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| Colorado                                                                                                            |   | 84-0846389                                    |
|---------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------|
| (State or other jurisdiction      ofincorporation or      organization)                                             |   | (IRS      EmployerIdentification      Number) |
|                                                                                                                |
| 665 Martinsville Road, Basking Ridge, New Jersey      07920                                                         |
| (Address of principal executive      offices)                                                                       |
|                                                                                                                |
| ((908) 542-0888                                                                                                     |
| (Registrant’s telephone number,      including area code) ANALYTICAL      SURVEYS, INC(Former      name) |

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|         |                                                                 |
|--------------|----------------------------------------------------------------------|
| PART      1. | FINANCIAL      INFORMATION                                           |
|         |                                                                 |
| Item      1. | Financial      Statements                                            |
|         |                                                                 |
| Item      2. | Management’s      Discussion and Analysis or Plan ofOperations |
|         |                                                                 |
| Item      3. | Controls      and Procedures                                         |
|         |                                                                 |
| PART      2. | OTHER      INFORMATION                                               |
|         |                                                                 |
| Item      1. | Legal      Proceedings                                               |
|         |                                                                 |
| Item      2. | Unregistered Sales of Securities      and Use of Proceeds            |
|         |                                                                 |
| Item      3. | Defaults      Upon Senior Securities                                 |
|         |                                                                 |
| Item      4. | Submissions of Matters to a Vote      of Security Holders            |
|         |                                                                 |
| Item      5. | Other      Information                                               |
|         |                                                                 |
| Item      6. | Exhibits                                                             |
|         |                                                                 |
| SIGNATURES   |

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| AXION      INTERNATIONAL HOLDINGS INTERNATIONAL                                                                      |
|----------------------------------------------------------------------------------------------------------------------|
| CONSOLIDATED      CONDENSED BALANCE SHEETS                                                                           |
| (Unaudited)                                                                                                          |
|                                                                                                                 |   |   |   |
|                                                                                                                 |   | June 30, 2008 |   |
| Assets                                                                                                               |   |   |   |
| Current      assets:                                                                                                 |   |   |   |
|      Cash      and cash equivalents                                                         |   | $ | 468,633 |   |
|      Accounts      receivable, net of allowance for doubtful accounts                       |   |   | 1,006 |   |
| Prepaid      expenses                                                                                                |   |   | 7,051 |   |
|      Inventory                                                                              |   |   | 21,153 |   |
|           Total      current assets                                |   |   | 497,843 |   |
|                                                                                                                 |   |   |   |   |
| Property,      plant and equipment , net                                                                             |   |   | 167,797 |   |
|                                                                                                                 |   |   |   |   |
| Other      assets                                                                                                    |   |   | 72,284 |   |
|                                                                                                                 |   |   |   |   |
|           Total      assets                                        |   | $ | 737,924 |   |
|                                                                                                                 |   |   |   |   |
| Liabilities and Stockholder's      Deficit                                                                           |   |   |   |   |
| Current      Liabilities                                                                                             |   |   |   |   |
|      Senior      secured convertible debenture, net of discount                             |   | $ | 789,013 |   |
| Account      payable and accrued expenses                                                                            |   |   | 406,217 |   |
|           Total      current liabilities                           |   |   | 1,195,230 |   |
|                                                                                                                 |   |   |   |   |
| Commitments      and contingencies                                                                                   |   |   |   |   |
|                                                                                                                 |   |   | - |   |
| Stockholders'      deficit:                                                                                          |   |   |   |   |
|      Common      stock, no par value; authorized, 100,000,000 shares;                       |   |   |   |   |
|          41,772,278      shares issued and outstanding at June 30, 2008 |   |   | 824,945 |   |
|       Deficit      accumulated during development stage                                |   |   | (1,282,251 | ) |
|           Total      stockholders' defict                          |   |   | (457,306 | ) |
|                                                                                                                 |   |   |   |   |
|           Total      liabilities and stockholders' deficit         |   | $ | 737,924 |   |
|                                                                                                                 |   |   |   |   |
|                                                                                                                 |   |   |   |   |
| See      accompanying notes to consolidated financial statements.                                                    |   |   |   |   |

