UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-K/A
                                (Amendment No. 1)

(Mark One)

|X| ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934

For the fiscal year ended December 31, 2007

                                       or

|_| TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 For the transition period from ________________ to
___________________________

Commission file number 000-29245

                           AIR INDUSTRIES GROUP, INC.
             (Exact name of registrant as specified in its charter)

         Delaware                                       20-4458244
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)

1479 North Clinton Avenue Bay Shore, New York              11706
(Address of principal executive offices)                 (Zip Code)

Registrant's telephone number, including area code: (631) 968-500

Securities registered pursuant to Section 12(b) of the Act:

      Title of each class              Name of each exchange on which registered
      -------------------              -----------------------------------------
           None                                               N/A

           Securities registered pursuant to section 12(g) of the Act:

                         Common Stock, $0.001 par value
                                (Title of class)

Indicate by check mark if the registrant is a well-known seasoned issuer, as
defined in Rule 405 of the Securities Act. Yes |_| No |X|

Indicate by check mark if the registrant is not required to file reports
pursuant to Section 13 or Section 15(d) of the Act. Yes |X| No |_|

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes |X| No |_|

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K (ss. 229.405 of this chapter) is not contained herein, and
will not be contained, to the best of registrant's knowledge, in definitive
proxy or information statements incorporated by reference in Part III of this
Form 10-K or any amendment to this Form 10-K |_|

<PAGE>

Indicate by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer, or a smaller reporting company. See
definitions of "large accelerated filer," "accelerated filer," and "smaller
reporting company" in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer |_|             Accelerated filer |_|
Non-accelerated filer |_|               Smaller reporting company |X|
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Act). Yes | | No |X|

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates computed by reference to the price at which the common equity
was last sold, or the average bid and asked price of such common equity, as of
the last business day of the registrant's most recently completed second fiscal
quarter. As of June 30, 2007, the aggregate market value of the common stock of
the registrant held by non-affiliates (excluding shares held by directors,
officers and others holding more than 5% of the outstanding shares of the class)
was $15,837,736, based upon a closing sale price of $0.27 as reported by
Bloomberg Finance.

Indicate the number of shares outstanding of each of the registrant's classes of
common stock, as of the latest practicable date. As of March 31, 2008, the
registrant had outstanding 69,262,227 shares of common stock.

DOCUMENTS INCORPORATED BY REFERENCE

None

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                                Explanatory Note

      This amendment is being filed to amend Item 14 to include Exhibits 23.1
and Exhibit 23.2 which are being filed with this amendment.

<PAGE>

                                     PART IV

Item 14. Exhibits, Financial Statement Schedules.

Documents filed as part of this Report:

      1. Financial Statements

      Our consolidated financial statements required by this Item are submitted
in a separate section beginning on page F-1 of this Report

      2. Financial Statement Schedules:

      None

      3. Exhibits

Exhibit No.  Description
-----------  -----------

2.1   Debtor's Amended Plan of Reorganization (incorporated by reference to
      Exhibit 2.1 of Registrant's Form 8-K, filed January 14, 2005.

2.2   Merger Agreement, dated as of November 14, 2005, among Gales Industries
      Incorporated, two of its stockholders, Gales Industries Merger Sub, Inc.,
      and Ashlin Development Corporation (incorporated herein by reference to
      Exhibit 10.1 of Registrant's Form 8-K report filed November 21, 2005).

3.1   Certificate of Incorporation of the Registrant (incorporated by reference
      to Exhibit 3.1 of Registrant's Form 8-K report, filed February 15, 2006).

3.2   Certificate of Amendment to Certificate of Incorporation changing our
      corporate name (incorporated by reference to Exhibit 3.1 of Registrant's
      Form 8-K report, filed July 2, 2007).

3.3   Certificate of Amendment to Certificate of Incorporation increasing the
      number of shares of our authorized capital stock (incorporated by
      reference to Exhibit 3.1 of the Registrant's Form 8-K report, filed April
      7, 2008.

3.4   By-Laws of the Registrant (incorporated by reference to Exhibit 3.2 of the
      Registrant's Form 8-K report, filed February 15, 2006).

4.2   Form of Convertible Promissory Note, dated November 30, 2005, in the
      amount of $332,631, from Gales Industries Incorporated (and assumed by the
      Registrant) to each of Peter Rettaliata and Dario Peragallo (incorporated
      by reference to Exhibit 4.2 of the Registrant's Form 8-K report, filed
      December 6, 2005).

4.3   Form of Warrant issued by the Registrant to GunnAllen Financial, Inc.
      after completion of the Offering (incorporated by reference to Exhibit 4.3
      of the Registrant's Form 8-K report, filed December 6, 2005).

