Sec Form 4 Filing - CIALLELLA SUSAN STRANAHAN @ ISOLAGEN INC - 2007-06-12

FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person CIALLELLA SUSAN STRANAHAN 2. Issuer Name and Ticker or Trading Symbol ISOLAGEN INC [ ILE] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner _____ Officer (give title below) X __ Other (specify below) Former Director and Officer (Last) (First) (Middle) 107 STONEPINE DRIVE 3. Date of Earliest Transaction (MM/DD/YY) 06/12/2007 (Street) KENNETT SQUARE, PA19348 4. If Amendment, Date Original Filed (MM/DD/YY) 6. Individual or Joint/Group Filing (Check Applicable Line) __ X __ Form filed by One Reporting Person _____ Form filed by More than One Reporting Person (City) (State) (Zip)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned 1.Title of Security (Instr. 3) 2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned ( e.g. , puts, calls, warrants, options, convertible securities) 1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5) 6. Date Exercisable and Expiration Date (MM/DD/YY) 7. Title and Amount of Underlying Securities (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4) Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares Employee Stock Option (Right to Buy) $ 1.89 ( 1 ) 04/13/2016 Common Stock 160,000 160,000 D Employee Stock Option (Right to Buy) $ 4.7 ( 2 ) 04/28/2015 Common Stock 300,000 460,000 D Employee Stock Option (Right to Buy) $ 1.88 ( 3 ) 06/05/2016 Common Stock 300,000 760,000 D

Reporting Owners Reporting Owner Name / Address Relationships Director 10% Owner Officer Other CIALLELLA SUSAN STRANAHAN 107 STONEPINE DRIVE KENNETT SQUARE, PA19348 Former Director and Officer Signatures /s/ Susan Stranahan Ciallella 06/12/2007 Signature of Reporting Person Date

Explanation of Responses:

( 1 )The reported transactions involved amendments and modifications to certain outstanding option grants. The Company and Ms. Ciallella entered into a Settlement Agreement and Release, dated as of June 8, 2007 (the "Settlement Agreement"). Under the original terms of this option grant, the option was to vest in 12 equal installments on a quarterly basis over a three year period commencing July 13, 2006. Pursuant to the terms of the Settlement Agreement, the amount is fully vested and will expire 10 years from the date of its original issue date. ( 2 )This option is fully vested and will expire 10 years from the date of its original issue date. The terms of this option was not modified by the Settlement Agreement. ( 3 )Pursuant to the terms of the Settlement Agreement, the number of shares of the Company's common stock subject to the June 2006 Non-Qualified Stock Option grant was reduced from 400,000 to 300,000 shares, This option is fully vested and will expire 10 years from the date of its original issue date.

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).

** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).

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