Ownership Submission
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 OF SECURITIES

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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(Print or Type Responses)
1. Name and Address of Reporting Person *
Lewis S Joshua
   2. Issuer Name and Ticker or Trading Symbol
CAPELLA EDUCATION CO [CPLA] 		5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
__X__ Director _____ 10% Owner
_____ Officer (give title below) _____ Other (specify below)
(Last)
(First)
(Middle)
C/O SALMON RIVER CAPITAL, 680 FIFTH AVENUE, 8TH FLOOR		 3. Date of Earliest Transaction (Month/Day/Year)
11/02/2007
(Street)

NEW YORK, NY 10019		 4. If Amendment, Date Original Filed(Month/Day/Year)
 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 (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 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
Common Stock 11/02/2007   J(1)   16,066 D (1) 13,934 I See (1)
Common Stock               98,981 I See (2)
Common Stock               68,051 I See (3)
Common Stock               28,395 I See (4)
Common Stock               307 I See (5)
Common Stock               58,390 I See (6)
Common Stock               6,545 I See (7)
Common Stock               480 D (8)  

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
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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 (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 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
(Month/Day/Year)		 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

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
Lewis S Joshua
C/O SALMON RIVER CAPITAL
680 FIFTH AVENUE, 8TH FLOOR
NEW YORK, NY 10019		   X      

Signatures

 /s/ S. Joshua Lewis   11/02/2007
**Signature of Reporting Person Date

Explanation of Responses:

* 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).
(1) Reported securities were disposed of pursuant to a pro rata distribution by Salmon River Capital II, L.P. ("SRC-II") to its partners. The general partner of SRC-II is Salmon River Capital GP, LLC ("SRCGP"), and the reporting person is the sole member of SRCGP. The reporting person has voting and investment powers with respect to the securities beneficially owned by SRC-II. The reporting person disclaims beneficial ownership of such securities except to the extent of his pecuniary interest therein.
(2) Reported securities are held by Boundary Creek LLC ("BC LLC"). The reporting person is the sole member of BC LLC and has voting and investment power with respect to the securities beneficially owned by BC LLC.
(3) Reported securities are held by Salmon River Capital I LLC ("SRC-I"). The managing member of SRC-I is Salmon River Capital LLC ("SRC"), and the reporting person is the sole member of SRC. The reporting person has voting and investment powers with respect to the securities beneficially owned by SRC-I. The reporting person disclaims beneficial ownership of such securities except to the extent of his pecuniary interest therein.
(4) Reported securities are held by SRC. The reporting person is the sole member of SRC and has voting and investment powers with respect to the securities beneficially owned by SRC.
(5) Reported securities are held by the reporting person's spouse.
(6) Reported Securities are held by Pistol Creek LLC ("PC LLC"). The reporting person and the reporting person's spouse are the sole members of PC LLC and the reporting person has voting and investment powers with respect to the securities beneficially owned by PC LLC.
(7) Reported securities are held by SRCGP. 5,775 of the reported securities were reported on a previously filed Form 4 as being beneficially owned by SRC II. Such securities were distributed by SRC II to SRCGP on November 2, 2007 pursuant to a pro rata distribution to its members. The reporting person is the sole member of SRCGP and has voting and investment powers with respect to the securities beneficially owned by SRCGP.
(8) Reported securities are held by the Reporting Person. Reported securities were reported on a previously filed Form 4 as being as being beneficially owned by SRC II. Such securities were distributed by SRC II to the reporting person on November 2, 2007 pursuant to a pro rata distribution to its members.

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