Axis Begins Manufacturing Ballasts for Brite-Lite Inc. for Distribution to Canadian Market.

LINCOLN, Neb. -- Axis Technologies, Inc. (Pink Sheets:AXTG) announced today that it has begun manufacturing the Axis Dimming/Daylight Harvesting (DDH) fluorescent ballasts in 347 volts for Distribution by Brite-Lite, Inc. to the Canadian market. The Canadian market requires additional voltage in comparison to the 120 volt ballasts used in the US Market.

Axis announced on November 29, 2006 that the company signed a national distribution agreement with Brite-Lite, Inc., a wholesale lighting distributor headquartered in the Vancouver, British Columbia area. Under the terms of the agreement, Brite-Lite (www.brite-lite.com) will be the exclusive sales and distribution agent for Axis products in the Canadian market.

"Axis Technologies is very pleased to be working with Brite-Lite to introduce our ballasts to the Canadian market, and the additional voltage is a commitment by Axis to support this market. Bright-Lite is also very enthusiastic about adding our unique ballasts to their product line", said Kip Hirschbach, CEO of Axis Technologies. "Axis anticipates that this distribution agreement will lead to over $5,000,000 in sales over the next year", he added.

"Canada has become very energy conscious, and has embraced daylight harvesting as the latest method to drive reduced energy usage. Canadian utility companies are presently designing rebate programs for such energy saving solutions as daylight harvesting technology. Brite-Lite is very excited to offer the energy efficiency and simplicity of the Axis Dimming/Daylight Harvesting ballasts to our customers", offered Dave Sinclair, Sales Manager for Brite-Lite.

About Brite-Lite

Brite-Lite is a Wholesale Lighting Distributor with locations throughout British Columbia and Alberta, Canada. Brite-Lite services commercial properties, industrial & manufacturing, financial institutions, retail & malls, healthcare & medical facilities, schools & colleges, and government agencies. Brite-Lite offers its customers free energy analysis, retrofit and new lighting designs, and energy efficient products.

Brite-Lite is the recipient of the following awards:

Winner of the 2004 BC Hydro Power Smart Excellence Award in recognition of the contribution to increased sales and awareness of energy-efficient products in the BC marketplace.

Brite-Lite Lighting on November 30th, 2005, received an Environmental Leadership Award in recognition for their leadership role in protecting the environment and sustaining the economy of British Columbia through their efforts in energy efficiency. The award was presented to Brite-Lite by the Power Sense Division of FortisBC during an awards ceremony in Kelowna, British Columbia.

About Axis Technologies Group, Inc.

Axis Technologies Group, Inc. conducts its business through a wholly owned subsidiary, Axis Technologies, Inc., a Delaware corporation headquartered in Lincoln, Nebraska. Axis Technologies, Inc. designs, manufactures and markets a proprietary line of energy-saving and daylight harvesting electronic dimming ballasts for the commercial lighting industry. The company's target market is small to large commercial users of fluorescent lighting including office buildings, wholesale and retail buildings, hospitals, schools, and government buildings. In 2002, Underwriters Laboratory (UL) approved Axis products for sale in both the United States and Canada. The Axis Dimming/Daylight Harvesting (DDH) ballast is priced competitively and is the only daylight harvesting ballast system that can be marketed as a replacement for a standard ballast.

About the Axis DDH Ballast

A "ballast" is an electronic component that regulates voltage in fluorescent lighting. Axis Technologies Group, Inc. has developed an innovative new ballast with the aim of expanding daylight harvesting into mainstream fluorescent lighting applications. The patented Axis Dimming/Daylight Harvesting Ballast is a new technology that transforms the ballast, a once standard lighting industry staple, into a dynamic energy saving system that can reduce lighting energy costs by up to 70%. The Axis DDH Ballast utilizes an individual photo sensor to automatically adjust the amount of electrical current flowing to the light fixture, and then dims or increases lighting in conjunction with the amount of available sunlight that may be harvested from available windows and sunlight. The Axis DDH Ballast avoids "over-lit" conditions that increase energy costs by keeping lighting "tuned" to the desired level in a designated area.

Safe Harbor 

Statements about the Company's future expectations and all other statements in this press release other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby.

The above information contains information relating to the Company that is based on the beliefs of the Company and/or its management as well as assumptions made by and information currently available to the Company or its management. When used in this document, the words "anticipate," "estimate," "expect," "intend," "plans," "projects," and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. Such statements reflect the current view of the Company regarding future events and are subject to certain risks, uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended or projected. In each instance, forward-looking information should be considered in light of the accompanying meaningful cautionary statements herein. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, the impact of competitive services and pricing and general economic risks and uncertainties.