO Mol Med 2010(Aug 18) [Epub ahead of print][Full text]. Abstract:

Neuroblastoma (NB) is the most deadly extra-cranial solid tumour in children necessitating an urgent need for effective and less toxic treatments. One reason for the lack of efficacious treatments may be the inability of existing drugs to target the tumour-initiating or cancer stem cell population responsible for sustaining tumour growth, metastases and relapse. Here, we describe a strategy to identify compounds that selectively target patient-derived cancer stem cell-like tumour-initiating cells (TICs) while sparing normal paediatric stem cells (skin-derived precursors, SKPs) and characterize two therapeutic candidates. DECA-14 and rapamycin were identified as NB TIC-selective agents. Both compounds induced TIC death at nanomolar concentrations in vitro, significantly reduced NB xenograft tumour weight in vivo, and dramatically decreased self-renewal or tumour-initiation capacity in treated tumours. These results demonstrate that differential drug sensitivities between TICs and normal paediatric stem cells can be exploited to identify novel, patient-specific and potentially less toxic therapies.

See also: New Twist on Drug Screening to Treat Common Childhood Cancer, ScienceDaily, August 18, 2010. Excerpt:

A study led by scientists at The Hospital for Sick Children (SickKids) reveals a new method of identifying drugs to treat children suffering from fatal cancers for which an effective treatment has not been found. Rather than developing a new drug from scratch, which is a complicated and time-consuming process, they tried a different approach: in the lab, they tested existing drugs on cancer stem cells from young patients with neuroblastoma, one of the common cancers of infants and children.

A related blog post is: High-throughput cancer stem cell-based screening assay for therapeutic compounds by Alexey Bersenev, Stem Cell Assays, August 19, 2010 [FriendFeed entry].

1) Cancer Stem Cells in Pancreatic Cancer by Qi Bao and 6 co-authors, including Karl-Walter Jauch and Christiane J Bruns, Cancers 2010(Aug 19); 2(3): 1629-41. [Full text PDF][Scribd entry][Part of the Special Issue Pancreatic Cancer]. Abstract:

Pancreatic cancer is an aggressive malignant solid tumor well-known by early metastasis, local invasion, resistance to standard chemo- and radiotherapy and poor prognosis. Increasing evidence indicates that pancreatic cancer is initiated and propagated by cancer stem cells (CSCs). Here we review the current research results regarding CSCs in pancreatic cancer and discuss the different markers identifying pancreatic CSCs. This review will focus on metastasis, microRNA regulation and anti-CSC therapy in pancreatic cancer.

2) The Emerging Role of the Phosphatidylinositol 3-Kinase/ Akt/Mammalian Target of Rapamycin Signaling Network in Cancer Stem Cell Biology by Alberto M Martelli and 4 co-authors, including James A McCubrey, Cancers 2010(Aug 18); 2(3): 1576-96. [Part of the Special Issue Cancer Stem Cells].

Comment: Review #2 is the first paper that has been published in the special issue on Cancer Stem Cells. As of August 20, 17 more contributions to this special issue are planned. Review #1, although about CSCs, is a contribution to a separate special issue on Pancreatic Cancer.

Isolation and killing of candidate chronic myeloid leukemia stem cells by antibody targeting of IL-1 receptor accessory protein by Marcus Järås and 10 co-authors, including Thoas Fioretos, Proc Natl Acad Sci USA 2010(Aug 30). OA article. [Epub ahead of print][PubMed citation]. Abstract:

Chronic myeloid leukemia (CML) is genetically characterized by the Philadelphia (Ph) chromosome, formed through a reciprocal translocation between chromosomes 9 and 22 and giving rise to the constitutively active tyrosine kinase P210 BCR/ABL1. Therapeutic strategies aiming for a cure of CML will require full eradication of Ph chromosome-positive (Ph(+)) CML stem cells. Here we used gene-expression profiling to identify IL-1 receptor accessory protein (IL1RAP) as up-regulated in CML CD34(+) cells and also in cord blood CD34(+) cells as a consequence of retroviral BCR/ABL1 expression. To test whether IL1RAP expression distinguishes normal (Ph(-)) and leukemic (Ph(+)) cells within the CML CD34(+)CD38(-) cell compartment, we established a unique protocol for conducting FISH on small numbers of sorted cells. By using this method, we sorted cells directly into drops on slides to investigate their Ph-chromosome status. Interestingly, we found that the CML CD34(+)CD38(-)IL1RAP(+) cells were Ph(+), whereas CML CD34(+)CD38(-)IL1RAP(-) cells were almost exclusively Ph(-). By performing long-term culture-initiating cell assays on the two cell populations, we found that Ph(+) and Ph(-) candidate CML stem cells could be prospectively separated. In addition, by generating an anti-IL1RAP antibody, we provide proof of concept that IL1RAP can be used as a target on CML CD34(+)CD38(-) cells to induce antibody-dependent cell-mediated cytotoxicity. This study thus identifies IL1RAP as a unique cell surface biomarker distinguishing Ph(+) from Ph(-) candidate CML stem cells and opens up a previously unexplored avenue for therapy of CML.

