Redwood Group International (RDWD)

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NEWS --

DANVILLE, Calif., Sep 13, 2010 (GlobeNewswir e via COMTEX) -- S3Investment
Company, Inc. (Pink Sheets:SIVC) today announced that the company's wholly owned
Redwood Capital subsidiary has opened an office in Ulaanbaatar, Mongolia, which
is expected to allow the company to work more closely with clients that operates
in the Mongolia market as well as explore additional emerging opportunities the
country.

Mongolia has recently gained attention as a new frontier for foreign private
equity investment, particularly in the areas of natural resources and mining.
Mongolia has $5 billion economy with 8% average annual Gross Domestic Product
growth. As one of the fastest growing markets in the world, its key economic
driver is natural resources. Mongolia is estimated to need up to $30 billion of
investment to develop its natural resources.

Earlier this year, Redwood Capital, which assists private Chinese companies in
accessing the North American capital markets by achieving reverse m erger and
financing transactions, signed a new client that operates in Mongolia's mining
sector. Redwood Capital has attended Mongolia investment events and is also
exploring additional opportunities in the country.

"Redwood Capital has identified Mongolia as an important emerging global market,
and the new office in Ulaanbaatar will allow the company to better assist
existing clients and explore new opportunities with companies that operate in
Mongolia," said S3 Investment Company Chairman and CEO Jim Bickel. "Establishing
a physical presence in this market is an important step for Redwood Capital, and
we expect to update client activities in Mongolia in the near term."

Mr. Bickel and Matthew Totty, Director of Research and Investment Banking for
Redwood Capital, were recently interviewed by Frontier Securities COO Yuji
Iwasaki, and the interview is available for viewing at

. Frontier S ecurities, a member of the
Mongolian Stock Exchange, is the first local Mongolian securities firm with a
global network and international expertise. Frontier has been given full-service
securities related licenses by the Financial Regulatory Committee (FRC) of
Mongolia and has brokerage, dealing and underwriting licenses that are regulated
by FRC.

In the interview, Mr. Bickel and Mr. Totty discuss the new Ulaanbaatar office
and the opportunities presented by the Mongolia market.

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 Chi na market. Redwood Capital, Inc. assists
private Chinese companies in accessing the North American capital markets by
utilizing a network 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.

This news release was distributed by GlobeNewswire, www.globenewswire.com

SOURCE: S3 Investment Company, Inc.


By Staff
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