AMERICAN INTERNATIONAL INDUSTRIES, INC.
601 CIEN STREET, SUITE 235, KEMAH, TX 77565-3077
Tel: (281) 334-9479 Fax: (281) 334-9508
www.americanii.com email: email@example.com
AMERICAN INTERNATIONAL INDUSTRIES, INC.
REPORTS 3rd QUARTER NET INCOME FROM CONTINUING OPERATIONS
OF $0.17 PER SHARE
Houston / Kemah, Texas Ė November 15, 2011 American International Industries, Inc. (OTCBB: AMIN) (the "Company" or "American") reported net income from continuing operations of $2,481,367, or $0.17 per share, for the three months ended September 30, 2011, compared to $184,727, or $0.01 per share, for the same period in 2010, representing an increase of $2,296,640. Net income attributable to American was $2,486,228 for the three months ended September 30, 2011, compared to a net loss attributable to American of $169,849 for the same period in 2010.
For the three months ended September 30, 2011, Americanís revenues from continuing operations were $7,346,982, compared to $9,458,245 for the three months ended September 30, 2010, representing a decrease of $2,111,263, or 22.3%. On September 30, 2011, Americanís subsidiary, American International Texas Properties, Inc., sold the 287-acre property located in Dickinson, Texas, to Texas Community Bank, N.A. ("TXCB") as part of a settlement of lawsuit claims of American against TXCB, resulting in a gain on sale of assets of $3,476,824.
Americanís total equity increased by $2,799,403, or 20.4%, to $16,526,052 at September 30, 2011, from $13,726,649 at December 31, 2010.
During the three months ended September 30, 2011, Delta Seaboard International, Inc. ("Delta"), a 46.4% owned subsidiary, had revenues of $2,941,919, representing an increase of $517,419, or 21.3%, compared to $2,424,500 for the three months ended September 30, 2010. Deltaís rig service revenues increased by $551,994 for the three months ended September 30, 2011, compared to the same period in the prior year, as a result major maintenance on two rigs during 2010, which rigs became fully-operational in 2011.
Revenues for Northeastern Plastics, Inc. ("NPI"), our wholly-owned subsidiary, were $4,404,716 during the three months ended September 30, 2011, compared to $7,032,493 for the three months ended September 30, 2010, representing a decrease of $2,627,777, or 37.4%, which decrease was primarily due to lower revenues a principal customer. NPI has added several new customers to replace this business and expects to add additional medium to large customers during the last quarter of 2011.
Americanís cost of sales for the three months ended September 30, 2011 was $4,461,083, compared to $6,860,318 for the three months ended September 30, 2010, representing a decrease of $2,399,235, or 35.0%, which decrease was due to lower revenues at NPI, partially offset by an increase in cost of sales associated with higher pipe sales at Delta.
Margins improved to 39% for the three months ended September 30, 2011 compared to 27% for the three months ended September 30, 2010, which increase was primarily due to a change in the overall revenue mix. NPI's revenues represented 60% of total revenues for the three months ended September 30, 2011, compared to 74% in 2010. The margins on NPI's revenues are historically lower than the margins on our other revenue segments. Delta experienced higher margins on pipe sales.
Selling, general and administrative expense ("S,G&A") for the three months ended September 30, 2011 was $3,380,699, compared to $2,251,973 for the three months ended September 30, 2010, representing an increase of $1,128,726, or 50.1%. The increase in S,G&A was primarily due to non-cash stock-based compensation for the three months ended September 30, 2011 of $513,319, compared to $137,193 for the three months ended September 30, 2010, in addition to share-based compensation of $399,418 for the receipt of property in exchange for restricted shares of common stock during the three-month period ended September 30, 2011.
For more detailed information, please refer to our September 30, 2011 Form 10-Q filing with the SEC, which was filed on November 14, 2011.
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American International Industries, Inc. is a diversified holding company of subsidiaries with interests in the automotive and consumer retail industry, real estate, oil well site supply and services, intellectual property, and the acquisition of petroleum resources in the United States, coupled with international exploration. The vision of the Company is to expand its interests in the energy sector through the acquisition of existing businesses, and apply its financial resources and management expertise to improve each subsidiaryís 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 Tel: 281-334-9479 email: firstname.lastname@example.org