Adult lung stem cells, vital to injury repair, associated with poor cancer prognosis, News release, UCLA Newsroom, August 17, 2010. Excerpts:

Adult stem cells that are vital for airway repair in the lung but that persist in areas where pre-cancerous lesions are found are associated with a poor prognosis in patients who develop cancer, even those with early-stage disease, researchers at UCLA's Jonsson Comprehensive Cancer Center have found.

.....

In this study, Gomperts and her team screened around 900 tumors removed from patients with non-small cell lung cancer at UCLA and the University of Texas' MD Anderson Cancer Center, looking to see whether the adult stem cells could be found in the tumor. In her lab, Gomperts is now studying the pre-cancerous lesions where the adult stem cells persist in an attempt to uncover the cascade of molecular events that may transform these cells into lung cancer stem cells.

The news release is based on this publication: Presence of a Putative Tumor-Initiating Progenitor Cell Population Predicts Poor Prognosis in Smokers with Non–Small Cell Lung Cancer by Aik T Ooi and 19 co-authors, including Brigitte N Gomperts, Cancer Res 2010(Aug 15); 70(16): 6639-48. [PubMed citation][Full text]. Abstract:

Smoking is the most important known risk factor for the development of lung cancer. Tobacco exposure results in chronic inflammation, tissue injury, and repair. A recent hypothesis argues for a stem/progenitor cell involved in airway epithelial repair that may be a tumor-initiating cell in lung cancer and which may be associated with recurrence and metastasis. We used immunostaining, quantitative real-time PCR, Western blots, and lung cancer tissue microarrays to identify subpopulations of airway epithelial stem/progenitor cells under steady-state conditions, normal repair, aberrant repair with premalignant lesions and lung cancer, and their correlation with injury and prognosis. We identified a population of keratin 14 (K14)-expressing progenitor epithelial cells that was involved in repair after injury. Dysregulated repair resulted in the persistence of K14+ cells in the airway epithelium in potentially premalignant lesions. The presence of K14+ progenitor airway epithelial cells in NSCLC predicted a poor prognosis, and this predictive value was strongest in smokers, in which it also correlated with metastasis. This suggests that reparative K14+ progenitor cells may be tumor-initiating cells in this subgroup of smokers with NSCLC.

Therapeutic implications of colon cancer stem cells by Eros Fabrizi and 3 co-authors, including Lucia Ricci-Vitiani, World J Gastroenterol 2010(Aug 21); 16(31): 3871-7. OA review. [FriendFeed entry][PubMed citation]. Abstract:

Colorectal cancer is the second most common cause of cancer-related death in many industrialized countries and is characterized by a heterogenic pool of cells with distinct differentiation patterns. Recently, the concept that cancer might arise from a rare population of cells with stem cell-like properties has received support with regard to several solid tumors, including colorectal cancer. According to the cancer stem cell hypothesis, cancer can be considered a disease in which mutations either convert normal stem cells into aberrant counterparts or cause a more differentiated cell to revert toward a stem cell-like behaviour; either way these cells are thought to be responsible for tumor generation and propagation. The statement that only a subset of cells drives tumor formation has major implications for the development of new targeted therapeutic strategies aimed at eradicating the tumor stem cell population. This review will focus on the biology of normal and malignant colonic stem cells, which might contribute to our understanding of the mechanisms responsible for tumor development and resistance to therapy.

