International Stem Cell Corporation Receives Important Approvals Towards Creating New Parthenogenetic Stem Cell Lines in the United States

International Stem Cell Corporation (OTCBB:ISCO), www.internationalstemcell.com, announced today the achievement of a major milestone in its efforts to establish a bank of immune-matched parthenogenetic stem cells in the United States by receiving the statutory approvals required to move forward with the next phase of its stem cell banking program.

An independent Stem Cell Research Oversight (SCRO) committee approved ISCO's program to obtain human oocytes (eggs) in California. The independent SCRO committee is responsible for reviewing the scientific rationale, ethics and compliance with State and Federal regulations and guidelines for studies involving human stem cells. This approval in combination with the earlier reported Institutional Review Board (IRB) clearance with regard to medical safety opens the way for ISCO's stem cell banking program to begin registering clinical investigators. ISCO's study is designed to produce new clinical-grade human parthenogenetic stem cell lines that can be immune matched to millions of individuals for use in the emerging field of regenerative medicine.

ISCO's breakthrough discoveries have resulted in unique stem cells carrying distinct advantages over other human pluripotent stem cells. ISCO uses unfertilized 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.

Currently ISCO has a collection of ten hpSC lines that are shared with collaborators and used for research purposes. Although these ten stem cell lines conform to all relevant US standards, they were derived outside the United States. New cell lines created under this study will be ISCO's first hpSC to be produced in the United States. ISCO's scientists, leaders the field of creating therapeutic cells from hpSC, will work with these lines targeting new treatments for human diseases. The company will also share these cells with other scientists to further clinical research. ISCO intends to derive and store these cells at its Oceanside facilities, which are designed to create cells suitable for clinical use.

Simon Craw, PhD, says, "These approvals, combined with our technology, make the establishment of a bank of immune matched stem cells practical and allow for the possibility of cell-based therapy to be economic for millions of people. We believe we are one of the first commercial entities in the United States to have progressed to this point."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB):

International Stem Cell Corporation is a California-based biotechnology company focused on the therapeutic applications of human parthenogenetic stem cells and the development and commercialization of cell-based research and cosmetic products. ISCO's core technology, parthenogenesis, results in creation of pluripotent human stem cells from unfertilized oocytes (eggs). hpSCs avoid ethical issues associated with the use or destruction of viable human embryos. ISCO scientists have created the first parthenogenic, homozygous stem cell line that can be a source of therapeutic cells with minimal immune rejection after transplantation into hundreds of millions of individuals of differing sexes, ages and racial groups. This offers the potential to create the first true stem cell bank, UniStemCell™, while avoiding the ethical issue of using fertilized eggs. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary Lifeline Cell Technology and cell-based skin care products through its subsidiary Lifeline Skin Care. More information is available at ISCO's website, www.internationalstemcell.com

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FORWARD-LOOKING STATEMENTS

Statements pertaining to anticipated technological developments and therapeutic applications, the potential benefits of collaborations, 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 and therapies, 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

International Stem Cell Corporation's Parthenogenetic Stem Cell Patent is Approved by the United States Patent and Trademark Office

International Stem Cell Corporation (OTCBB:ISCO), www.intlstemcell.com, announced today that the United States Patent and Trademark Office (USPTO) has granted ISCO patent number 7,732,202, the first of several pending patents relating to its development of human parthenogenetic Stem Cells (hpSC). Human parthenogenetic stem cells are a new type of pluripotent stem cell that allows immune matching to potentially solve critical immune rejection problems, and does not involve the ethical issues that surround the use of fertilized human embryos.

Although ISCO's creation of human parthenogenetic stem cells was first announced in a peer review publication in 2007, the formal allowance of claims by the USPTO will greatly advance the field of regenerative medicine by allowing ISCO to share its knowledge of these hpSC lines more freely with researchers in the US and around the world through partnerships, joint ventures, funded research and licensing arrangements.

