Using Extended SQLCmd Commands With T-SQL

Are the extended command always executed even if it is contained within an IF statement???

I created test.sql script as follows:

if '$(CreateA)' = 'Y'
begin
:out $(myDir)testY.log
print 'CreateA is yes'
end
else
begin
:out $(myDir)testN.log
print 'CreateA is no'
end

At the command line prompt enter:
sqlcmd -i test.sql -v CreateA="Y" MyDir="C:Temp"

I expected the file C:Temp estY.log to be created with the line "CreateA is yes", which occurred successfully. However, C:Temp estN.log was created as well, but it was empty.

I deleted the log files and executed the following sqlcmd statement:
sqlcmd -i test.sql -v CreateA="N" MyDir="C:Temp"

The C:Temp estN.log was created with the line "CreateA is no", but C:Temp estY.log was also created.

Is there any way to conditionally execute a sqlcmd extended commands?

Thanks!

N Camp