ISCO to Present Data on Progress of Human Parthenogenetic Stem Cell Differentiation into Functional Liver Cells at the Annual Meeting of the American Association for the Study of Liver Diseases

International Stem Cell Corporation (OTCBB:ISCO), http://www.internationalstemcell.com, will present data on its progress toward producing human liver cells from immune-matched patient-specific parthenogenetic stem cells at The Liver Meeting^®, the 61^st Annual Meeting of the American Association for the Study of Liver Diseases (ASSLD), in Boston, MA from October 29 – November 2, 2010.

ISCO will present to a number of the world's leading liver specialists, a new method of obtaining highly enriched cultures of differentiated cells from pluripotent human stem cells, based on a natural physiological process. A follow-on presentation will demonstrate that differentiation protocols previously developed for human embryonic stem cells can, with some modification, be effectively applied to human parthenogenetic stem cells. These findings will be presented as part of the 'Stem Cell Poster Session' on November 1, 2010, and are entitled, 'Hepatocyte-like cells derived from patient-specific human parthenogenetic stem cells possess functions of mature human hepatocytes including P450 activity" and, "Derivation of highly enriched populations of hepatocytes from various types of human pluripotent stem cells using a novel physiological method."

Commenting on these presentations, ISCO's CEO, Andrey Semechkin, PhD, said: "We are pleased our research team is able to present and discuss these important findings at this highly prestigious meeting of The American Association for the Study of Liver Diseases, one of the leading organizations in the U.S. specializing in the health of the liver and attended by more than 7,500 physicians and scientists."

ISCO's Director of Research and Therapeutic Development, Nikolay Turovets, PhD, stated, "Presenting these new discoveries at this meeting demonstrates the progress we have made towards producing hepatic cells using our parthenotes, and form part of our ongoing efforts to develop and publicize the unique benefits of our human parthenogenetic stem cell platform to the scientific community. Over the past year, our research group has also presented data to the International Society for Stem Cell Research (ISSCR), the 8th Annual Meeting and the Human SCNT Workshop conducted by the California Institute for Regenerative Medicine (CIRM) and the Medical Research Council (MRC)".

In addition, ISCO announced today the signing of an agreement with Explora BioLabs, a leading California-based CRO specializing in conducting high-quality pre-clinical in vivo studies. Based on the results presented at this conference, ISCO will be initiating a series of pre-clinical animal experiments to study the engraftment and in vivo maturation of these cells.

ISCO's Vice President, Simon Craw, PhD, said: "Demonstrating that our human parthenogenetic stem cells can truly differentiate into mature cells, as well as the initiation of these animal studies represents important achievements towards demonstrating the validity of creating a bank of immune-matched human pluripotent stem cells and their therapeutic derivatives that can be used in clinical studies and, ultimately, be a valuable health resource for the growing field of regenerative medicine."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments and therapeutic applications, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, biotechnology

International Stem Cell Corporation
Ken Aldrich, Chairman
1-760-940-6383
kaldrich@intlstemcell.com
or
Nikolay Turovets, PhD
nturovets@intlstemcell.com

International Stem Cell Corporation and Insight Bioventures India Structure Indian Affiliate to Develop Stem Cell-Based Eye Care Therapeutics for India and Produce Research Products for Asia

International Stem Cell Corporation (OTCBB: ISCO), http://www.internationalstemcell.com, and Insight Bioventures India Private Limited (IBVI), (http://www.insightbioventures.in) today announced that they have agreed on financial and structural terms for establishment of an Indian affiliate of ISCO (ISCO India). This is an important milestone in ISCO and IBVI's goal to facilitate development and commercialization of ISCO's stem-cell derived corneal tissue, CytoCor™, and retinal cells, CytoRet™, for treatment of blindness and severe vision impairment as well as cell systems for drug screening in India and establish a manufacturing base for ISCO's Lifeline Cell Technology^® (Lifeline) brand of cell culture media for commercialization throughout Asia.

IBVI is an experienced biomedical business developer that facilitated the earliest cell therapy guidelines with the regulatory agencies in India and is well connected with Indian research and clinical centers, corporations and government. IBVI has now partnered with MARG Group (http://www.marggroup.com), one of India's fastest-growing infrastructure developers with interest in ports, airports, power plants, commercial spaces, special export zones and other integrated infrastructures, to form 'Insight-MARG Biofund' (Biofund). The MARG Group is the lead facilitator of Biofund, the largest of its nature in India so far and with great possibility for being complemented by Indian government grants.

