In case you hadn't noticed - I! LOVE! STREET FIGHTER!
Although i usually play with Ken I have been seen enjoying some hot Sagat action in the past, he has the most ridiculous uppercut in the game, it probably does the same amount of damage as a shoryuken but connecting with a full on tiger uppercut just feels so much more brutal. Until now Sagat has not been announced for Street Fighter 4, but earlier today some footage (shot on a mobile phone by the looks of it) showing off Muay Tai master Sagat made its way to youtube.
Capcom later confirmed on the Capcom Blog that Sagat and Balrog (M.Bison in Japan) will be in the final game, the characters are currently only available in select arcades around Japan but cannot be selected via the character select screen, they show up as opponents under certain conditions.
As well as the two new/old characters Capcom Blog also confirmed that three new locations have been added to the game; North America: Drive-In at Night, South Asia: Beautiful Bay and South America: Inland Jungle.