BMW Manufacturing Announces 2010 Export Value: More than $4 Billion Annually

Posted on behalf of BMW Manufacturing Co.

Spartanburg, S.C. - BMW Manufacturing Co. announced today that the export value of its passenger vehicles through the Port of Charleston in 2010 totaled $4.42 Billion. According to data from the U.S. Department of Commerce, the value of BMW exports confirms the company’s Spartanburg facility as the largest vehicle exporter from the U.S. to non-NAFTA countries. In 2010, over 110,000 vehicles were exported from its South Carolina plant.

BMW’s plant in Spartanburg currently produces approximately 1,000 vehicles each day and is the exclusive exporter of passenger vehicles through the Port of Charleston to more than 130 global markets. In 2011, the plant is projected to increase annual capacity by 50% to about 240,000 vehicles and will continue its strong export activity, as this will mark the first full year of production of the new X3 and initial demand for the product is extremely favorable.

"BMW vehicles manufactured in South Carolina were a major contributor to the company’s success in 2010," said Josef Kerscher, president of BMW Manufacturing Co. "Consistently strong, global demand for the X5 and X6, and now the all-new X3 to global markets, has led to a net increase in our export volume through the port."

The plant originally began vehicle production in 1994. In the last 17 years, BMW has produced over 1.7 million vehicles and, today, exports about 70% of the BMW X3 and X5 Sports Activity Vehicles as well as the X6 Sports Activity Coupe.

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Contact: Max K. Metcalf
864-989-5333
max.metcalf@bmwmc.com

Three Firms Submit Proposals for Charleston Cruise Terminal Design

Charleston, SC - Charleston is closer to a new cruise terminal on the northern end of Union Pier Terminal. Three nationally-recognized teams submitted proposals for the design of the new terminal, which is scheduled for completion in 2012.

All three firms have successfully converted existing marine cargo structures into modern cruise facilities and have partnered with local architects. Firms responding to the request for proposals were:

Design work is expected to begin in March, after a team is selected and approved by the South Carolina State Ports Authority (SCSPA) Board. Construction could begin this year, with a targeted opening date by the third quarter of 2012.

"We're pleased to have such qualified and accomplished firms proposing to work on this project," said Jim Newsome, president and CEO of the SCSPA. "Renovating an existing structure as our new cruise terminal will greatly improve the cruise experience in Charleston, while also complementing the character of Charleston. The cruise business is a significant economic force for both the maritime and tourism industries in South Carolina," said Newsome.

Charleston's new cruise terminal will be located farther north on the SCSPA's Union Pier property within an existing structure. It will replace the current cruise terminal that opened in 1973.

Shifting the cruise operation north is a key element of the Union Pier Concept Plan, which was developed with significant public involvement (http://www.UnionPierPlan.com). Moving the cruise operation will also shift cargo operations off Union Pier, freeing up more than 35 acres for world-class redevelopment and providing unparalleled public access to the waterfront.

The cruise terminal design project covers all architectural and engineering plans, contract documents, costs and schedules necessary to convert the existing building into a cruise passenger terminal. The project will include the terminal building, parking, security, berth, baggage handling and other amenities necessary to efficiently handle one cruise vessel at a time.

Funds are in hand to renovate the building and deliver the new terminal. In December, the SCSPA issued $170 million in new revenue bonds to fund several major projects, including the cruise facility.

The cruise business in the Charleston area supported more than 400 jobs and $37 million in total economic output in 2010, including $16 million in wages and $3.5 million in tax revenues. The Port of Charleston is expected to handle 90 cruise ships in 2011.

Riley, President Discuss Charleston Deepening

Charleston, SC - City of Charleston Mayor Joseph P. Riley Jr. and Jim Newsome, president and CEO of the South Carolina State Ports Authority spoke with media at the Charleston International Airport today regarding work being done in Washington, D.C. to deepen Charleston Harbor. Mayor Riley met with President Barack Obama in the White House on Thursday, stressing the importance of Charleston Harbor Deepening to jobs, robust exports and the national economy.

Mayor Riley was in Washington, D.C. for the U.S. Conference of Mayors Annual Meeting and was one of 14 mayors invited to meet with the President to discuss how the Administration can help create jobs and spur the economy. He focused on the Charleston Harbor Deepening Project.