The patent protects ISCO's technology platform, allowing the creation of hpSC from unfertilized eggs, exhibiting similar qualities and pluripotency as embryonic stem cells, with the added ability to be immune-matched to the donor, as illustrated in published peer-reviewed articles. Additional discoveries, also previously published in a peer reviewed journal and the subject of pending ISCO patents, illustrate the creation of 'homozygous' hpSC that can be immune matched to millions of persons of differing sexes and racial backgrounds, rather than only to the donor or her family, raising the potential of eventually creating a universal source of stem cells that could benefit most the of the world's population.

Researchers across the world work with ISCO to study different therapeutic applications of hpSC. Through previously announced collaborative arrangements, ISCO's scientists are working with major universities and private research organizations to study hpSC to treat liver disease, diabetes, Age-related Macular Degeneration (AMD), corneal blindness and various neural degenerative diseases. In one such research collaboration, internationally-recognized stem cell researcher Hans Keirstead, PhD, at the Reeve-Irvine Research Center (University of California, Irvine), recently published a paper, referring to his use of embryonic stem cells and ISCO's hpSC in work focused on the derivation of early retinal progenitor tissue.

Andrey Semechkin, PhD, CEO of ISCO said, 'Other than parthenogenetic stem cells, the three most commonly used and described types of stem cells are human embryonic stem cells (hESC), induced pluripotent stem cells (iPS), and adult stem cells, such as those derived from cord blood, adipose tissue or bone marrow. Parthenogenetic stem cells have unique advantages over each of these other cell types, and we anticipate that since our core patent has been issued, we can now accelerate the adoption of our hpSC lines by researchers in the US and throughout the world.'

'International Stem Cell Corporation is particularly proud of these accomplishments because we have been funded thus far entirely by investors, without NIH or other governmental aid,' said Jeffrey Janus, Senior Vice President of ISCO. 'However, once it is generally recognized that parthenogenetic cells have similar characteristics of embryonic stem cells and offer the potential to solve critical immune rejection issues - while not requiring the destruction of viable human embryos - we expect these cells to be increasingly used in government funded research to study ways of reducing human suffering and treating intractable human diseases.'

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). hpSCs avoid ethical issues associated with the use or destruction of viable human embryos. ISCO scientists have created the first parthenogenic, homozygous stem cell line that can be a source of therapeutic cells with minimal immune rejection after transplantation into hundreds of millions of individuals of differing sexes, ages and racial groups. This offers the potential to create the first true stem cell bank, UniStemCell(TM), while avoiding the ethical issue of using fertilized eggs. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary Lifeline Cell Technology. More information is available at ISCO's website, 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, and other opportunities for the company and its subsidiary, 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, 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
Brian Lundstrom, President
760-640-6383
bl@intlstemcell.com

International Stem Cell Corporation Opens Facility for Development and Production of Clinical-Grade Stem Cell Products

OCEANSIDE, CA – February 4, 2010 – International Stem Cell Corporation (ISCO.OB), www.internationalstemcell.com, announced today that its new cell production facility has passed final building inspection, which will enable development and manufacturing of the company and its partners’ clinical-grade stem cell products.

ISCO has designed and built a unique cell manufacturing facility in Oceanside, California consisting of separate “suites” for development and production of different cell types from the company’s proprietary human parthenogenic stem cell (hpSC) technology. The facility is located in close proximity to the fertility clinics that provide donated human eggs (oocytes) under ISCO’s recently-established partnerships and also near leading Californian research institutions with whom ISCO collaborates on fundamental stem cell biology and therapeutic applications.

ISCO will implement its parthenogenic stem cell processes at this facility during 2010 and adopt current good manufacturing practice (cGMP) standards.In parallel, ISCO will collaborate with world-leading scientists to demonstrate the therapeutic applicability and the potential immune-rejection advantages of hpSC lines relative to other stem cell classes.