----

| AXION      INTERNATIONAL HOLDINGS INTERNATIONAL                                                                      |   |
|----------------------------------------------------------------------------------------------------------------------|--------|
| CONSOLIDATED      STATEMENTS OF OPERATIONS                                                                           |   |
| (Unaudited)                                                                                                          |   |
|                                                                                                                 |   |   |   |   |   |   |
|                                                                                                                 |   | Three      months ending |   |   | Inception      through |   |
|                                                                                                                 |   | June      30, 2008 |   |
|                                                                                                                 |   |   |   |   |   |   |
| Revenue                                                                                                              |   | $ | - |   |   | $ | - |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|      Research      and development costs                                                    |   |   | 30,726 |   |   |   | 92,831 |   |
|      Marketing      and sales                                                               |   |   | 23,410 |   |   |   | 45,377 |   |
|      General      and administrative expenses                                               |   |   | 455,934 |   |   |   | 847,478 |   |
|      Depreciation      and amortization                                                     |   |   | 6,597 |   |   |   | 11,707 |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|         Total      operating costs and expenses                              |   |   | 516,667 |   |   |   | 997,393 |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|           Loss      from operations                                |   |   | (516,667 | ) |   |   | (912,893 | ) |
| Other      income (expense)                                                                                          |   |   |   |   |   |   |   |   |
|      Interest      expense, net                                                             |   |   | 241,632 |   |   |   | 284,858 |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|         Total      other expense, net                                        |   |   | 241,632 |   |   |   | 284,858 |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|           Loss      before income taxes                            |   |   | (758,299 | ) |   |   | (1,282,251 | ) |
|                                                                                                                 |   |   |   |   |   |   |   |   |
| Provision      for income taxes                                                                                      |   |   | - |   |   |   | - |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
| Net      loss available to common stockholders                                                                       |   | $ | (758,299 | ) |   | $  | (1,282,251 | ) |
|                                                                                                                 |   |   |   |   |   |   |   |   |
|      Basic      and diluted net loss per common share available to common      stockholders |   | $ | (0.02 | ) |   | $ | (0.04 | ) |
|                                                                                                                 |   |   |   |   |   |   |   |   |
| Weighted      average common shares:                                                                                 |   |   | 41,857,464 |   |   |   | 34,308,390 |   |
|                                                                                                                 |   |   |   |   |   |   |   |   |
| See      accompanying notes to consolidated financial statements.                                                    |   |   |   |   |   |

----

| AXION      INTERNATIONAL HOLDINGS INTERNATIONAL                                                                          |   |
|--------------------------------------------------------------------------------------------------------------------------|--------|
| CONSOLIDATED      STATEMENTS OF STOCKHOLDERS’ DEFICIT                                                              |   |
| Inception      through June 30, 2008                                                                                     |   |
|                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                     |   | Common      Stock |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                     |   |  Shares |   |   |  Amount |   |   |  Paid      in Capital |   |   | Deficit      accumulated during development stage |   |   |  Total |   |
|                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common stock to founders                                                                                |   |   | 85 |   |   | $ | 85 |   |   | $ | (85 | ) |   | $ | - |   |   | $ | - |   |
| Issuance      of common stock for license                                                                                |   |   | 15 |   |   |   | 15 |   |   |   | 19,985 |   |   |   | - |   |   |   | 20,000 |   |
| Issuance      of common stock for services                                                                               |   |   | 54 |   |   |   | 54 |   |   |   | 19,946 |   |   |   | - |   |   |   | 20,000 |   |
| Private      placement of common stock, including conversion of note payable to common      stock, net of issuance costs |   |   | 39 |   |   |   | 39 |   |   |   | 822,292 |   |   |   | - |   |   |   | 822,331 |   |
| Exchange      of shares                                                                                                  |   |   | 36,762,357 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Shares      issued in reverse merger                                                                                     |   |   | 4,009,728 |   |   |   | (193 | ) |   |   | 193 |   |   |   | - |   |   |   | - |   |
| Private      placement of common stock                                                                                   |   |   |   |   |   |   |   |   |   |   | 321,000 |   |   |   |   |   |   |   | 321,000 |   |
| Liabilities      assumed in excess of fair value of assets pursuant to    merger                                         |   |   | - |   |   |   | - |   |   |   | (358,386 | ) |   |   | - |   |   |   | (358,386 | ) |
| Net      loss                                                                                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (1,282,251 | ) |   |   | (1,282,251 | ) |
|                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balances      at June 30, 2008                                                                                           |   |   | 43,026,793 |   |   | $  | - |   |   | $ | 824,945 |   |   | $ | (1,282,251 | ) |   | $ | (457,306 | ) |
|                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| See      accompanying notes to consolidated financial statements.                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |

