Redwood Group International (RDWD)

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NEWS --

DANVILLE, Calif., Oct 13, 2010 (GlobeNewswire via COMTEX) -- S3Investment
Company, Inc. (Pink Sheets:SIVC) today announced that the company's
RedwoodGroup International subsidiary has formed a risk investigation and evaluation
division as part of Redwood's overall company subsidiary expansion, which is
designed to increase its revenue streams and provide additional synergistic
services to clients in the greater China region, including Mongolia. The Redwood
subsidiary expansion has included the opening of new offices in Ulaanbataar,
Mongolia and Hong Kong as well as the establishment of the Redwood Asia Fund LP,
a private equity fund which was formed to facilitate faster capital response to
the financing needs of Redwood Capital clients and greater participation in
clients' future growth.

The purpose of the new Redwood division is to make risk evaluation for its
clients more accurate and objective; to assist investors in the selection of
high quality projects; to identify and control project risks; to lower the
project risks costs; and to speed up the investment and financing prog ress.

Through its many years experience engaged in the investment business, Redwood
Capital has accumulated significant knowledge in the areas of personal and
company background, credit and investment risk factor investigation and
evaluation, and has formed an investigation network throughout China with an
outstanding staff of investigators and risk consultants.

Redwood has developed very positive relationships and partnerships with related
departments of local government, industry associations, leading financial media,
financial organizations, and insurance organizations. It has built regional
cooperation teams throughout China, which include but are not limited to local
legal and accounting firms that further expand the company's network with
diversified information access. Redwood has also established long-term
relationships with many information database platforms, which broadens its
search database.

"The need for ris k investigation and evaluation services in China's investment
landscape is acute, and by providing scientific, systematic and objective
analysis of companies and their management teams, Redwood will allow investors
to make the most prudent investment decisions possible," stated Jim Bickel,
Chairman and CEO of S3 Investment Company. "Knowing China's business landscape
and having a network of government, industry, media, insurance and other key
contacts, positions this new Redwood division to be the obvious choice for
investors seeking only the best investment opportunities in Chinese companies.
This new division will also broaden Redwood's reach in the China investment
market, providing additional opportunities for all Redwood subsidiaries."

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when new press releases, investor newsletters, SEC filings or other information
is disclosed, please visit http://www.s 3investments.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 several
subsidiaries operating in the China 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

CONTACT: CONTACT: S3 Investment Company

Investor Relations

951-200-4107

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INDUSTRY KEYWORD: Business Services

SUBJECT CODE: INSURANC E

MEDICAL

INTERNATIONAL

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