"I could think of no better way the Administration could help this city, this state and this region than by deepening Charleston harbor," said Mayor Riley. "To expand exports and create jobs, the United States must have a true 50-foot harbor in the Southeast, capable of handling the biggest and most modern ships."

Mayor Riley highlighted rapidly expanding exports and the Administration's goal of doubling exports. He noted that the Southeast is home to more exporters than any other region in the country. "These exports aren't just commodities. They represent jobs for hard working men and women who support their families."

Mayor Riley also noted that exports tend to be heavier than imports, weighing down the ships that carry them. At the same time, the ships serving world trade are getting larger.

"We greatly appreciate Mayor Riley's leadership on Charleston harbor deepening, a strategic priority for our port that has broad, statewide support from the business community," said Newsome. "Thousands of companies rely on the Port of Charleston, and more than 260,000 South Carolinians work in trade-related jobs."

This past summer the Corps determined a federal interest in Charleston Harbor Deepening and concluded, "Preliminary studies at other nearby harbors show that Charleston Harbor would probably be the cheapest South Atlantic harbor to deepen to 50 feet."

Charleston already has the region's deepest channels and handles post-Panamax ships actually drawing up to 48 feet on the tides today. The next deepening will open the port to all classes of vessels under any tidal condition.

More than 300 ships too big for the Panama Canal have already called Charleston, four years before the $5-billion canal expansion is completed. Nearly 80 percent of the ship capacity on order is for ships too big for the existing canal.

Last month, Mayor Riley joined nearly 100 other mayors from South Carolina in signing a letter to the President about the importance of Charleston deepening, asking to "fire up the dredges.""

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FOR MORE INFO:
Barbara Vaughn, Director
Media Relations/Public Information
Phone: (843) 724-3746 Fax: (843) 724-3734
Email: vaughnb@charleston-sc.gov

Byron Miller
Director, Marketing, Public Relations & Planning
South Carolina State Ports Authority
e-mail: bmiller@scspa.com
office: 843-577-8197
mobile: 843-514-9397

South Carolina Port Volume Up 17% in 2010

Charleston, SC - The Port of Charleston closed 2010 with nearly 17 percent increase in container volume, capping a year marked by new shipping services, statewide business initiatives and the arrival of the biggest ships on the East Coast.

December marked the twelfth consecutive month of year-over-year growth for the South Carolina State Ports Authority (SCSPA), according to results released at today's regular SCSPA Board meeting. Charleston's container volume in December totaled 62,405 pier containers, up 9.7 percent from the same month in 2009 (56,877 pier containers). Container volume was up 16.9 percent for the calendar year, with 793,090 containers handled in 2010 versus 678,715 pier containers in 2009.

"While we have tempered expectations on near-term volume growth, South Carolina's ports are positioned to continue the upward trend in 2011," said Jim Newsome, president and CEO of the SCSPA.

Breakbulk tonnage at the ports of Charleston and Georgetown was up 27 percent for the calendar year, with 876,852 pier tons handled at the two ports in 2010. Non-containerized cargo is up 36.5 percent for the first six months of the fiscal year.

The SCSPA welcomed several new shipping services during 2010, including MSC's Golden Gate Service, CSAV's AMEX service, Hoegh Autoliners' Middle East service a new breakbulk service with Liberty Global Logistics.

Ocean carriers continue to take advantage of Charleston's deep water. In December, the SCSPA welcomed its 300th post-Panamax ship to Charleston and has handled 35 calls of ships of 8,000-TEU capacity or greater. Approximately 80 percent of the container ships on order are post-Panamax and, by end 2013, 50 percent of the capacity in operation will be post-Panamax, according to published reports.

"This underscores the need for deepwater harbors such as Charleston ahead of the opening of the expanded Panama Canal locks in 2014," said Newsome.

Several new business initiatives are helping to drive volume across the docks. This year, the South Carolina Department of Transportation approved an increased overweight permit for cargo traveling in both refrigerated and dry shipping containers. Under the new permit, trucks of up to 100,000 pounds gross vehicle weight may travel on South Carolina roadways, aiding in the transport of traditionally heavy export goods. Additionally, the SCSPA launched a new marketing effort targeting transload cargo like cotton and forest products at local rail-served warehouses.

