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Payback’s A Bitch

The other day, a friend asked me if it was really so bad for the government to run a corporation, and added that they do some of that over in Britain. My answer was, “Yes, yes it is.” For a whole host of reasons of which I can think (and feel free to add your own), but ONE on which I want to focus now.

And that is this: Political payback. That’s right, targeting all those people through the takeover of the corporation, and screwing them to the wall. In this case, the title says it all: Furor Grows Over Partisan Car Dealer Closings. From the get-go, this doesn’t sound good. Here’s what’s happening:

Evidence appears to be mounting that the Obama administration has systematically targeted for closing Chrysler dealers who contributed to Repubicans. What started earlier this week as mainly a rumbling on the Right side of the Blogosphere has gathered some steam today with revelations that among the dealers being shut down are a GOP congressman and closing of competitors to a dealership chain partly owned by former Clinton White House chief of staff Mack McLarty.

The basic issue raised here is this: How do we account for the fact millions of dollars were contributed to GOP candidates by Chrysler who are being closed by the government, but only one has been found so far that is being closed that contributed to the Obama campaign in 2008?

Florida Rep. Vern Buchanan learned from a House colleague that his Venice, Florida, dealership is on the hit list. Buchanan also has a Nissan franchise paired with the Chrysler facility in Venice.

“It’s an outrage. It’s not about me. I’m going to be fine,” said Buchanan, the dealership’s majority owner. “You’re talking over 100,000 jobs. We’re supposed to be in the business of creating jobs, not killing jobs,” Buchanan told News 10, a local Florida television station.

Buchanan, who succeeded former Rep. Katharine Harris in 2006, reportedly learned of his dealership’s termination from Rep.Candace Miller, R-MI. Buchanan owns a total of 23 dealerships in Florida and North Carolina.

Well, gee - what could POSSIBLY be wrong about government taking over corporations? So much for that bi-partisanship of which Obama spoke. Uh huh. Oh, but wait - it gets better:

Also fueling the controversy is the fact the RLJ-McCarty-Landers chain of Arkansas and Missouri dealerships aren’t being closed, but many of their local competitors are being eliminated. Go here for a detailed look at this situation. McClarty is the former Clinton senior aide. The “J” is Robert Johnson, founder of the Black Entertainment Television, a heavy Democratic contributor.

A lawyer representing a group of Chrysler dealers who are on the hit list deposed senior Chrysler executives and later told Reuters that he believes the closings have been forced on the company by the White House.

“It became clear to us that Chrysler does not see the wisdom of terminating 25 percent of its dealers. It really wasn’t Chrysler’s decision. They are under enormous pressure from the President’s automotive task force,” said attorney Leonard Bellavia.

RedState.com’s Josh Painter has a useful roundup of what has been found so far by a growing number of bloggers digging into what could be a very big story indeed. Also, see my column on this issue and how it fits into the larger context dubbed by the Examiner’s Michael Barone as “gangster government.”

As part of Chrysler’s bankruptcy agreement with the White House, the company plans to close roughly a quarter of its 3,200 dealerships. Lists of the dealerships being cut and those retaining their Chrysler franchises can be found here in pdf format. Many dealers contend the criteria being used to determine which dealerships survive is not clear and that many of those that are being closed in fact are profitable businesses, despite the current recession.

Mark Tapscott, author of the above article, does have an update available at the link above, but basically stands by his point here.

Tapscott’s point is a mighty frightening one. Remember when we thought BUSH was the most vindictive president we had ever seen? Obama is making him look like freakin’ Mother Theresa by comparison. THIS is exactly the problem with the White House taking over private companies, with OUR money, I might add. That mean-spirited, childish, churlish, arrogant vindictiveness toward anyone who didn’t support HIM. This isn’t a president, this is a dictator.

And THAT is un-Constitutional. Just add it to the list…

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Comment by Portia Elizabeth | 2009-05-28 20:42:42

This could be a very big story. I saw an interview with a dealer on Long Island who was profitable and couldn’t understand how he made the list. I’d very much like to see a comparison of profitable/nonprofitable dealerships v. contributors to That One.

Comment by TeakWoodKite | 2009-05-28 22:06:14

I would like to see a pairing of Google political donation maps and closing dealerships.

 
 

Comment by Dani | 2009-05-28 21:08:08

I’m not one bit surprised he would do something like this, if it is indeed true.

It’s going to be a long 4 or 8 years.

Comment by politicalidentitycrisis | 2009-05-29 10:11:23

Please God, 4 years max! I am praying that he doesn’t even make that 4 year mark. There is such a thing as impeachment, etc., some things he is doing seem illegal and if a POTUS is a criminal then I would certainly hope we don’t allow him to finish his term!