Like embryonic stem cells (ESCs), hpSCs are pluripotent (i.e. have the capacity to become almost any cell type in the body), yet avoid ethical issues associated with destruction or use of viable human embryos. Unlike induced pluripotent stem cells (iPSs), hpSCs do not require manipulation of gene expression back to a less differentiated stage, which may prove to be a safety or regulatory obstacle. However, unlike both ESCs and iPSs, hpSCs can be created in a homozygous form such that each line can be an immunological match for millions of patients.

Dr. Andrey Semechkin, ISCO’s CEO, says: “Our ability to work in this modern facility gives International Stem Cell Corporation the capacity to generate the world’s first cGMP quality hpSC lines. It marks an important milestone since it both expands the resources available to our scientists and expands ISCO’s ability to execute on its plan to become the premier provider of immune-matched stem cells to the global research community. Through these cells, ISCO will be able to treat a range of degenerative diseases in genetically diverse populations around the world.”

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 the creation of parthenogenetic human stem cells from unfertilized eggs (oocytes). Like embryonic stem cells (ESCs), hpSCs are pluripotent (i.e. 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. ISCO scientists have created the first parthenogenic, homozygous stem cell line that can be a source of therapeutic cells with minimal immune rejection after transplantation into hundreds of millions of individuals of differing sexes, ages and racial groups. This offers the potential to create the first true stem cell bank, UniStemCell™, while avoiding the ethical issue of using fertilized eggs. ISCO also produces and markets specialized cells and growth media for therapeutic research worldwide through its subsidiary Lifeline Cell Technology. More information is available at ISCO’s website, 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 future financial and/or operating results, future growth in research, technology, clinical development and potential joint venture and other opportunities for the company and its subsidiary, 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, 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

CONTACTS:
International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
760-940-6383
kaldrich@intlstemcell.com
Or
Brian Lundstrom, President
760-640-6383
bl@intlstemcell.com

International Stem Cell Corporation Collaborates with Scripps Research Institute's Center for Regenerative Medicine to Study Parthenogenetic Stem...

International Stem Cell Corporation Announces Collaboration with Scripps Research Institute's Center for Regenerative Medicine to Study Parthenogenetic Stem Cells

International Stem Cell Corporation (OTCBB: ISCO), www.internationalstemcell.com announced today that it is collaborating with renowned stem cell researcher Jeanne F. Loring, Ph.D., and the Scripps Research Institute (La Jolla, CA) to study parthenogenetic stem cells and potentially therapeutic cells that can be derived from them.

ISCO has perfected a process for creating human stem cells from unfertilized human eggs. These "parthenogenetic" stem cells have the medical advantage of allowing immune-matching to large segments of the population and the ethical advantage of not requiring the use of human embryos. This study is a further expansion of ISCO's mission to generate data necessary to understand these cells and move them closer to the clinic.

According to Dr. Loring, "Parthenogenetic cell lines are uniquely valuable for our quest to understand the genetic and epigenetic processes that control stem cells. We are excited about the opportunity to collaborate with scientists at ISCO."

ISCO scientists have derived a type of cell found in the human eye from parthenogenetic stem cells that may have application in the treatment of a common eye disease called macular degeneration. Dr. Loring and ISCO will study these cells as part of the collaboration.

"Collaborations with leading researchers such as Dr. Loring and leading research institutions such as Scripps Research Institute will bring us closer to ISCO's goal of being able to provide immune-matched stem cells for human transplant and build a true stem cell bank that could offer on-demand delivery of stem cells matched to a patient's own immune system," said Kenneth Aldrich, Chairman of International Stem Cell Corporation. "Our intent is to begin to provide these parthenogenetic stem cell lines to advance the field of regenerative medicine, as well as to commercialize our cells for cell transplant therapies."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB):