While currently enjoying the deepest water in the Southeast, the SCSPA continues to pursue federal funding for the next harbor deepening project to take Charleston's channels even deeper. This summer the U.S. Army Corps of Engineers determined a federal interest in the project and noted that Charleston is likely the least expensive port in the region to reach 50 feet.

In addition to a new terminal operating system that will be implemented in the coming months, the SCSPA is streamlining its container operations by moving to a single-gate operating system effective Tuesday.The changes will bring numerous benefits to port users, including uniform processes and operations across all container terminals, extended gate hours and access to the SCSPA's information systems for all port customers, all while boosting capacity by about 10 percent.

About the South Carolina State Ports Authority
The South Carolina State Ports Authority, established by the state's General Assembly in 1942, owns and operates public seaport facilities in Charleston and Georgetown, handling international commerce valued at more than $62 billion annually while receiving no direct taxpayer subsidy. An economic development engine for the state, port operations facilitate 260,800 jobs across South Carolina and nearly $45 billion in economic activity each year. For more information, visit www.scspa.com.

Scoular Opens Charleston Grains Transload Facility

Charleston, SC - The South Carolina State Ports Authority (SCSPA) today welcomed The Scoular Company’s newest operation to the Port of Charleston. The company has established a grain handling facility in Charleston and could export more than 25 million pounds of product annually.

The operation provides new opportunities for exporting South Carolina products, while at the same time generating new business and supporting jobs across the port community.

With the new operation, grain from farms across the region will be trucked to the Wando Welch Terminal and loaded into ocean shipping containers for the overseas voyage to countries in Asia, Europe and other parts of the world. Products such as soybean, winter wheat and corn are increasingly moving in international shipping containers.

“Moving products grown in South Carolina efficiently from field to ship to market is a huge competitive advantage,” said Hugh Weathers, Commissioner of the S.C. Department of Agriculture. “Our ports are vital to the state’s agricultural industries, and opening new markets to our products is great for the economy.”

“This operation will serve increasing export demand and generate significant new business through the port,” said Jim Newsome, president and CEO of the SCSPA. “We’re proud that The Scoular Company, a leading agricultural marketing company, has expanded its presence in Charleston.”

“The Scoular Company is using this new transload operation in Charleston to provide grain producers in the region higher prices based on improved access to international markets,” said John Gill, The Scoular Company’s Senior Merchant for Southeastern Markets. “The Port of Charleston offers a wide array of ocean carrier services to markets across the globe, and the SCSPA’s team was very aggressive and solutions-oriented in working with us.”

“Scoular is a world-class operation that will complement our existing services and allow us to build on the Port of Charleston’s deepwater advantage,” said Paul McClintock, the SCSPA’s senior vice president and chief commercial officer.

Charleston has the region’s deepest shipping channels, with vessels sailing at actual drafts of up to 48 feet on the tides. Deep channels are important because the Southeast’s leading exports - such as grain, paper and poultry - are heavy products that push ships down deeper in the water. As ocean carriers increasingly use bigger ships, they require deeper channels to realize the economic benefits of these larger vessels. Today, four post-Panamax ships a week call the Port of Charleston.

The SCSPA has a number of specific cargo initiatives to increase business through South Carolina ports, including this new transload operation, a new 100,000-lb. overweight permit and local rail transload operations. Charleston container volume is up 17.5 percent through the first 11 months of 2010.

About the SCSPA: The South Carolina State Ports Authority, established by the state's General Assembly in 1942, owns and operates public seaport facilities in Charleston and Georgetown, handling international commerce valued at nearly $45 billion annually while receiving no direct taxpayer subsidy.  An economic development engine for the state, port operations facilitate 260,800 jobs across South Carolina and $44.8 billion in economic activity each year.  For more information, visit www.scspa.com.

SCSPA Continues to Pursue Federal Matching Funds to Initiate Feasibility Phase of Post 45-ft. Charleston Harbor Deepening

Charleston, SC - While Congress continues to debate a resolution for the Fiscal Year 2011 appropriations process, the Charleston Harbor Deepening project received some good news late last week. The Senate Appropriations Committee joined with its House counterpart in supporting the next phase in Charleston Harbor Deepening, a project that will provide the first fully capable post-Panamax harbor in the U.S. Southeast.