ISCO is a public US biopharmaceutical company that has pioneered the creation of a new class of stem cells, 'human parthenogenetic stem cells', with broad therapeutic application potential and ability to form non-rejected, immune matched therapeutic cells for millions of people. Two ISCO therapeutic programs from this platform are CytoCor and CytoRet that offer first-in-class opportunities to treat diseases in the front and the back of the eye where surgery and traditional small molecule and protein therapeutics are not options. ISCO also markets and sells cell culture research products through its Lifeline affiliate and international distributors, including in Asia. Lifeline is interested in leveraging its expertise to develop live human cell systems for drug screening in India.

G.R.K. Reddy, MARG Group's founder and chairman, says, 'MARG Group and IBVI have formed Biofund to leverage our resources and network of cutting-edge research and clinical institutes, corporate entities and government agencies in India. We believe ISCO India's unique combination of novel therapeutics to address large unmet medical needs and current and near-term research product businesses will be a first successful Biofund investment and set the stage for subsequent ventures.'

The agreed financial and structural terms will enable formation of ISCO India as a majority-owned Indian affiliate of ISCO, initially with laboratories in India's first clinical research facility (CRF) for stem cells and regenerative medicine in Hyderabad with the intent to relocate to India's first platinum-rated research center, MARG Science Park (http://www.margsciencepark.com), in Chennai. The park is a member of International Association of Sciences Parks (IASP) and has established networking and alliances with renowned institutes and organizations. The affiliate will be managed jointly by a team of experienced managers in India and ISCO executives.

ISCO expects that manufacturing of Lifeline media products and shipping of cell products from this central Indian base will be established to supply the growing network of Lifeline's Asian distributors with high-quality products in a cost-efficient fashion. In parallel, ISCO India intends to explore development of Lifeline cell systems for drug screening in India. On the therapeutic side, ISCO India will leverage the access to leading eye care researchers, patients and regulatory agencies in India and advance the CytoCor and CytoRet cellular ophthalmology programs towards the clinic and through safety-efficacy trials.

Central to the operation will be continued collaboration with the ophthalmology scientists and clinicians at Sankara Nethralaya (http://www.sankaranethralaya.org) in Chennai established last spring. ISCO India will also collaborate with the Centre for Cellular and Molecular Biology (CCMB, http://www.ccmb.res.in) in Hyderabad that was instrumental in the establishment of the CRF and will be a joint CRF tenant with ISCO India. Both institutions are respected worldwide for their research in cellular science and therapy.

According to Dr. Jayaraman Packirisamy, Executive Director of IBVI, 'As we launch Biofund, ISCO India will provide an opportunity to address large unmet medical needs while establishing an ecosystem for the well-educated work force, world-class research and development facilities and investors in India. By combining manufacturing of existing and development of new research products with well-defined therapeutic development, we create an attractive risk-reward profile that is rarely seen in our industry.'

Brian Lundstrom, ISCO's President, adds 'ISCO wishes to collaborate with leading research and clinical groups like CCMB and Sankara Nethralaya for our cellular ophthalmology programs. Moreover, we have to manufacture our Lifeline media in Asia and ship those with our primary human cells from an Asian location in order to supply that fast-growing market with the highest possible quality products in a cost-efficient manner. The combination of well-proven Indian research and clinical institutes, world-class facilities, and funding from the Insight-MARG Biofund provides ISCO with a unique way to advance our programs and businesses without additional US capital investment or issuance of equity shares.'

ABOUT INSIGHT BIOVENTURES INDIA

Insight Bioventures Private Limited (IBVI) is the Asian member of Insight Bioventures founded in 1997 to apply a multidimensional approach to value creation in the international life sciences community while placing client's interests first. IBVI operates through a team of experienced associates and partners from the pharmaceutical industry, academic research and the financial sector. The company maintains long-standing relationships with opinion leaders in different therapeutic areas that assist in evaluation and advancement of innovative product concepts and medical businesses. IBVI has made tissue engineering and cell therapy a major technology focus and works with recognized leaders in these areas, e.g. Sristi Biosciences and International Stem Cell Corporation. IBVI has partnered with strong Indian corporations and high net worth individuals to establish a dedicated 'Biofund' to finance the best novel technologies for Indian development and with potential to address large unmet medical needs in the Asian market. More information is available on IBVI's website: http://www.insightbioventures.in.

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available on ISCO's website.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated developments and therapeutic applications, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products and the management of collaborations, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update forward-looking statements.

