X0202 4 2006-10-06 0 0000741114 INTEGRATED SECURITY SYSTEMS INC IZZI 0001132090 CLEVELAND RUSSELL 8080 N CENTRAL EXPWY STE 210 LB 59 DALLAS TX 75206 1 0 1 0 6% Convertible Promissory Note 2006-10-06 4 P 0 375000 0 A 2009-10-06 Common Stock 775000 I Securities held by Renaissance US Growth Investment Trust PLC (RUSGIT) 6% Convertible Promissory Note 2006-10-06 4 P 0 375000 0 A 2009-10-06 Common Stock 675000 I Securities held by US Special Opportunities Trust PLC (USO) The conversion price shall equal the fair market value of the common stock on the date of recapitalization or change of control, neither of which has occurred. The principle shall be convertible upon the occurrence of a recapitalization or in connection with and immediately prior to a change in control. Mr. Cleveland is an executive officer of RENN Capital Group, Inc., which serves as investment manager to RUSGIT and investment adviser to USO and therefore may be deemed beneficial owner of the shares. Mr. Cleveland disclaims such beneficial ownership. Russell Cleveland 2006-10-10