As media reports noted throughout the fall, the Senate Appropriations Committee initially did not designate funding for Charleston's deepening project in its draft Fiscal Year 2011 U.S. Army Corps of Engineers (Corps) Funding Bill. However, due to months of work by Senator Lindsey Graham, the Committee designated $379,000 to allow the Corps' Charleston District to continue the study phase. Complementing Senator Graham's efforts in the Senate, Congressmen Clyburn, Brown and Spratt ensured the project was listed in the House Corps funding bill.

"Charleston Harbor Deepening has now been endorsed in both the U.S. House and the Senate," said Bill Stern, chairman of the South Carolina State Ports Authority (SCSPA). "While the final outcome of Fiscal Year 2011 appropriations will continue to be debated through March of next year, this action demonstrates that both chambers support Charleston Harbor Deepening. The project is very much on track to move forward in 2011."

The entire study could cost $5 million or more, an amount that is equally cost-shared between the Federal government and the SCSPA. The overall deepening project is estimated to cost around $300 million, a cost that would also be shared.

The SCSPA will continue to work with members of the South Carolina Congressional Delegation, the Corps and the White House to ensure that funding for the deepening project is provided and that the project continues to be a priority in Washington. Nearly 100 mayors of cities and towns across South Carolina recently wrote the President in support of this important national economic development project.

"To handle larger ships and growing exports, the U.S. desperately needs a Southeast port that can deliver 50 feet of water," said Jim Newsome, president & CEO of the SCSPA.

This summer the Corps determined a federal interest in Charleston Harbor Deepening and concluded, "Preliminary studies at other nearby harbors show that Charleston Harbor would probably be the cheapest South Atlantic harbor to deepen to 50 feet."

Charleston already has the region's deepest channels and handles post-Panamax ships drawing up to 48 feet on the tides today. The next deepening will open the port to all classes of the world's most modern vessels under any tidal condition. Current channel depths at low tide are 47 feet in the entrance channel and 45 feet in the inner harbor.

More than 300 ships too big for the Panama Canal have already called Charleston, four years before the $5-billion canal expansion is completed. Nearly 80 percent of the ship capacity on order is for ships too big for the existing canal.

Charleston Port Volume Up 14% in November

Charleston, SC - The Port of Charleston’s container volume increased more than 14 percent in November, the 11th consecutive month of growth.

Charleston’s container volume in November totaled 65,251 pier containers, up 14.4 percent from the same month in 2009 (57,039 pier containers). Through the first 11 months of 2010, Charleston container volume is up 17.5 percent. Container volume over the past five months was up 15.9 percent.

“A recovering economy and new ocean carrier services boosted our business,” said Jim Newsome, president and CEO of the South Carolina State Ports Authority (SCSPA). “As we predicted, volume is softening from previous months as we reach the end of the peak season. But Charleston has a number of specific cargo initiatives, such as the new 100,000-lb. overweight permit for containerized freight in South Carolina, which will bear fruit moving ahead.”

A new, weekly North Europe joint service of CMA CGM and CSAV commenced in Charleston on November 1, while the South Carolina Department of Transportation increased overweight permit limits to 100,000 lbs. gross vehicle weight for containerized goods.

Non-containerized cargo in November was double the budgeted projection, due to triple-digit percentage increases in breakbulk cargo. Total breakbulk volume in November was 128,386 tons. South Carolina’s breakbulk pier tonnage is up 18 percent year-over-year from January to November and 19 percent for the first five months of the fiscal year.

Operational changes coming down the pike will allow the SCSPA to better serve its diverse business segments. In early 2011, the SCSPA will shift roll-on/roll-off operations to Columbus Street Terminal, where a $20-million improvement project is nearing completion to greatly enhance auto carrier operations in Charleston.

This move will allow the SCSPA to commence the redevelopment of Union Pier Terminal, beginning with a new cruise terminal at the northern end of the facility. A request for proposals for the design of the cruise terminal was released last week, and the terminal will be completed in 2012.

In addition, the SCSPA continues to pursue federal funding for the next phase of Charleston’s post-45 foot harbor deepening project. A U.S. Corps of Engineers study found that Charleston is likely the least expensive port in the region to reach 50 feet.