4.4   Form of Warrant issued by Original Gales to Atlas Private Equity, LLC (and
      assumed by the Registrant) (Incorporated by reference to Exhibit 4.4 of
      the Registrants Form 10-KSB, filed April 17, 2006).

4.5   Form of Warrant issued by Gales Industries Incorporated (and assumed by
      the Registrant) to investors in the $45,000 Bridge Financing in or about
      August 2005 (incorporated by reference to Exhibit 4.5 of the Registrant's
      Form 8-K report, filed December 6, 2005).

4.6   Form of Warrant issued by Gales Industries Incorporated (and assumed by
      the Registrant) to investors in the $105,000 Bridge Financing in or about
      September, 2005 (incorporated by reference to Exhibit 4.6 of the
      Registrant's Form 8-K report, filed December 6, 2005).

4.7   Form of Warrant issued and to be issued to Porter, LeVay & Rose, Inc.
      (incorporated herein by reference to the exhibit of the same number to
      Registrant's Amendment No. 1 on Form SB-2/A, filed June 16, 2006).

<PAGE>

4.8   Certificate of Designation (incorporated by reference to Exhibit 4.1 to
      the Registrant's Current Report on Form 8-K filed with the SEC on April
      18, 2007).

10.1  Asset Purchase Agreement between the Registrant and TeeZee, Inc. dated
      October 15, 2004 (incorporated by reference of the Registrant's Report on
      Form 8-K, filed on January 14, 2005).

10.2  Stock Purchase Agreement, dated as of July 25, 2005, by and among Gales
      Industries Incorporated, Air Industries Machining, Corp., Luis Peragallo,
      Jorge Peragallo, Peter Rettaliata and Dario Peragallo (incorporated by
      reference to Exhibit 10.2 of the Registrant's Form 8-K report, filed
      December 6, 2005.

10.3  Secured Subordinated Promissory Note, dated November 30, 2005, in the
      amount of $962,000, from Gales Industries Incorporated (and assumed by the
      Registrant) to Luis Peragallo (incorporated by reference to Exhibit 10.3
      of the Registrant's Form 8-K report, filed December 6, 2005).

10.4  Security Agreement, dated as of November 30, 2005, by and between Gales
      Industries Incorporated (and assumed by the Registrant) and Luis Peragallo
      (incorporated by reference to Exhibit 10.4 of the Registrant's Form 8-K
      report, filed December 6, 2005).

10.5  Contract of Sale, dated as of November 7, 2005, by and between DPPR Realty
      Corp. and Gales Industries Incorporated for the purchase of the property
      known as 1480 North Clinton Avenue, Bay Shore, NY (incorporated by
      reference to Exhibit 10.5 of the Registrant's Form 8-K report, filed
      December 6, 2005).

10.6  Contract of Sale, dated as of November 7, 2005, by and between KPK Realty
      Corp. and Gales Industries Incorporated for the purchase of the property
      known as 1460 North Fifth Avenue and 1479 North Clinton Avenue, Bay Shore,
      NY (incorporated by reference to Exhibit 10.6 of the Registrant's Form 8-K
      Report, filed December 6, 2005).

10.7  Employment Agreement, dated as of September 26, 2005, by and between Gales
      Industries Incorporated (and assumed by the Registrant) and Michael A.
      Gales (incorporated by reference to Exhibit 10.7 of the Registrant's Form
      8-K report, filed December 6, 2005).

10.8  Employment Agreement, dated as of September 26, 2005, by and between Louis
      A. Giusto and Gales Industries Incorporated (and assumed by the
      Registrant) (incorporated by reference to Exhibit 10.8 of the Registrant's
      Form 8-K report, filed December 6, 2005).

10.9  Employment Agreement, dated as of September 26, 2005, by and among Gales
      Industries Incorporated (and assumed by the Registrant), Air Industries
      Machining, Corp. and Peter D. Rettaliata (incorporated by reference to
      Exhibit 10.9 of the Registrant's Form 8-K report, filed December 6, 2005).

10.10 Employment Agreement, dated as of September 26, 2005, by and among Gales
      Industries Incorporated (and assumed by the Registrant), Air Industries
      Machining, Corp. and Dario Peragallo (incorporated by reference to Exhibit
      10.10 of the Registrant's Form 8-K report, filed December 6, 2005).

10.11 Form of Placement Agency Agreement, dated as of September 26, 2005,
      between GunnAllen Financial Inc. and Gales Industries Incorporated
      (including Amendments No.1 and No.2 thereto, dated October 25, 2005 and
      November 10, 2005, respectively). (Incorporated by reference to Exhibit
      10.11 of Registrant's registration statement on Form SB-2, No. 333-131709,
      filed on February 9, 2006).

