International Stem Cell Corporation (OTCBB: ISCO) www.internationalstemcell.com 
      announced that scientists in its wholly-owned subsidiary, Lifeline Cell 
      Technology (LCT), have developed a technology to modify human stem cells 
      by using engineered proteins, called "transducible transcription 
      factors" or "TTFs." TTFs are designed to pass into stem cells and direct 
      the stem cells to change into specific cell types that can be both 
      therapeutically-useful and can be used as revenue-generating research 
      products.
    
In contrast to more traditional cell therapy methods this technology 
      does not require the use of viruses or chemicals, and has the potential 
      to produce safe therapeutic cells from stem cells. In addition, the TTF 
      proteins are naturally eliminated by the cells when no longer required, 
      a characteristic that further improves safety. The Company intends that 
      this technology, once perfected, will first be used to create 
      revenue-generating research products for sale through Lifeline Cell 
      Technology's international distribution channels to the academic, 
      biotechnology and pharmaceutical markets for cellular proteins, 
      including the quickly growing markets for the study of stem cell biology 
      and drug testing.
    
    
      According to Jeffrey Janus, Lifeline Cell Technology's CEO, "These 
      proteins can be sold into the market for cellular proteins which exceeds 
      $700 million and represents an excellent opportunity for LCT to grow 
      sales. Since the technology also has broad application in research and 
      therapy, it should provide ISCO with future out-licensing opportunities 
      to the biotechnology and pharmaceutical industries."