AMERICAN INTERNATIONAL INDUSTRIES, INC.
601 CIEN STREET, SUITE 235, KEMAH, TX 77565-3077
Tel: (281) 334-9479 Fax: (281) 334-9508www.americanii.com email: firstname.lastname@example.org
AMERICAN INTERNATIONAL INDUSTRIES, INC. ANNOUNCES A $3.48M GAIN
ON THE SALE OF AMERICANíS 287 ACRE PROPERTY
AND THE SETTLEMENT OF CLAIMS WITH TEXAS COMMUNITY BANK, N.A.
Houston and Kemah, Texas Ė October 11, 2011 American International Industries, Inc. (OTCBB:AMIN) ("American" or the "Company") today announced the sale of its 287 acre property located in Dickinson, Texas, to Texas Community Bank, N.A. ("TXCB") as part of the settlement of lawsuit claims that American had against TXCB. American and TXCB ("the parties") have signed an agreement, whereby Americanís wholly owned subsidiary, American International Texas Properties, Inc. ("AITPI"), has sold the 287 acre property to TXCB for a consideration of $3,701,000. The agreement also includes a sales proceeds sharing arrangement which is described below. The settlement has resulted in a net gain of approximately $3,480,000 or $0.23 per share, which does not include the value of the sale option.
In accordance with the sales proceeds sharing arrangement, if the 287 acre property is sold by TXCB at a minimum price of $5,000,000 to an unrelated third party on or before December 31, 2013, American will receive the difference between the first $5,000,000 in sales proceeds and $3,100,000 or $1,900,000. In the event that the sales price of the 287 acre property exceeds $5,000,000 such amount over the $5,000,000 consideration shall be divided on a 50/50 basis between American and TXCB, in addition to the $1,900,000.
The $3,701,000 consideration that American received in the settlement is in the form of a secured note receivable which is fully collateralized by a 1st lien on 17 condominium units at the waterfront Dawn Condominium complex located in Galveston, Texas, having an appraised value of $3,901,500. A sale of all 17 units is currently being negotiated.
American International Industries, Inc. is a diversified holding company with holdings in Industry, Finance and Oil & Gas, and has a significant Real Estate portfolio, all in Houston, Texas and its surrounding areas. The vision of the Company is to further develop holdings in its core industries and plans to expand its interests in the energy sector through acquisition of existing companies, applying the financial resources and management expertise to foster the growth and profitability of the acquired businesses. The holding company serves as a financial and professional partner to the management of the subsidiaries. The role of the holding company is to improve each subsidiaryís access to capital, achieve economies of scale by consolidating administrative functions, and utilize the financial and management expertise of corporate personnel across all units. The Company is continuing to work with management of the subsidiary companies to improve revenues, operations and profitability.
This press release may contain forward-looking statements, including information about managementís view of the Companyís future expectations, plans and prospects, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "believes," "expects," "intends," "plans," "anticipates," or "may," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act, and are subject to the safe harbor created by the Act. Any statements made in this news release other than those of historical fact, about an action, event or development, are forward-looking statements. Factors that could cause actual results to differ materially from those that we may anticipate in each of our segments reflected by our subsidiaries' operations include, among others:, continued value of our real estate portfolio; the strength of the real estate market in Houston, Texas as a whole; the ability to expand its interests in the energy sector; increased levels of competition; the dependence upon financing, the rules of regulatory authorities and risks associated with any potential acquisitions. These statements involve known and unknown risks, uncertainties and other factors, which may cause the results of the Company, its divisions and concepts to be materially different than those expressed or implied in such statements. These risk factors and others are included from time to time in documents the Company files with the Securities and Exchange Commission, including but not limited to, its Form 10-Ks, Form 10-Qs and Form 8-Ks. Other unknown or unpredictable factors also could have material adverse effects on the Companyís future results. The forward-looking statements included in this press release are made only as of the date hereof. The Company cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, the Company undertakes no obligation to update these statements after the date of this release, except as required by law, and also takes no obligation to update or correct information prepared by third parties that are not paid for by the Company.
Investor Relations: Rebekah Ruthstrom at Tel: 281-334-9479 or email:email@example.com