10.12 Registrant's 1998 Stock Option Plan (incorporated by reference to Exhibit
      10.18 of the Registrant's annual report on Form 10-KSB, filed April 12,
      2002).

10.13 2005 Stock Incentive Plan (incorporated by reference to Exhibit 10.14 of
      the Registrant's Form 8-K report, filed December 6, 2005).

10.14 Stock Option Agreement, dated as of September 26, 2005, by Gales
      Industries Incorporated (and assumed by the Registrant) with Michael A.
      Gales (incorporated by reference to Exhibit 10.15 of the Registrant's Form
      8-K report, filed December 6, 2005).

<PAGE>

10.15 Stock Option Agreement, dated as of September 26, 2005, by Gales
      Industries Incorporated (and assumed by the Registrant) with Louis A.
      Giusto (incorporated by reference to Exhibit 10.16 of the Registrant's
      Form 8-K report, filed December 6, 2005).

10.16 Stock Option Agreement, dated as of September 26, 2005, by Gales
      Industries Incorporated (and assumed by the Registrant) with Peter
      Rettaliata (incorporated by reference to Exhibit 10.17 of the Registrant's
      Form 8-K report, filed December 6, 2005).

10.17 Stock Option Agreement, dated as of September 26, 2005, by Gales
      Industries Incorporated (and assumed by the Registrant) with Dario
      Peragallo (incorporated by reference to Exhibit 10.18 of the Registrant's
      Form 8-K report, filed December 6, 2005).

10.18 Revolving Credit, Term Loan, Equipment Line and Security Agreement, dated
      as of November 30, 2005, by and between Air Industries Machining, Corp.,
      PNC Bank, National Association, as Lender, and PNC Bank, National
      Association, as Agent (incorporated by reference to Exhibit 10.19 of the
      Registrant's Form 8-K report, filed December 6, 2005).

10.19 Mortgage and Security Agreement, dated as of November 30, 2005, by and
      between Air Industries Machining, Corp. and PNC Bank (incorporated by
      reference to Exhibit 10.20 of the Registrant's Form 8-K report, filed
      December 6, 2005).

10.20 Long Term Agreement, dated as of August 18, 2000, between Air Industries
      Machining, Corp. and Sikorsky Aircraft Corporation (incorporated by
      reference to Exhibit 10.21 of the Registrant's Form 8-K report, filed
      December 6, 2005).

10.21 Long Term Agreement, dated as of September 7, 2000, between Air Industries
      Machining, Corp. and Sikorsky Aircraft Corporation (incorporated by
      reference to Exhibit 10.22 of the Registrant's Current Report on Form 8-K
      filed on December 6, 2005.

10.22 Stock Purchase Agreement, dated January 2, 2007, between Gales Industries
      Incorporated, Sigma Metals, Inc. ("Sigma Metals"), and George Elkins,
      Carole Tate and Joseph Coonan, the shareholders of Sigma Metals
      (incorporated by reference to Exhibit 10.01 of the Registrant's Form 8-K
      report, filed January 2, 2007).

10.23 Form of Subscription Agreement (incorporated by reference to Exhibit 10.1
      to the Registrant's Current Report on Form 8-K filed with the SEC on April
      18, 2007).

10.24 Form of Promissory Note (incorporated by reference to Exhibit 10.2 to the
      Registrant's Current Report on Form 8-K filed with the SEC on April 18,
      2007).

10.25 Agreement dated March 30, 2007 between Gales Industries Incorporated and
      James A. Brown (incorporated by reference to Exhibit 10.11 of Registrant's
      Annual Report on Form 10-KSB for the year ended December 31, 2006).

10.26 Restricted Stock Agreement dated March 30, 2007 between Gales Industries
      Incorporated and James A. Brown (incorporated by reference to Exhibit
      10.12 of Registrant's Annual Report on Form 10-KSB for the year ended
      December 31, 2006).

10.27 Stock Purchase Agreement, dated March 9, 2007, between Gales Industries
      Incorporated and John Gantt and Lugenia Gantt, the shareholders of Welding
      Metallurgy, Inc. (incorporated by reference to Exhibit 10.1 of the
      Registrant's Form 8-K report, filed March 14, 2007).

10.28 Amendment No. 1 dated August 2, 2007 to the Stock Purchase Agreement,
      dated March 9, 2007, between Gales Industries Incorporated and John Gantt
      and Lugenia Gantt, the shareholders of Welding Metallurgy, Inc.
      (incorporated by reference to Exhibit 10.1 of Registrant's Form 8-K/A
      report, filed August 3, 2007).

