Axion wins second Ecotrax rail tie order from Russian transit system operator via Moscow-based distributor TVMEA; New Jersey manufacturer targeting rail modernization plan for construction of 20,000 km of new routes, upgrade of 13,800 km of freight lines

Wendy Lisney

Wendy Lisney

NEW PROVIDENCE, New Jersey , May 13, 2014 (press release) – Company's Third Order from Russia, The Second Largest Rail Network in the World

AXION International Holdings, Inc. (otcqb:AXIH), a leader in recycled plastic and plastic composite technologies used to produce ECOTRAX® rail ties/sleepers and STRUXURE® building products, and a vertically integrated re-processor and supplier of recycled plastic, today announced that it has received an additional purchase order for ECOTRAX® rail ties to be shipped to a transit system in Moscow, the second order from this customer.

This purchase order which consists of 1,000 rail ties, is the third purchase order from Russia and was sold to AXION's in-country distributor and business partner, TVEMA, an international group of companies based in Moscow whose subdivisions are involved in design, manufacture, and project development of rail diagnostic equipment. Over the past two years, AXION has been working diligently with TVEMA to introduce composite rail ties in Russia.

"We are extremely pleased with this replenishment purchase order as it indicates the favorable reception we are receiving in Russia, the second largest rail network in the world," said Steve Silverman, President and CEO of AXION. "TVEMA has a great reputation in Russia as a very technology driven company and they have done a fantastic job introducing our rail products to various prospects in the country. The sales pipeline is building rapidly and we anticipate more progress being made throughout Russia in the near term."

Russia's railway system is the country's key mode of transportation, with an operational length of over 85,000,000 kilometers, making it the second largest rail network in the world. According to Railway Technology, a current rail modernization plan in Russia calls for the construction of up to 20,000 kilometers of new routes, the upgrade of 13,800 kilometers of freight lines for heavy axle loads, among other improvements, at an estimated cost of $353 billion by 2030. The European Bank for Reconstruction and Development (EBRD) has invested more than $1.6 billion in 13 Russian rail projects since 2001.

About AXION International Holdings, Inc. AXION (otcqb:AXIH) is a green technology company, transforming waste plastics into structural building materials. Using 100%-recycled consumer and industrial plastics, AXION develops, markets and sells its recycled structural composite products through its ECOTRAX® composite rail tie and STRUXURE® building material lines. AXION's wholly owned subsidiary, AXION Recycled Plastics (ARPI) recycles post-consumer and post-industrial plastics. As a complete plastics recovery operation, ARPI sorts, grinds, washes, blends, and pelletizes plastic for future use, offering economic benefits to its customers, while keeping waste out of landfills. In addition, it offers toll recycling services. ARPI will continue to serve regional customers from its Zanesville, Ohio facility, and establish and grow the recycling capabilities at the Company's Waco, Texas facility to serve new customers in Texas and surrounding states, as well as provide raw materials internally for the Company to produce ECOTRAX® and STRUXURE®. From the railroading industry to the military to global engineering firms, AXION delivers tested, proven and superior green solutions to infrastructure needs around the world.

www.AXIH.com

Forward-Looking Statements This release contains "forward-looking statements" for purposes of the Securities and Exchange Commission's "safe harbor" provisions under the Private Securities Litigation Reform Act of 1995 and Rule 3b-6 under the Securities Exchange Act of 1934. These forward-looking statements are subject to various risks and uncertainties that could cause AXION's actual results to differ materially from those currently anticipated, including the availability of materials at favorable pricing, sufficient manufacturing capability and the risk factors identified in AXION's filings with the Securities and Exchange Commission.

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SOURCE AXION International Holdings, Inc.

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