International Stem Cell Corporation is a California biotechnology company focused on developing therapeutic and research products. ISCO's technology, Parthenogenesis, results in the creation of pluripotent human stem cell lines from unfertilized human eggs. ISCO scientists have created the first Parthenogenetic homozygous stem cell line (phSC-Hhom-4) that can be a source of therapeutic cells that will minimize immune rejection after transplantation into hundreds of millions of individuals of differing sexes, ages and racial groups. These advancements offer the potential to create the first true "Stem Cell Bank" and address ethical issues by eliminating the need to use or destroy fertilized embryos. ISCO also produces and markets specialized cells and growth media worldwide for therapeutic research through its subsidiary Lifeline Cell Technology. For more information, visit the ISCO website at: 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 future financial and/or operating results, future growth in research, technology, clinical development and potential joint venture and other opportunities for the company and its subsidiary, 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, 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
The Investor Relations Group
212-825-3210
Media Relations:
Laura Colontrelle
lcolontrelle@investorrelationsgroup.com
or
Investor Relations:
James Carbonara
jcarbonara@investorrelationsgroup.com

International Stem Cell Corporation Announces Strategic Enhancement of its Management Team

International Stem Cell Corporation (OTCBB:ISCO), www.internationalstemcell.com announced today that it had made important strategic changes in its management team to leverage its growing opportunities in the therapeutic and research product markets.

The Company's current Board Member and Executive Vice-President, Dr. Andrey Semechkin, will become CEO on November 15, 2009, and Brian Lundstrom, an experienced biopharmaceutical executive, has joined the Company as President. Kenneth Aldrich will remain as Chairman of the Board and continue the active role he has played since the founding of the Company. Jeffrey Janus will remain as Senior Vice President of ISCO and CEO of its subsidiary, Lifeline Cell Technology.

Commenting on these management changes, Mr. Aldrich said, "We have been searching for many months to find exactly the right combination of skills and experience to replace what we lost with the death of our former CEO, Jeff Krstich, in 2008. The wait has been well worthwhile. With these changes, ISCO now has two outstanding new executives to help lead it into the next phase of the development and commercialization of its unique stem cell platform. Dr. Semechkin's international experience and reputation as a creative businessman will prove invaluable as ISCO becomes ever more involved in international research, collaborations and clinical trials, whether in Russia or elsewhere in the World, and Mr. Lundstrom's deep biopharmaceutical experience will enable the company to develop and commercialize market-driven therapeutic solutions."

Dr. Semechkin is 50 years of age and has had an extraordinary career in both his native Russia and internationally, including the US. He has more than 20 years of experience in successfully creating and developing many companies in different industries and scientific sectors. In 2005-2006, as part of the senior management team of the JSC Russian Railways, he was responsible for the reform and modernization of the structure of that organization.

He is a member of the prestigious Russian Academy of Science, specializing in management theory, strategic planning and system analysis. He is also the author of several books in those fields and in 2005 was awarded the Russian Federation Government Award in Science and Technology in recognition of his scientific achievements.

Dr. Semechkin was introduced to ISCO in 2008 through our Chief Scientific Officer, Dr. Revazova, and he has since become an investor and active contributor of skills and advice to the Company.

Mr. Lundstrom is 47 years of age and trained in immunology, molecular biology, finance and marketing. He brings to ISCO 23 years of clinical and commercial development and corporate transactional experience from predominantly publicly traded and commercially operating companies like Novo Nordisk and SangStat/Genzyme, global leaders in biological therapies, diabetes, transplantation and other chronic diseases.

As ISCO's President, Mr. Lundstrom will focus primarily on development and commercialization of ISCO's universal stem cell bank and therapeutic applications. He will also be deeply involved in ISCO's day-to-day operations and will work with Mr. Aldrich in interacting with the company's analysts and public markets.

Mr. Aldrich commented that, "Mr. Lundstrom provides biopharmaceutical and corporate partnering experience to advance the company into development that we expect to be highly complementary to Dr. Semechkin's international management and investment experience."

