www.americanii.com email: amin@americanii.com

Houston / Kemah, Texas – May 13, 2011 American International Industries, Inc. (OTCBB: AMIN) (the "Company" or "American") reported revenues of $4,225,008 for the three months ended March 31, 2011, compared to $3,727,215 for the three months ended March 31, 2010, representing an increase of $497,793, or 13.4%.

During the three months ended March 31, 2011, Delta Seaboard International, Inc. ("Delta"), in which we hold a 46.4% shareholder interest, experienced an increase in revenues of $384,041 to $2,622,699 for the three months ended March 31, 2011, compared to $2,238,658 for the three months ended March 31, 2010. Pipe sales increased by $215,604 for the three months ended March 31, 2011, compared to the same period in the prior year. The cost of steel products decreased, allowing Delta to be more competitive in the pipe market. More pipe was sold to end-users, affording Delta larger pipe orders with higher margins. Rig service revenues increased by $168,437 for the three months ended March 31, 2011, compared to the same period in the prior year. Rig service revenues have increased due to major maintenance on two rigs during 2010. Drilling activities have significantly increased during the three months ended March 31, 2011, compared to the same period in the prior year.

Revenues for Northeastern Plastics, Inc. ("NPI"), our wholly-owned subsidiary, during the three months ended March 31, 2011 were $1,601,859, compared to $1,488,557 for the three months ended March 31, 2011, representing an increase of $113,302, or 7.6%. NPI's revenues increased due to the addition of several new accounts and increased orders for existing accounts.

Cost of sales for the three months ended March 31, 2011 was $2,228,563, compared to $2,333,423 for the three months ended March 31, 2010. Our gross margins in 2011 were 47.3%, compared to gross margins of 37.4% in 2010. The increase in margins was primarily due to higher margins on pipe sales for Delta. Margins on pipe sales were 34% for the three months ended March 31, 2011, compared to 2% for the three months ended March 31, 2010. The increase in margins was due to the sale of high-priced pipe from inventory during the three months ended March 31, 2010.

Consolidated selling, general and administrative expenses for the three months ended March 31, 2011 were $2,952,444, compared to $3,112,802 in the prior year, representing a decrease of $160,358, or 5.2%, primarily due to a decrease in stock-based compensation. General and administrative expenses for the three months ended March 31, 2011 included non-cash stock-based compensation of $507,549, compared to $962,770 during the three months ended March 31, 2010, of which $847,750 was for the executive officers of Delta Seaboard in consideration for extending their employment agreements. This decrease in stock-based compensation was offset by increases in selling, general and administrative expenses incurred in support of higher revenues for NPI and Delta. Selling, general and administrative expenses for the three months ended March 31, 2011 included higher than normal legal costs related to the Botts lawsuit settlement and one-time costs incurred for Brenham Oil & Gas Corp. to become a public company.

Other expenses were $355,021 for the three months ended March 31, 2011, compared to other income of $650,197 for the three months ended March 31, 2010. Other expenses for the three months ended March 31, 2011 included non-cash unrealized losses on trading securities of $399,638. Interest expense was $119,354 during the three-month period ended March 31, 2011, compared to $126,825 during the same period in the prior year. Other income for the three months ended March 31, 2010 included the receipt of a $700,000 cash settlement for its claims in an insurance lawsuit.

Earnings before interest, taxes, depreciation and amortization ("EBITDA") and excluding the non-controlling interest and discontinued operations for the three months ended March 31, 2011 reflected a loss of $1,082,440, or $0.09 per share, compared to EBITDA from continuing operations and excluding the non-controlling interest for the three months ended March 31, 2010, which reflected a loss of $477,533, or $0.05 per share. We had a net loss attributable to American of $1,378,950, or $0.12 per share, for the three months ended March 31, 2011, compared to a net loss of $1,104,409, or $0.12 per share, for the same period in 2010. Our net loss from continuing operations for the three months ended March 31, 2011 included interest expense, taxes, depreciation and amortization, loss from discontinued operations and income attributable to non-controlling interest of $119,354, $8,491, $109,255, $59,410 and $29, respectively. Our net loss for the three months ended March 31, 2010 included interest expense, taxes, depreciation and amortization, loss from discontinued operations and loss attributable to non-controlling interest of $126,825, $13,780, $121,121, $365,150 and $343,334, respectively.

For more detailed information, please refer to our March 31, 2011 Form 10-Q filing with the SEC, which was filed on May 13, 2011.