Key Words: Stem cells, parthenogenesis, cornea, retina, research products, biotechnology, India

International Stem Cell Corporation
Brian Lundstrom, President
+1-510-220-5599
bl@intlstemcell.com
or
Insight Bioventures India Private Limited
Dr. Jayaraman Packirisamy, Executive Director
+91-98489-12260
jayaram@insightbioventures.in

International Stem Cell Corporation (OTCBB:ISCO), http://www.internationalstemcell.com, announced today that its oocyte collection and activation protocol has received the approval of an Institutional Review Board (IRB). IRB review and approval is a Federal requirement for all studies enrolling human subjects, and ensures appropriate subject safety and monitoring to protect subjects from unnecessary medical risks. 'Obtaining IRB approval for our oocyte collection and activation protocol is a major step forward towards the goal of building a viable bank of human parthenogenetic stem cells,' said Dr. Simon Craw, Vice President of ISCO.

ISCO's breakthrough discoveries have resulted in unique stem cells carrying distinct advantages over other human pluripotent stem cells. ISCO uses unfertilized eggs (oocytes) to create human 'parthenogenetic' stem cells (hpSCs). Like human embryonic stem cells (hESCs), hpSCs are pluripotent, i.e. they have the capacity to become almost any cell type in the body, yet avoid ethical issues associated with use or destruction of viable human embryos. Unlike hESCs, hpSCs can be created in a form such that they can be immunologically matched to millions of individuals. This makes possible, for the first time, the establishment of a bank containing a manageable number of stem cell lines immune matched to a large patient population.

ISCO also announced that Prof. M. Kalichman of the University of California San Diego and Director of the San Diego Research Ethics Consortium has been engaged to provide help in creating an effective system for the ethical review of ISCO's donor recruitment processes including facilitating Stem Cell Research Oversight (SCRO) committee review and approval. SCRO committee review involves the analysis and approval of the scientific rationale, including any ethical considerations associated with stem cell research. The SCRO committee membership is mandated to include an ethicist, an assisted reproductive technology expert, appropriate scientific expertise, a patient advocate and a non-scientific member of the public.

Prof. Kalichman said, 'I look forward to working with International Stem Cell Corporation to help with both identifying and recommending solutions to the challenges of conducting ethically responsible research with human stem cells.'

These achievements mark major milestones along ISCO's strategic path of leveraging its discoveries and intellectual property to create a bank of immune matched pluripotent human stem cells and their therapeutic derivatives that can be used for clinical research and ultimately as a valuable medical resource to the growing field of regenerative medicine.

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB)

International Stem Cell Corporation is a California-based biotechnology company focused on therapeutic and research products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). These proprietary cells avoid ethical issues associated with use or destruction of viable human embryos and, unlike most other major stem cell types, can be immune matched and be a source of therapeutic cells with minimal rejection after transplantation into hundreds of millions of individuals of differing racial groups. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary, Lifeline Cell Technology, and is developing a line of cosmeceutical products via its subsidiary, Lifeline Skin Care. ISCO is advancing novel human stem cell-based therapies where cells have been proven to be efficacious but traditional small molecule and protein therapeutics have not. More information is available at ISCO's website, http://www.internationalstemcell.com.

To subscribe to receive ongoing corporate communications please click on the following link: http://www.b2i.us/irpass.asp?BzID=1468&to=ea&s=0.

FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated technological developments and therapeutic applications, the potential benefits of collaborations, affiliations, and other opportunities for the company and its subsidiaries, along with other statements about the future expectations, beliefs, goals, plans, or prospects expressed by management constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to statements that contain words such as "will," "should," "believes," "plans," "anticipates," "expects," "estimates,") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties, including, without limitation, risks inherent in the development and/or commercialization of potential products, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, application of capital resources among competing uses, and maintenance of intellectual property rights. Actual results may differ materially from the results anticipated in these forward-looking statements and as such should be evaluated together with the many uncertainties that affect the company's business, particularly those mentioned in the cautionary statements found in the company's Securities and Exchange Commission filings. The company disclaims any intent or obligation to update these forward-looking statements.

Key Words: Stem Cells, Biotechnology, Parthenogenesis

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
760-940-6383
kaldrich@intlstemcell.com
or
Simon Craw, PhD, Vice President
760-940-6383
sc@intlstemcell.com