ABOUT INTERNATIONAL STEM CELL CORPORATION (ISCO.OB):

International Stem Cell Corporation is a California biotechnology company focused on developing therapeutic and research products. ISCO's technology, Parthenogenesis, results in the creation of pluripotent human stem cell lines from unfertilized human eggs. ISCO scientists have created the first Parthenogenetic homozygous stem cell line (phSC-Hhom-4) that can be a source of therapeutic cells that will minimize immune rejection after transplantation into hundreds of millions of individuals of differing sexes, ages and racial groups. These advancements offer the potential to create the first true "Stem Cell Bank" and address ethical issues by eliminating the need to use or destroy fertilized embryos. ISCO also produces and markets specialized cells and growth media worldwide for therapeutic research through its subsidiary Lifeline Cell Technology. For more information, visit the ISCO website at: 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 future financial and/or operating results, future growth in research, technology, clinical development and potential joint venture and other opportunities for the company and its subsidiary, 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, 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, CEO
760-940-6383
kaldrich@intlstemcell.com
or
The Investor Relations Group
Media Relations:
Laura Colontrelle
212-825-3210
lcolontrelle@investorrelationsgroup.com

International Stem Cell Corporation's Letter to the NIH

International Stem Cell Corporation respectfully requests that the NIH grant to researchers using stem cells created through parthenogenesis the same access to Federal funding as is provided for embryonic stem cells.

The fundamental basis for our request is that, although parthenogenetic stem cells are derived from unfertilized human eggs, not human embryos, the currently proposed Guidelines are likely to be interpreted to prohibit funding for such lines, even though the donation procedures otherwise meet all the requirements being imposed on embryonic stem cells.

Both types of cell lines are derived from human eggs obtained in the normal process of in-vitro fertilization. The difference is that making embryonic stem cells requires the creation (by fertilization) and subsequent destruction of viable human embryos, while parthenogenesis requires only unfertilized eggs from which no viable embryo is ever created or destroyed.

If parthenogenesis is denied funding, the source of stem cell lines that raises the fewest ethical issues (parthenogenesis) would be denied funding while the source that raises the most (embryonic stem cells) would receive Federal funding. Of possibly greater importance is the fact that while the stem cell industry is still in its infancy, with none of the hopes for embryonic, iPS or any other cell types yet verified in the clinic, the arbitrary exclusion from funding of an alternate technology that might offer new solutions could result in wasted opportunities to save human lives.

Both types of cell lines are obtained from eggs donated by women who have already made the decision to seek in-vitro fertilization. The primary motives of the donors are the same, and the consent procedures and donor protections are also the same. No public purpose is served by excluding parthenogenic stem cell lines from federal funding simply because the donated eggs were not fertilized in the process of creating stem cells.
Based on these distinctions, we propose that so long as the primary motivation of the donors is the same and the same ethical and informed consent standards are applied, whether or not excess eggs from IVF clinics are fertilized or not fertilized should not affect whether they may be used for federally sponsored research.

We suggest that the following factors also be considered in determining the final form of the Guidelines:

· The fear that viable human embryos are being created solely for research purposes or that women are being exploited for their eggs simply does not apply to parthenogenesis. First, as mentioned above, parthenogenesis does not lead to the creation of viable human embryos. No potential human life is destroyed. Second, the existing parthenogenetic stem cell lines were created from eggs donated by women with the primary intent of participating in IVF, and the same standard can and should be maintained for future lines. Whether excess eggs are fertilized or unfertilized does not pose any additional risk to the donors. In fact, every woman who has ever donated eggs to our company that led to the creation of parthenogenetic stem cell lines has had a successful pregnancy.

· Parthenogenesis may actually reduce the number of donations required because it allows for the creation of single lines of pluripotent stem cells that can be immune-matched (similar to how bone marrow is matched between donors and recipients) to large population groups. In other words, once a stem cell bank of perhaps 50 to 100 parthenogenetic stem cell lines is established, the need to continuously seek more eggs to match a population group may be greatly reduced or eliminated. The resulting immune-matched stem cell bank would become a valuable medical resource for regenerative medicine that is not available from any other source of cells. As a result, the total number of unfertilized eggs needed to create such a stem cell bank may be far fewer than the number of viable human embryos needed under the currently proposed Guidelines.

