S3 Investment Company Issues January 2008 Newsletter Featuring Successful Close of Dalian Chuming Transaction

DANVILLE, CA, Jan 15 (MARKET WIRE) --
S3 Investment Company, Inc. (PINKSHEETS: SIVC), a holding company with
two subsidiaries doing business in the China market, today released its January
2008 investor newsletter, which features an article on the recent close of a
transaction involving Redwood Capital client Dalian Chuming, a pork processing
company with USD $70.4 million in sales in 2006. Energroup Holdings
Corporation, a publicly traded Nevada corporation, successfully acquired Dalian
Chuming's parent company, and S3's Redwood Capital subsidiary, which provides
advisory services for quality China-based companies seeking entrance into the
U.S. public markets, acted as an advisor to Dalian Chuming for this acquisition.

A PDF version of the January 2008 newsletter can be viewed on the
company'swebsite at http://www.s3investments.com/media/news/.

In addition to reviewing the close of the Dalian Chuming acquisition, the
January newsletter also highlights a plan by the S3 Board of Directors to
dividend shares of the stock of Redwood Capital's reverse merger clients
toS3 shareholders of record at a future date. S3's Board discussed the
dividend plan at a December meeting held at the company's corporate
officesin Danville, California.

Redwood Capital is working with additional current clients to complete
acquisition
transactions with U.S. public companies, including Changzhou Haijie
Metallurgical
Machinery Manufacturing Co. Ltd. ("Haijie"), which had 2007 fiscal year
revenues (audited) that exceeded $21.7 million.

"The close of the Dalian Chuming acquisition is a milestone event for
Redwood
Capital and S3 Investment Company, and we are pleased to utilize the January
newsletter to bring further attention to this achievement," commented Jim
Bickel,
chairman and chief executive officer of S3. "The dividend plan is expected to
provide an opportunity to deliver value to S3 shareholders through a
percentage of the post-close equity that Redwood Capital is expected to receive
from each reverse merger transaction, so we are pleased to review it in the
newsletter as well.

"2008 is shaping up as an exciting year for S3 Investment Company, and we
look forward to communicating with our shareholders on a regular basis
throughout the year," Mr. Bickel added.

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

S3 Investment Company, Inc. (http://www.s3investments.com) is a holding
company
with two subsidiaries doing business in the China market. S3 holds a 100%
equity interest in Redwood Capital (http://www.redwoodcapinc.com), which assists
private Chinese
companies in accessing U.S. capital markets by utilizing a network of investment
banking relationships to achieve reverse merger transactions, and a 51% equity
interest in SINO UJE (http://www.sinouje.com), a non-stocking distributor of
medical and industrial high-tech products to markets throughout China.

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.

Contact:
Gemini Financial Communications, Inc.
A. Beyer
(951) 677-8073
Email Contact

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