AMERICAN INTERNATIONAL INDUSTRIES, INC.

(OTCBB: "AMIN")

601 CIEN STREET, SUITE 235, KEMAH, TX 77565-3077

Tel: (281) 334-9479 Fax: (281) 334-9508

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

FOR IMMEDIATE RELEASE

AMERICAN INTERNATIONAL INDUSTRIES, INC.

ANNOUNCES RECORD REVENUES FOR 2005

AND UPDATES REPORT ON ITS 287 ACRE WATERFRONT PROPERTY

Kemah, Texas – May 12, 2006 American International Industries, Inc. (OTCBB: AMIN)

The Company’s Chief Financial Officer, Mr. Gary Woerz, today announced that the Company’s Annual Report on Form 10-KSB for the year ended December 31, 2005, will report record revenues of $25,476,264, an increase of 52.7% from the prior year. The Company has confirmed with its new independent auditors, Thomas Leger & Co., L.L.P., that the 2005 Form 10-KSB will be filed on Monday, May 15, 2006.

Mr. Woerz also announced that the Company has received a progress report from Lakeland Partners, the intended purchaser of the Company’s 287 acres waterfront undeveloped real estate located in Dickinson, Galveston County, TX. The transaction provides for cash consideration of $16,000,000 payable to the Company at time of closing. Lakeland Partners has advised the Company that it has completed a part of their due diligence, including required studies, projections and planning necessary for the development of the waterfront property. The Company stated that it believes, based upon the updated reports from Lakeland Partners, that the closing of the sale could be expected to occur within the next 90 to 120 days.

American International Industries, Inc. is a holding company with operating subsidiaries in an industrial/commercial segment and an oil and gas segment. The Company also has real estate acquired for resale. The company’s holdings are in Houston, TX and surrounding areas. The vision of the Company is to develop holdings in various industries through acquisition of existing companies, applying its financial resources and management expertise, to foster the growth and profitability of its subsidiaries’ businesses. The holding company serves as a financial and professional partner to the management its subsidiaries. The role of the holding company is to improve each subsidiary’s 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 each of its the subsidiary companies to improve revenues, operations and profitability.

Private Securities Litigation Reform Act Safe Harbor Statement:

The matters discussed in this release contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended, that involve risks and uncertainties. All statements other than statements of historical information provided herein may be deemed to be forward-looking statements. Without limiting the foregoing, the words "believes", "anticipates", "plans", "expects" and similar expressions are intended to identify 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 without limitations, continued value of our real estate portfolio, the strength of the real estate market in Houston, Texas as a whole, continued acceptance of the Company's products and services, increased levels of competition, new products and technology changes, the dependence upon financing, third party suppliers and intellectual property rights, the rules of regulatory authorities and risks associated with any potential acquisitions. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis, judgment, belief or expectation only as of the date hereof.

Investor Relations: Rebekah Ruthstrom Tel: 281-334-9479 email: amin@americanii.com