--- a/hotspot/src/share/vm/c1/c1_Runtime1.cpp	Wed Aug 13 10:44:50 2014 +0200
+++ b/hotspot/src/share/vm/c1/c1_Runtime1.cpp	Wed Aug 13 09:53:18 2014 +0000
@@ -546,13 +546,18 @@
     // normal bytecode execution.
     thread->clear_exception_oop_and_pc();
 
+    Handle original_exception(thread, exception());
+
     continuation = SharedRuntime::compute_compiled_exc_handler(nm, pc, exception, false, false);
     // If an exception was thrown during exception dispatch, the exception oop may have changed
     thread->set_exception_oop(exception());
     thread->set_exception_pc(pc);
 
     // the exception cache is used only by non-implicit exceptions
-    if (continuation != NULL) {
+    // Update the exception cache only when there didn't happen
+    // another exception during the computation of the compiled
+    // exception handler.
+    if (continuation != NULL && original_exception() == exception()) {
       nm->add_handler_for_exception_and_pc(exception, pc, continuation);
     }
   }

--- /dev/null	Thu Jan 01 00:00:00 1970 +0000
+++ b/hotspot/test/compiler/exceptions/TestRecursiveReplacedException.java	Wed Aug 13 09:53:18 2014 +0000
@@ -0,0 +1,44 @@
+/*
+ * Copyright (c) 2014, Oracle and/or its affiliates. All rights reserved.
+ * DO NOT ALTER OR REMOVE COPYRIGHT NOTICES OR THIS FILE HEADER.
+ *
+ * This code is free software; you can redistribute it and/or modify it
+ * under the terms of the GNU General Public License version 2 only, as
+ * published by the Free Software Foundation.
+ *
+ * This code is distributed in the hope that it will be useful, but WITHOUT
+ * ANY WARRANTY; without even the implied warranty of MERCHANTABILITY or
+ * FITNESS FOR A PARTICULAR PURPOSE.  See the GNU General Public License
+ * version 2 for more details (a copy is included in the LICENSE file that
+ * accompanied this code).
+ *
+ * You should have received a copy of the GNU General Public License version
+ * 2 along with this work; if not, write to the Free Software Foundation,
+ * Inc., 51 Franklin St, Fifth Floor, Boston, MA 02110-1301 USA.
+ *
+ * Please contact Oracle, 500 Oracle Parkway, Redwood Shores, CA 94065 USA
+ * or visit www.oracle.com if you need additional information or have any
+ * questions.
+ */
+
+/*
+ * @test
+ * @bug 8054224
+ * @summary Recursive method compiled by C1 is unable to catch StackOverflowError
+ * @run main/othervm -Xcomp -XX:CompileOnly=Test.run -XX:+TieredCompilation -XX:TieredStopAtLevel=2 -Xss256K TestRecursiveReplacedException
+ *
+ */
+
+public class TestRecursiveReplacedException {
+
+    public static void main(String args[]) {
+        new TestRecursiveReplacedException().run();
+    }
+
+    public void run() {
+        try {
+            run();
+        } catch (Throwable t) {
+        }
+    }
+}