Redwood Group International (RDWD)

[snowcloud]

NEWS --

DANVILLE, CA, Mar 01, 2010 (MARKETWIRE via COMTEX) -- S3 Investment Company,
Inc. (PINKSHEETS: SIVC) today commented on the newest client for its wholly
owned Redwood Capital subsidiary and the client's potential in China's rapidly
growing cattle industry. Beef consumption in China is up 300% from 10 years ago,
and current beef consumption is only one-tenth of that in developed countries,
which demonstrates that the Chinese beef market has significant opportunities
for growth in the coming years.

Redwood Capital, which assists private Chinese companies in accessing the North
American capital markets by achieving reverse merger transactions, is invested
in the long-term success of its client companies, since it is partially
compensated for its services with common stock of the client company. The value
of the stock payments received from these transactions is reflected in the
company's consolidated financial reports posted at www.otcmarkets.com.

The new Redwood Capital client is engaged in the research, development and
production of cattle and beef products in China, and the client's goa l is to
become the country's leading brand of premium cattle and beef products. The
company's projected 2010 revenues are up 50% over the 2009 fiscal year with 50%
gross profit margins. 2009 revenues were up over 100% as compared with the same
period for 2008.

The client is currently expanding its facilities to increase production capacity
and adding staff to its sales network with a goal to significantly increase
domestic sales and exports. The company possesses unique advantages over its
competition, including research and development cooperation with Chinese
universities, participation in the development of a national cattle synthesis
standard, and a first class production and quality control system, which
produces safe, green and non-polluting products.

China's government has put in place special tax and subsidy policies that
benefit agriculture/cattle industries, including no-interest loans and land-use
rights. In the 4t h quarter of 2008, the Chinese government invested RMB50
billion in the domestic agriculture industry and has also invested RMB4000
billion recently to encourage growth in domestic demand. The government is also
actively promulgating a plan for "safe meat" and is expected to raise the
proportion of slaughtering automation to over 70% of all meat and actively
enforce authorized slaughtering and quarantine.

Additional information about the client company, including audited financial
information, will be once the planned listing and funding transaction is
completed.

"We are very enthusiastic about this new Redwood Capital client and look forward
a successful listing effort in the U.S. public markets," said S3 Investment
Company Chairman and CEO Jim Bickel. "As with any transaction such as this,
there are no guarantees, but we believe that this client is well-prepared for a
listing in North America and is positioned for long-term su ccess as a public
company."

Over the past 12 months, Redwood Capital has participated in successful reverse
merger and equity financing transactions for Chinese companies, including Boyuan
Construction Group, now traded on the TSX Venture Exchange under the symbol BOY
and China listed on the Over-the-Counter Bulletin Board under the symbol CHNC.

To sign up to receive information by email directly from S3 Investment Company
when new press releases, investor newsletters, SEC filings or other information
is disclosed, please visit http://www.s3investments.com/investors/.

About S3 Investment Company, Inc.

S3 Investment Company, Inc. (http://www.s3investments.com) and its Redwood Group
International subsidiary are focused on facilitating the success of two
subsidiaries operating in the China market. Redwood Capital, Inc. assists
private Chinese companies in accessing the North American capital markets by
utilizing a networ k of investment banking relationships to achieve reverse
merger transactions. For more information, please visit
http://www.redwoodcapinc.com. Redwood Medical, Inc. assists companies seeking to
import and distribute Western medical technologies and products into the China
market.

Any statements contained herein related to future events are forward-looking
statements and are made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Readers are cautioned not to place
undue reliance on forward-looking statements. S3 Investment Company, Inc.
undertakes no obligation to update any such statements to reflect actual events.





Contacts

For S3 Investment Company

Gemini Financial Communications, Inc.

951-200-4107

Email Contact





SOURCE: S3 Investment Company




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