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| AXION      INTERNATIONAL HOLDINGS INTERNATIONAL                                                                                                  |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| CONSOLIDATED      STATEMENT OF CASH FLOWS                                                                                                        |   |
| (Unaudited)                                                                                                                                      |   |
|                                                                                                                                             |   | Inception      throughJune 30, 2008 |   |
|                                                                                                                                             |   |   |   |
| Cash      flow from operating activities:                                                                                                        |   |   |   |
|    Net      earnings (loss)                                                                                                       |   | $ | (1,282,251 | ) |
|    Adjustments      to reconcile net income (loss) to net                                                                         |   |   |   |   |
|      cash      provided by (used in) operating activities                                                               |   |   |   |   |
|        Depreciation,      and amortization                                                                    |   |   | 11,707 |   |
|       Accretion      of interest expense on convertible debenture                                                  |   |   | 225,761 |   |
|        Issuance      of common stock for services                                                             |   |   | 20,000 |   |
|                                                                                                                                             |   |   |   |   |
|         Changes      in operating assets and liabilities                                                 |   |   | - |   |
|                  Accounts      receivable                   |   |   | 58,042 |   |
|                  Prepaid      expenses and other            |   |   | (5,968 | ) |
|                  Accounts      payable and accrued expenses |   |   | (10,683 | ) |
|                                                                                                                                             |   |   |   |   |
|            Net      cash used in operating activities                                     |   |   | (983,392 | ) |
|                                                                                                                                             |   |   |   |   |
| Cash      flows from investing activities:                                                                                                       |   |   |   |   |
|            Purchase      of equipment and leasehold improvements                          |   |   | (172,033 | ) |
| Proceeds      from sale of assets                                                                                                                |   |   | 486,000 |   |
|             Costs      to acquire license                                            |   |   | (48,284 | ) |
|          Net      cash used in investing activities                                                 |   |   | 265,683 |   |
|                                                                                                                                             |   |   |   |   |
| Cash      flows from financing activities:                                                                                                       |   |   |   |   |
|             Issuance      of common stock, net of expenses                           |   |   | 1,143,331 |   |
|            Cash      acquired in reverse merger                                           |   |   | 43,011 |   |
|    Net      cash provided by financing activities                                                                                 |   |   | 1,186,342 |   |
|                                                                                                                                             |   |   |   |   |
| Net      increase (decrease) in cash                                                                                                             |   |   | 468,633 |   |
|                                                                                                                                             |   |   |   |   |
| Cash      at beginning of period                                                                                                                 |   |   | - |   |
|                                                                                                                                             |   |   |   |   |
| Cash      at end of period                                                                                                                       |   | $ | 468,633 |   |
|                                                                                                                                             |   |   |   |   |
| Supplemental      disclosures of cash flow information:                                                                                          |   |   |   |   |
| Cash      paid for interest                                                                                                                      |   | $ | - |   |
| Non-cash      financing activities:                                                                                                              |   |   |   |   |
|                Common      stock issued for consulting services       |   | $ | 20,000 |   |
|                Conversion      of notes                               |   | $ | 27,164 |   |
|                Common      stock issued for license agreement         |   | $ | 20,000 |   |
|                Common      stock issued pursuant to merger            |   | $ | 358,385 |   |
|                                                                                                                                             |   |   |   |   |
| See      accompanying notes to consolidated financial statements.                                                                                |   |   |   |   |

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| (1)   | Description of Business and      Basis of Presentation. |
|-----------------|---------------------------------------------------------|

| (2)   | Summary      of Significant Accounting Policies |
|-----------------|-------------------------------------------------|