Port Issues RFP for New Cruise Terminal Design

Charleston, SC - The South Carolina State Ports Authority (SCSPA) today issued a request for proposals for the design of a new cruise ship terminal on the northern end of the SCSPA's Union Pier property. The new cruise terminal is scheduled for completion in 2012 and would replace the existing passenger terminal.

"With the proceeds of revenue bonds issued earlier this month, we have the funding to meet our urgent need to provide better facilities for our cruise ship customers," said SCSPA President and CEO Jim Newsome.

"The next step is to select a design firm," Newsome said. "Building a new terminal at the northern end of Union Pier will result in relocating 200 cargo ships a year, along with considerable rail and truck traffic, off that property. This opens the possibility of making much of this 63-acre waterfront property available for public and other uses."

Newsome acknowledged the contribution of both individuals and organizations to the SCSPA's planning process for Union Pier. "The plan we are pursuing is a direct result of the constructive input we have received from throughout the community."

The first step in the Union Pier Concept Plan (www.UnionPierPlan.com), which was endorsed by Charleston City Council in September, is to develop the new cruise terminal on the north end of Union Pier Terminal in an existing warehouse.

To perform the design work, the SCSPA has solicited proposals from three nationally recognized firms who have successfully designed and provided construction oversight of a modern cruise passenger terminal by retrofitting and refurbishing existing marine cargo facilities in the United States.

The lead firm must demonstrate past successful design experience in the City of Charleston, which can be met by teaming up with a local firm.

The design proposals are due January 26, with the firm selected and beginning work in March 2011. After selection and design, construction could begin within a year, with a targeted opening date by the third quarter of 2012.

The selected firm will develop all the architectural and engineering plans, contract documents, costs and schedules necessary to convert the existing building into a cruise passenger terminal. The project will include the terminal building, parking, security, berth, baggage handling and other amenities necessary to efficiently handle one cruise vessel at a time with capacity of up to 3,450 passengers.

Charleston hosts a number of port-of-call visits and is the home port for the Carnival Fantasy, which began year-round cruises from the port in May and will make 68 embarkations in 2011.

The cruise business in the Charleston area supported more than 400 jobs and $37 million in total economic output in 2010, including $16 million in wages and $3.5 million in tax revenues.

South Carolina Completes Truck Survey

Charleston, SC - Continuing its efforts to reduce port-related air emissions, the South Carolina State Ports Authority (SCSPA) has completed the first truck survey in the Southeast and is collaborating on a regional program aimed at helping truck owners replace the oldest trucks.

The truck survey, which was compiled by Wilbur Smith Associates, represents the first comprehensive look at trucks serving a major port in the region.

The survey examined fleet age and trip frequency for trucks working in the Port of Charleston, with emphasis on quantifying the population of the oldest trucks - those with engine model years 1993 and older.

The survey revealed that a relatively small number of trucks - the true local drayage fleet - do most of the work in the port.

Of the nearly 13,000 individual trucks that visited the port’s terminals during a 12-month period, 20 percent of the trucks moved about 90 percent of the cargo. Of the trucks that visited the port at least 52 times a year, about 10 percent (or 262 trucks) were pre-1994 model year trucks.

To reduce emissions and assist truck drivers in replacing their pre-1994 trucks with newer, more efficient rigs, the SCSPA is collaborating with the Coalition for Responsible Transportation (CRT) and the Environmental Defense Fund (EDF) on a program that would cover ports across the region.

“Both the Coalition for Responsible Transportation and the Environmental Defense Fund have had great success working with ports on truck programs that make economic and environmental sense for our industry,” said Jim Newsome, president and CEO of the SCSPA.  “We’ve been pleased to collaborate with them and we look forward to formulating a voluntary, regional approach.”

The multi-dimensional program, which could be implemented as soon as next year through a mix of public and private funding, could involve one or more of the following elements:

The right kind of truck replacement program is good for the environment and for the truck owner as well.  Newer trucks increase the owner’s productivity and profitability by reducing maintenance and fuel consumption.

Importantly, the program would help make upgraded equipment attainable and financially viable for all truck owners, both companies and independent owner-operators.

“Local truckers are a vital component of the maritime transportation industry,” said Newsome. “It is essential that we have a healthy, profitable local drayage fleet.  This program will provide a means to upgrade equipment, cut operating costs, while realizing environmental benefits for the Charleston area.”