· The proposed Guidelines could create an unintended de-facto monopoly on the economic benefits of stem cell research. Today, a small number of organizations and companies control most of the current patents for embryonic cells. If cells subject to those patents are the only cells that can receive Federal funding, there will be no competition in the licensing of patents and no incentive for lower cost licensing of those rights. This could easily increase the cost of cures to the patient or repress innovation. Allowing alternative methods of creating stem cells, so long as they comply with the ethical rules of informed consent and utilize only appropriate donors, could avoid those problems.

· Blocking access to Federal funding for alternative methods of stem cell research could limit research opportunities for NIH-based scientists and also drive research and jobs overseas. Due to their unique characteristics, parthenogenetic stem cells offer a valuable research model to study immune response, cell differentiation and epigenetic processes such as imprinting, methylation, reprogramming and maternal effects. Under the proposed Guidelines, this research model would not be available to NIH-funded researchers in the U.S. U.S. companies now developing parthenogenesis technology are already receiving offers from various foreign countries such as Korea, India, and China to provide funding and move research to those countries. Without access to federal dollars, there will be no practical imperative to prevent U.S. companies from locating overseas. If disease cures are then developed outside the U.S., the potential profits and jobs will go elsewhere and the cures developed could come back to the U.S. at a much higher price.

We appreciate this opportunity to make our comments public, make ourselves available to the Institute for consultation on issues relating to stem cell research, and look forward to a rigorous review process prior to the finalization of the Institute’s guidelines.

Sincerely,
Kenneth C. Aldrich
Chairman, CEO, and Co-Founder
International Stem Cell Corporation

International Stem Cell Corporation Creates Human Stem Cell Lines That Can Eliminate Immune Rejection by Patients;

Discovery is a Step Closer to a Universal Stem Cell Line for Human Therapeutics and Creation of a Global Stem Cell Bank

Oceanside, California, December 19, 2007— Scientists at International Stem Cell Corporation (OTCBB: ISCO) have created unique human stem cell lines that make them easily "immune matched" to human beings and could enable the creation of a bank of stem cells that could be used, without rejection, by a majority of the different people and races of the world.

The findings are outlined in a scientific peer review paper entitled "HLA Homozygous Stem Cell Lines Derived from Human Parthenogenetic Blastocysts" which was announced in the December 19, 2007 online edition of Cloning and Stem Cells Journal: http://www.liebertonline.com/doi/pdfplus/10.1089/clo.2007.0063


Contacts:

International Stem Cell Corporation
Kenneth C. Aldrich, Chairman
kaldrich@intlstemcell.com

Jeff Krstich, CEO
jkrstich@intlstemcell.com
760-940-6383

Media Relations:
The Orbach Company, Inc.
Nevena Orbach
818-904-0500
nevena@orbachco.com

ABOUT INTERNATIONAL STEM CELL CORPORATION:
International Stem Cell is a biotechnology company currently focused on developing therapeutic and research products through the use of human stem cells. In the area of therapeutic product development, ISCO's objective is to create an unlimited source of human cells for use in the treatment of several diseases, including diabetes, liver disease and retinal disease through cell transplant therapy. In furtherance of this objective, ISCO has developed pluripotent human stem cells from unfertilized human eggs, and techniques to cause those stem cells to be "differentiated" into the specific cell types required for transplant. It has developed manufacturing protocols to produce the cells minimizing contamination with animal by-products, a characteristic likely to be important in meeting U.S. Food and Drug Administration requirements. ISCO also provides the specialized cells and growth media needed for therapeutic cell transplantation research to academic and commercial researchers in related fields. For more information, visit the ISCO website at: 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 future financial and/or operating results, future growth in research, technology, clinical development and potential opportunities for the company and its subsidiary, 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, uncertainty in the results of clinical trials or regulatory approvals, need and ability to obtain future capital, 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.

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