Diagnosis-cellulitis of toe on friday. Cephlaxin 500 mg.2x a day. Color & swelling decreased-now peeling like sunburn. Normal? Male 63 yrs old. 6'. 190 lbs high bld prssure/high cholosterol/arthritisis/ takes meds for same...Physically active

Yes. Sounds par for the course. Cellulitis will often cause a sloughing of the superficial layer of skin, epithelium, much like a superficial burn.
Often. Often after successful treatment of cellulitis, the skin will peel or flake off in that area. The most important signs of improvement are decreased redness, decreased swelling, decreased pain and resolution of fever (if you had one). If the area seems to be getting worse instead of better or if you develop a new fever, it is important to contact your doctor.