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| Asset      Category                            |   | Depreciation/      Amortization Period |   |
|------------------------------------------------|--------|----------------------------------------|--------|
| Furniture      and fixtures                    |   | 3      to 5 years                      |   |
| Computer      equipment and purchased software |   | 3      years                           |   |
| Machinery      and equipment                   |   | 3      to 5 years                      |   |
| Leasehold      improvements                    |   | Term      of lease                     |   |

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| (3)   | Merger |
|-----------------|--------|

|                                                                                                     |   |    |    |   |
|----------------------------------------------------------------------------------------------------------|--------|---------|---------|--------|
| Fair      value of net assets acquired:                                                                  |   | $       | 600,612 |   |
| Consideration      given:                                                                                |   |    |    |   |
| Fair      value of liabilities assumed                                                                   |   |    | 958,998 |   |
| Net      liabilities acquired over fair value of assets, recorded as a reduction to      paid in capital |   |  $ | 358,386 |   |

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| Long-Term      Debt                             |   |   | June      30, 2008                                                               |   |
|-------------------------------------------------|--------|--------|---------------------------------------------------------------------------------------|--------|
| Senior      secured convertible debentures      |   | $      | 1,550,000                                                                             |   |
| Discount      for beneficial conversion feature |   |   | (789,013)                                                                             |   |
|                                            |   |   |              789,013 |   |
| Less      current portion                       |   |   |            (      789,013      | )      |
|                                            |   | $      | —                                                                               |   |

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|                                                   |   |      |        Conversion      Price |    |       | Common      Shares Issuable |   |
|--------------------------------------------------------|--------|-----------|-----------------------------------|---------|------------|-----------------------------|--------|
| Class      A Warrants                                  |   | 381,890   |                              |  $ | 1.340      |                        |   |   | 381,890 |   |
| Class      B Warrants                                  |   | 381,890   |                              |    | 1.490      |                        |   |   | 381,890 |   |
| Class      E Warrants                                  |   | 752,072   |                              |    | 1.186      |                        |   |   | 752,072 |   |
| Note      Warrants issued to advisors in November 2006 |   | 189,928   |                              |    | 0.570      |                        |   |   | 189,928 |   |
| Debentures                                             | $      | 1,550,000 |                              |  $ | 0.100      |                        |   |   | 15,500,0000 |   |
| Total      shares issuable and weighted average price  |   |      |                              |  $ | 0.20  |                        |   |   | 17,326,280 |   |

| Number      of shares (post merger) |      | Vests      upon achievement of annual revenue totaling | Exercise      Price |                          | Intrinsic      value on date of grant |   |
|-------------------------------------|-----------|--------------------------------------------------------|---------------------|-------------------------------|---------------------------------------|--------|
|                                |      |                                                   |                |                          |                                  |   |
|                                | 762,076   |                                                   | $10      million    | $1.00      per 190,519 shares |                                  | $      | 104,600 |   |
|                                | 1,143,114 |                                                   | $15      million    | $1.00      per 190,519 shares |                                  | $      | 156,900 |   |
|                                | 1,143,114 |                                                   | $25      million    | $1.00      per 190,519 shares |                                  | $      | 156,900 |   |
|                                | 1,524,152 |                                                   | $25      million    | $1.00      per 190,519 shares |                                  | $      | 209,200 |   |
|                                |      |                                                   |                |                          |                                  |   |   |   |

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|                              |   | Number      of Options |    |   | Weighted      Average Exercise Price Per share |   |
|-----------------------------------|--------|------------------------|---------|--------|------------------------------------------------|--------|
| Acquired      in recapitalization |   |                   | 410     |   |                                           | $      | 1.15 |   |
| Granted                           |   |                   | 4,572   |   |                                           |   | — |   |
| Exercised                         |   |                   | — |   |                                           |   | — |   |
| Canceled                          |   |                   | (5      | )      |                                           |   | 1.34 |   |
| Balance,      June 30,2008        |   |                   | 4,977   |   |                                           | $      | 0.09 |   |

| (10)   | Related      Party Transactions |
|------------------|---------------------------------|

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