10.29 Separation Agreement and General Release dated March 16, 2007 between the
      Registrant and Michael A. Gales (incorporated by reference from the
      Registrant's Form 8-K filed on March 20, 2007).

10.30 7% Promissory Note of Registrant in the principal amount of $2,000,000 in
      favor of John and Lugenia Gantt(incorporated by reference from the
      Registrant's Form 8-K filed on August 26, 2007). .

<PAGE>

10.31 Escrow Agreement dated as of August 24, 2007 by and among the Registrant,
      John and Lugenia Gantt and Eaton & Van Winkle LLP, as escrow agent
      (incorporated by reference from the Registrant's Form 8-K filed on August
      26, 2007).

10.32 Registration Rights Agreement dated as of August 24, 2007 by and among the
      Registrant and John and Lugenia Gantt (incorporated by reference from the
      Registrant's Form 8-K filed on August 26, 2007).

10.33 Fourth Amendment to the Revolving Credit, Term Loan and Security Agreement
      dated as of November 30, 2005 with the financial institutions named
      therein (the "Lenders") and PNC Bank N.A., as agent for the Lenders, as
      amended, dated as of August 24, 2007 (incorporated by reference from the
      Registrant's Form 8-K filed on August 26, 2007).

10.34 Loan and Security Agreement dated as of August 24, 2007 among Air
      Industries Machining, Corp., Sigma Metals, Inc., Welding Metallurgy, Inc.
      and Steel City Capital Funding LLC incorporated by reference from the
      Registrant's Form 8-K filed on August 26, 2007).

10.35 Pledge Agreement dated as of August 24, 2007 by and among Air Industries
      Machining, Corp. and Sigma Metals, Inc., as pledgors, and Steel City
      Capital Funding LLC., as pledge incorporated by reference from the
      Registrant's Form 8-K filed on August 26, 2007).

10.36 Pledge Agreement dated as of August 24, 2007 by and among Air Industries
      Machining, Corp. and Sigma Metals, Inc., as pledgors, and John and Lugenia
      Gantt, as pledges (incorporated by reference from the Registrant's Form
      8-K filed on August 26, 2007).

10.37 Pledge Agreement dated as of August 24, 2007 by and between Air Industries
      Group, Inc., as pledgor, and Steel City Capital Funding LLC, as pledge
      (incorporated by reference from the Registrant's Form 8-K filed on August
      26, 2007).

10.38 Guarantor Suretyship Agreement dated as of August 24, 2007 between the
      Registrant and Steel City Capital Funding LLC (incorporated by reference
      from the Registrant's Form 8-K filed on August 26, 2007).

10.39 Stock Purchase Agreement, dated as of November 15, 2007, by and among Air
      Industries Group, Inc. and the shareholders of Blair Industries, Inc.,
      Blair Accumulators, Inc., H.S.M. Machine Works, Inc., and H.S.M. Machine
      Works, Inc. (incorporated by reference to Exhibit 10.1 to the Registrant's
      Current Report on Form 8-K filed with the SEC on November 15, 2007).

10.40 Letter of Clarification between the Company and Michael A. Gales dated May
      11, 2007 (incorporated by reference to Exhibit 10.2 to the Registrant's
      Quarterly Report on Form 10-QSB for the fiscal quarter ended March 31,
      2007).

10.41 Sublease agreement dated as of January 1, 2008 between Huttig Building
      Products, Inc. and the Registrant.

14.1  Code of Ethics (incorporated by reference to Exhibit 14.1 to the
      Registrant's Registration Statement on Form SB-2 (Registration No.
      333-144561) filed with the SEC on July 13, 2007 and declared effective on
      July 27, 2007).

<PAGE>

21.1  Subsidiaries

23.1  Consent of Goldstein Golub & Kessler LLP*

23.2  Consent of McGladrey & Pullen, LLP*

31.1  Certification of Chief Executive Officer pursuant to Rule 13a-14(a) under
      the Securities Exchange Act of 1934*
31.2  Certification of Chief Financial Officer pursuant to Rule 13a-14(a) under
      the Securities Exchange Act of 1934*
32.1  Certification of Chief Executive Officer pursuant to Section 906 of the
      Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350)*
32.2  Certification of Chief Financial Officer pursuant to Section 906 of the
      Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350)*

----------
* Filed with this amendment

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                                   SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the registrant has duly caused this amendment to the report to be
signed on its behalf by the undersigned, thereunto duly authorized.

                                   AIR INDUSTRIES GROUP, INC.
Dated: April 17, 2008

                                   By: /s/ Louis A. Giusto
                                      -----------------------
                                   Louis A. Giusto
                                   Chief Financial Officer and Treasurer
                                   (principal financial and accounting officer)