HOUSTON and KEMAH, Texas, July 28, 2014 (GLOBE NEWSWIRE) -- American International Industries, Inc. (OTCBB:AMIN) ("American" or the "Company")
Mr. Daniel Dror, Chairman of the Board and CEO of American International Industries, Inc. and American International Texas Properties, Inc. (AITPI) today announced the completion of the sale of 174 Acres in Waller County Texas by AITPI to a real estate developer. The total consideration received for the property is $3,350,000. The terms of the sale were as follows: $1,350,000 was paid in cash at time of closing and a $2,000,000 first lien secured promissory note due in two years, with interest of 5% per annum, paid monthly. The property was purchased for development and the Company believes it will receive full payment of the $2,000,000 at the start of construction, which should be much earlier than two years.
The Company purchased the 174 Acre property in 2007 for $1,640,000 and with the personal guarantee of Mr. Daniel Dror, the Company borrowed the full amount of the consideration from the Trustmark Bank of Houston. The Company made a profit of $1,700,000 before closing costs. Due to a substantial tax loss carry forward, the Company believes the tax liability (if any) on this transaction will be very limited. At time of closing all the debt owed to the Trustmark Bank by the Company in the amount of $1,160,000 was paid in full.
The Company's land holdings are now substantially debt free.
Houston Texas and surrounding suburbs are experiencing a major real estate boom and expansion. The Company believes this trend will continue.
American International Industries, Inc. is a diversified holding company of subsidiaries with interests in the automotive and consumer retail industry, real estate, 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 subsidiary's revenues, operations and profitability.
Forward-Looking Statements: This press release may contain forward-looking statements, including information about management's view of the Company's 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 Company's 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.
CONTACT: Investor Relations: Rebekah Ruthstrom at Tel: 281-334-9479 or email: firstname.lastname@example.orgSource:American International Industries, Inc.