SOURCE: Coastal Holdings, Inc.

May 23, 2006 10:52 ET

The OTC Value Watch Initiates Coverage on Coastal Holdings, Inc.

Issues Short-Term Price Target of $0.06

HOUSTON, TX -- (MARKET WIRE) -- May 23, 2006 -- Coastal Holdings, Inc. (PINKSHEETS: CSJJ), today announced that The OTC Value Watch has initiated coverage of their company. They confirm a positive outlook on CSJJ based on their analysis of the Company's projected growth and fundamentals. Their price target of $0.06 indicates a strong short-term outlook. The complete, unedited analyst report appears below.

MAY 2006

COASTAL HOLDINGS, INC.

(PINKSHEETS: CSJJ)

Investment Highlights

--  CSJJ recently announced a forward split of their stock which will
    enable them to raise the required capital to close on an acquisition of an
    OTC-BB company.
--  This forward split can mark one of the most exciting periods for a
    stock and often attracts a new group of followers to the market. Investors
    view forward splits as a sign that the long-term business outlook is
    favourable.
--  The Company has plans in place to invest in new, high-growth projects
    and profitable assets that will align with the Company's aggressive growth-
    by-acquisition strategy.
--  CSJJ has taken steps to fuel rapid expansion by filing for NASDAQ
    Bulletin Board status through a forward split.
    
Company Background

It is not often that investors are able to take advantage of a situation which is relatively new to the public domain, which has a management team with the talent laden in Coastal Holdings, Inc., (PINKSHEETS: CSJJ). This public entity is currently working to attain NASDAQ Bulletin Board status and is doing so through a forward split of 150:1. This forward split enables the company to raise the required capital to close on the acquisition of an OTC Bulletin Board which creates solid opportunities for the company to expedite its pending acquisitions and better position them to expand and enhance its business through upcoming mergers and acquisitions. To further expand their ability to build a solid company, Coastal Holdings is also looking forward to listing its shares on the European Stock Exchanges to get even more exposure. Coastal Holdings, through their business plan, is committed to creating and enhancing shareholder value and has taken important steps we feel in doing just that. This recent news is a significant corporate development that will help them get their story out. Small companies need to create their story, and then get it out. CSJJ's mission is to invest in select industries and technologies that are the wave of the future.

Forward Split

Coastal Holding, Inc's. management strongly believes in the potential in what this announced forward split will do for the company. It will help them expand their investor base, increase the stock's liquidity, and most importantly enable them to close on the acquisition of an OTC-BB company and ultimately attain OTC-BB status. The Company is filing the necessary information with NASDAQ Market Integrity to execute this Forward Split. CSJJ is a diversified holding company with its mission focused on high-growth projects and profitable assets that will compliment its aggressive growth strategy of targeting these developing companies. At present, CSJJ is primarily focused on the real estate, technology and natural resources sector. In these areas, the Company is committed to becoming a dynamic growth company in these exciting market sectors. In our opinion, it adds up to a solid opportunity for investors to purchase a future profitable growth opportunity for their investment portfolio. The company has all the combinations of ingredients now in place with this forward split and planned OTC-BB listing for long-term growth and at this level offers investors an excellent value. Speculative investors really should take a hard look at this company as well as long-term investors.

Investment Conclusions

Due to their business plan and the potential of this industry, Coastal Holdings, Inc. fits the intense criteria for potential growth over the short-to-intermediate term. CSJJ has an aggressive plan in place which is to become a leading growth company in the real estate, technology and natural resources industries. Coastal Holdings, Inc. has very specific goals in their business plan and a talented workforce to accomplish them in a timely manner. Together with its upcoming acquisitions, Coastal Holdings offers a diverse and rapidly expanding holding company, representing substantial sources of growing revenue and potential earnings. If the company remains consistent with its corporate objectives, Coastal Holdings, Inc. will continue to focus on key investments and initiatives that will contribute to long-term success and profitability.

OTC Value Watch prepared the information and opinions in this analyst report. For this analyst report, $2,500 was received from D Wetzel Consulting. This is not an offer to buy or sell securities nor should this report be construed as investment advice. Information or statements are subject to numerous risks and uncertainties that cause such statements not to prove accurate. The OTC Value Watch does not disseminate, nor is it liable for the dissemination of this analyst report by any third party.

Forward-Looking Statements

Please be advised that statements made herein, other than historical data, constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, potential volatility in the company's stock price, increased competition, customer acceptance of new products and services offered by the company, and uncertainty of future revenue and profitability and fluctuations in its quarterly operating results. Please also be advised that the company's stock is not currently registered with the Securities and Exchange Commission.

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