Comment by A-Nony-Mouse | 2009-05-29 21:28:37

Are you being serious? Does George W. Bush not ring a bell?

Comment by Politicalidentitycrisis | 2009-05-31 00:23:15

I’m dead fucking serious man! G.W. stayed in office because the dems are wussies and wouldn’t pursue anything. I am praying that there is a true patriot in any party who will not sit quietly and watch America go down in flames under Mr. Ineligible!

If the dems had had a spine, we may have gotten rid of old Bush/Cheney much sooner. They didn’t. Dems care nothing about laws.

 
 
 
 

Comment by Craig Della Penna | 2009-05-28 21:13:29

…and another penny drops. Betcha this goes nowhere in the MSM, there’ll probably be some concocted ‘crisis’ created to take over whenever this looks like it might grow legs.

But there seems to be some trouble in Obamadise: Ted Rall has a piece on CommonDreams.org calling for Obama to resign http://www.commondreams.org/view/2009/05/28-3

Ah, if wishing made it so…

 

Comment by CG | 2009-05-28 21:16:30

Interesting post RRR Amy. I for one will be interested in what is turned up regarding the “gangster government.” That list to which you are referring is getting mighty long. We saw his vindictiveness when he and his gangsters threatened black Congress persons who supported Hillary, with threats to finance opponents to unseat them for not supporting him. Though I do not have access to the details, perhaps that vindictiveness was applied in the case of Plame and Wilson since they originally supported Hillary. I don’t understand why Obama would not allow them the opportunity to move the case forward.

Hope all is well with your mother.

Comment by Rabble Rouser Reverend Amy | 2009-05-28 21:28:14

That was EXACTLY of what I was thinking, CG - how the Black Congressional Caucus went after people like John Lewis, threatening if he didn’t support Obama, they would get people to run against them - then they did ANYWAY because he didn’t support Obama from the get-go. And on it went from there. For all those people who really believed Obama was not a part of the Chicago machinery, they will have a rude awakening - if they are willing to be awakened, that is.

ABSOLUTELY abt Valerie Plame Wilson - I tell you, he really is another Bush…

I don’t have high hopes that the MSM will deal with it, but I am willing to be delightfully surprised!

Thanks, CG - I appreciate your good wishes. For the time being, she is stable, though time will tell what happens in the long run.

 
 

Comment by SHV | 2009-05-28 21:46:08

Shouldn’t be to hard to answer the question. A few thousand total owners of dealerships, matched against FEC donation lists. The Landers, McClarty situation looks very suspicious.

 

Comment by whoisjohngalt | 2009-05-28 21:59:09

Protection money has always been a part of the Chicago culture. Everybody on this website is probably in danger of saying something that might offend the current administration. I think this will be my last post here. Note that you are required to submit your email address with your name you invented. Also, Homeland Security can probably trace what ever you post back through your IP address. If you are a big pain in the ass, then they will probably have the IRS audit you. Good bye.

Comment by TeakWoodKite | 2009-05-28 22:16:32

Hey Seattle …don’t go in the closet…one of is in there.

(Signs)

 
 

Comment by TeakWoodKite | 2009-05-28 22:03:16

Three words.

Pay to play.

Rev Amy, I know this is a silly question but are the minutes and “testimony” from the “President’s automotive task force”?

Lutz, who remains a strategic advisor to GM until year end, said the task force has fostered valuable discussion of trade and automotive regulations.

“I fully expect and I hope that it will be replaced with some sort of permanent structure that facilitates the continuation of this dialogue,” Lutz said in a speech here today to the Automotive Press Association

or

An investment company run by the head of the Obama administration’s auto task force has been accused of paying more than $1 million to an aide to New York’s former comptroller in a bid to win a lucrative deal with the state pension fund.

Steven Rattner was an executive at the Quadrangle Group, a private equity firm, until he left this year to lead President Barack Obama’s efforts to fix the U.S. auto industry.

The White House said it was standing behind Rattner.

Can you say Rezko?

I went ten “google” pages deep with variations on a theme “meeting minutes President’s automotive task force” and nada… I saw they took a “trip” to Detroit… (Detroit can kiss the car industry gabye)

With out getting out one of Seattle Moss’s pitchforks, I can’t get the hay gone fast enough to see if there are any. And with the VAT and being labeled a “pre-criminal” will there be any kites left?

