InterAmerican Acquisition Group Inc. Announces Filing of its S-4 Registration Statement, Financial Statement Information and CFO Appointment for its Acquisition Target

                 - Quarterly Revenue Reaches $25.4 million

              - Quarterly Net Income Increases to $8.5 million

                      - Backlog Grows to $396 million

                - Yong Xu Appointed Chief Financial Officer



    SAN DIEGO, Aug. 14 /Xinhua-EMWNews/ -- InterAmerican

Acquisition Group Inc. (OTC Bulletin Board: IAQG, IAQGU, IAQGW) ("IAG"),

together with its BVI subsidiary, CNC Development Ltd. ("China New Cities

Development"), announced the filing on August 12, 2008 of a registration

statement on Form S-4 with the Securities and Exchange Commission. The

registration statement includes audited financial results for the fiscal

year ended December 31, 2007 and unaudited financial results for the three

months ending March 31, 2008 for IAG's announced acquiree, Sing Kung,

Limited ("Sing Kung"), highlights of which are presented below:






                    Three Months ending March 31, 2008

                             (million)



    Revenue                    $25.4



    Net income                 $8.5



    Stockholders' equity       $15.1

    Sing Kung is an emerging leader in the planning, construction and

financing of urban infrastructure in China. IAG previously announced the

execution of a definitive stock purchase agreement pursuant to which IAG

will acquire 89.6% of the common stock of Sing Kung. The surviving company

will be China New Cities Development.



    Sing Kung's project revenue backlog, which is the total value of all

open contracts less the revenue recognized from these contracts, has grown

dramatically during 2008, signaling continued expansion of its business.

Sing Kung's project revenue backlog as of August 8, 2008 reached $396

million, up from $60 million on December 31, 2007. Based on contract

schedules, $191 million will be recognized as revenues prior to the end of

2009, with the balance scheduled to be performed in subsequent years.



    To increase its capability to meet reporting and compliance

requirements following the consummation of the prospective business

combination with IAG, Sing Kung appointed Yong Xu as Chief Financial

Officer, effective August 1, 2008. It is anticipated by both companies that

Mr. Xu will continue as CFO of China New Cities Development following

consummation of the proposed transaction. Mr. Xu is a citizen of China and

a Certified Public Accountant in the United States. He previously worked

for Deloitte & Touche LLP in its United States audit practice, as well as

having held positions as a senior financial executive for GWA Capital

Partners LLC and Metro-Goldwyn Mayer Inc. in the United States. Mr. Xu

holds an MBA from Pepperdine University and BA from Shanghai International

Studies University.



    Additional information regarding IAG, Sing Kung and China New Cities

Development is contained in the Form S-4 registration statement that IAG

and China New Cities Development jointly filed with the Securities and

Exchange Commission on August 12, 2008. A copy of the filing in its

entirety is available at http://www.sec.gov .



    A registration statement relating to these securities has been filed

with the Securities and Exchange Commission but has not yet become

effective. These securities may not be sold, nor may offers to buy be

accepted, prior to the time the registration statement becomes effective.

This press release shall not constitute an offer to sell or the

solicitation of an offer to buy, nor shall there be any sale of these

securities in any state in which such offer, solicitation or sale would be

unlawful prior to registration or qualification under the securities laws

of any such state.



    This press release may contain forward-looking statements within the

meaning of the Private Securities Litigation Reform Act of 1995, about IAG,

Sing Kung and their combined business after completion of the proposed

acquisition. Forward-looking statements are statements that are not

historical facts. Such forward-looking statements, based upon the current

beliefs and expectations of IAG's and Sing Kung's management, are subject

to risks and uncertainties, which could cause actual results to differ from

the forward looking statements. The following factors, among others, could

cause actual results to differ from those set forth in the forward-looking

statements: business conditions in China; continued compliance with

government regulations; legislation or regulatory environments,

requirements or changes adversely affecting the businesses in which Sing

Kung is engaged; cessation or changes in government incentive programs:

fluctuations in customer project schedules and requirements; intensity of

competition from other providers of urban and infrastructure planning and

construction; general economic conditions; geopolitical events and

regulatory changes, as well as other relevant risks detailed in the filings

with the Securities and Exchange Commission, and the registration statement

on Form S-4 of IAG and its BVI subsidiary, CNC Development Ltd. (SEC File

No. 333-152977 and 333-152977-01, respectively). The information set forth

herein should be read in light of such risks. Neither IAG nor Sing Kung

assumes any obligation to update the information contained in this press

release.



    In connection with the pending transaction, IAG and China New Cities

Development filed with the SEC a registration statement on Form S-4

containing a proxy statement/prospectus for the stockholders of IAG. The

stockholders of IAG are urged to read the proxy statement/prospectus, when

it is available, as well as all other relevant documents filed or to be

filed with the SEC, because they will contain important information about

Sing Kung, China New Cities Development, IAG and the proposed transaction.

The final proxy statement/prospectus will be mailed to stockholders of IAG

after the registration statement on Form S-4 is declared effective by the

SEC. IAG stockholders will be able to obtain the registration statement

(and proxy materials contained therein) and any other relevant filed

documents for free at the SEC's website ( http://www.sec.gov ). When

effective, these documents can also be obtained without charge from IAG by

directing a request to Ana Ponce, c/o InterAmerican Group, 2918 Fifth Ave.,

Suite 209, San Diego, CA 92103.



    China New Cities Development, IAG and their respective directors and

officers may be deemed to be participants in the solicitation of approvals

from IAG stockholders in respect of the proposed transaction. Information

regarding IAG's participants will be available in the proxy statement

/prospectus. Additional information regarding the interests of such

participants will be included in the registration statement containing the

proxy statement/prospectus.






    For more information, please contact:



     William Morro, CEO

     InterAmerican Acquisition Group Inc.

     Tel:   +1-619-298-9883

     Email: [email protected]



     Richard Sinkin, COO

     InterAmerican Acquisition Group Inc.

     Tel:   +1-619-298-9883

     Email: [email protected]