Footprint-free human iPS (induced pluripotent stem) cell line was derived from human mesenchymal stromal cells (MSCs) by ectopic expression of OCT4, SOX2, KLF4, and L-MYC genes using episomal plasmids. The cells were derived using morphological selection criteria and without the use of fluorescent marker or drug selection. When cultured under standard human ES cell culture conditions, the morphology of human iPS cells are identical to that of human ES cells. The cells also express the pluripotency markers TRA-1-60, SSEA-3 and Oct4, and demonstrate strong endogenous alkaline phosphatase activity.