SLAC is studying an option of building a high brightness synchrotron light source machine, PEP-X, in the existing PEP-II tunnel. The new machine will replace the PEPII High Energy Ring (HER) with the goal of achieving an ultra low emittance of (approx) 0.1 nm-rad at 4.5 GeV. The PEPX will utilize the same layout as in the PEP-II with 6 arcs and 6 long straight sections. The existing RF and injection systems will be re-used. The two HER FODO arcs will be replaced with the DBA arcs providing 30 dispersion free 4.26 m sections for magnetic undulators. The other four arcs will be replaced with the TME lattice for attaining the low emittance. Finally, a 89.3 m long damping wiggler with 10 cm period and 1.5 T maximum magnetic field will be installed in a long straight section to reduce the natural emittance to 0.094 nm-rad. The PEP-X dynamic aperture was studied and found sufficient for a vertical injection.