“Trucking represents an essential part of commerce,” said James Jack, executive director of CRT, a national coalition of leading cargo owners, trucking companies, ocean carriers and clean truck manufacturers. “Our goal is to engage stakeholders from the public and the private sector to work together to reduce diesel pollution at our ports. The Port of Charleston demonstrated its leadership early on in the process and will be instrumental to the program’s overall success.”

“Collaboration among groups creates solutions that mean real strides in reducing pollutants in our communities,” said Dr. Elena Craft of EDF, a national environmental non-profit that partners with business, governments and communities to find practical environmental solutions. “The SCSPA’s efforts are encouraging, and we look forward to working with the Port of Charleston on this endeavor.”

The truck program will continue the SCSPA’s successful collaboration with the local transportation industry on environmental projects. In two Diesel Emissions Reduction Act (DERA) grant rounds, the SCSPA developed more than $5.2 million in programs to cut emissions and fuel consumption.  These projects installed cleaner, more fuel-efficient engines in port equipment (such as cranes and harbor craft) and helped trucking companies and owner-operators upgrade more than 110 trucks, improving fuel utilization while reducing air emissions.

The SCSPA’s “Pledge for Growth” environmental program has been recognized for its environmental leadership by numerous organizations from within and outside the industry, including the EPA, the American Association of Port Authorities, Inbound Logistics magazine and the Maritime Association of South Carolina.

The truck survey is available here.

98 Mayors Endorse Charleston Harbor Deepening

Charleston, SC - Nearly 100 mayors representing cities and towns across South Carolina are urging President Obama to fund the next step in Charleston's post-45 foot harbor deepening project. The letter notes the port's tremendous contribution to jobs across the region, and underlines the value of Charleston deepening to U.S. taxpayers.

In the letter the mayors ask President Obama to include funding in the Administration's budget for the U.S. Army Corps of Engineers to continue with the Charleston project.

A study completed earlier this year by the Corps determined a federal interest in the next Charleston Harbor deepening project. In fact, the Corps report said, "Preliminary studies at other nearby harbors show that Charleston Harbor would probably be the cheapest South Atlantic harbor to deepen to 50 feet."

The mayors highlight that the United States needs a true deepwater Southeast port to remain competitive in international trade. "We must offer ocean carriers a 50-foot harbor to import and export their goods in the northeast, mid-Atlantic and southeast," the letter states.

Furthermore, the mayors affirm that of ports in the Southeast region deepening Charleston Harbor is the best value as the federal government fulfills its commitment to invest in maritime infrastructure.

The letter states, "Charleston has been deemed by the Corps of Engineers to be the best value for the taxpayer as the federal government invests in harbors and shipping channels in a region where approximately 26,000 companies in two dozen states utilize our port facilities. This fact cannot be overlooked as you and the Congress are challenged daily by the mounting federal debt and the need to balance the budget."

The 98 mayors signing the letter represent cities and towns large and small, rural and urban, and with local port-related industries in manufacturing, agricultural and distribution clusters. In South Carolina, nearly $12 billion in wages and more than 260,000 jobs are related to the port.

"We are extremely appreciative of and humbled by the mayors' support for Charleston deepening, particularly Charleston Mayor Joe Riley's leadership," said Jim Newsome, president and CEO of the South Carolina State Ports Authority. "Investing in port infrastructure gives companies across the region efficient access to global markets and supports hundreds of thousands of good jobs at a time when we desperately need them."

The mayors close the letter stating, "Our state and our port stand ready to complete necessary studies to construct this deepening project. "We simply need the money to plan the project and fire up the dredges."

Charleston today offers the deepest channels in the region, moving ships actually drafting up to 48 feet of water on high tide. Expansion of the Panama Canal will bring even more big ships to the East Coast, as companies and industries seek to improve efficiency and reduce costs.

Click here to read the letter.

About the South Carolina State Ports Authority
The South Carolina State Ports Authority, established by the state's General Assembly in 1942, owns and operates public seaport facilities in Charleston and Georgetown, handling international commerce valued at nearly $45 billion annually while receiving no direct taxpayer subsidy." An economic development engine for the state, port operations facilitate 260,800 jobs across South Carolina and $44.8 billion in economic activity each year. For more information, visit www.scspa.com.

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