 

Comment by mel | 2009-05-28 22:21:53

This is typical Chicago politics, just read up on how District Captaiins like MO’s father operated and his rewards for doing so as well as those that MO’s father got onside with the chosen candidates. And the ill fortunes of those who didn’t do the District Captains biddings!

Chicago Politics has now gone viral in the good ole US of A!

Comment by politicalidentitycrisis | 2009-05-29 11:29:50

And I begged people all last year not to let it happen! Never before had I told people how they should vote, but in this particular case, after learning about Rezko, and what I believe Obama’s role was, I knew that if we brought this crap national, there would be no going back! I just want to cry. Only a few very good friends listened. They trusted my judgement and went on to vet Obama for themselves and were horrified at what they learned! The rest all still voted for him, although some, reluctantly. Those people all believed that if Obama were involved, it would be all over the news and I was just believing in internet rumors!

Obama is our worst nightmare in this country!

 
 

Comment by listing starboard | 2009-05-28 22:24:27

I commented on this 2 days ago and got denigrated by a liberal commenter and basically called an idiot. Looks like Maxine Waters will get her wish for more minority dealerships.

Comment by Rabble Rouser Reverend Amy | 2009-05-29 07:58:30

Sorry that happened to you, Listing - you are not an idiot! Apparently, you were right on top of things, right? :-) Don’t let them get to you - some of us are able to be both liberal AND thinking people, all at the same time!

 
 

Comment by Ellen D | 2009-05-28 23:17:21

There is a difference between government RUNNING a corporation and government TAKING OVER a private corporation and I think you have ably illustrated that here.

 

Comment by A-Nony-Mouse | 2009-05-28 23:51:52

Read this -> http://www.fivethirtyeight.com/2009/05/news-flash-car-dealers-are-republicans.html

It’s important to really research something before making an accusation like this because when it’s proven to be absolute bunk (as it is in this case) it harms the reputation of your other arguments as well just by association.

Comment by politicalidentitycrisis | 2009-05-29 11:36:30

Ok, but of those donors, Hillary seemed to get more donations than Obama. I want to see fivethirtyeight do a breakdown of just exactly how many dealers getting closed donated to Obama. Just to be clear. It seems Hitler junior is getting even for dealers not supporting “obama”. That is the pay to play way.

Comment by A-Nony-Mouse | 2009-05-29 14:53:49

No, actually it doesn’t seem that way. At all. There’s no statistical evidence to back that up. Car dealerships are overwhelmingly owned by Republicans so of course if car dealerships are closed down (for other reasons) a majority of them will be Republican owned. *sigh* Basic logic here.

Comment by politicalidentitycrisis | 2009-05-29 14:59:25

You botbrain. I looked at your link with my own eyes. Very little Obama listed in the donations.

Comment by A-Nony-Mouse | 2009-05-29 21:31:44

Um. That’s my point! Very few car dealership owners donated to Obama in the first place (which is not surprising because of the type of people who tend to own car dealerships.) So thus it’s not surprising nor a sign of any political shenanigans that a great majority of those closed down didn’t donate to Obama. Closed dealerships are a subset of dealerships. This is just BASIC logical thinking here. It really disturbs me that so many people can’t see things that are this obvious.

Comment by Politicalidentitycrisis | 2009-05-31 00:29:50

Well, genious, since you believe it had nothing whatsoever to do with people who did not support Obama being closed, why don’t you or your fivethirtyeight love interest do the figures of exactly which dealerships were closed down and how many of thise donated to Obama, Clinton or McCain. Let us know. I’ll be waiting. Until then, STFUA!

 
 
 
 
 
 

Comment by JozefAL | 2009-05-28 23:59:05

Let’s look at this “scandal” from a different perspective, shall we?
What if it turns out that this is true, and a majority of ALL Chrysler dealerships (not just the ones facing closure) donated money to the GOP? Would it not ALSO be likely that when the company announces dealership closings that a majority of those being closed would have donated to the GOP?
IOW, if 75% of 1000 (or 750) dealerships donated money to the GOP, and the company has to close 25% of those 1000 (or 250) dealerships, it would only stand to reason that at least 75% of those dealerships to be closed would have been GOP donors. (I’ve seen some suggestions that Chrysler dealerships donated to the GOP by a fairly large margin–see http://www.fivethirtyeight.com/2009/05/news-flash-car-dealers-are-republicans.html for some figures.)
I can understand that none of these dealers necessarily want to close, but those closings were agreed to by THE CORPORATION. If the fucking corporate heads hadn’t agreed to those closings, then the company would have been much more likely to close down completely and these whiny dealership owners would have ALL been forced to close.
Further is it possible for someone to explain this comment: “It became clear to us that Chrysler does not see the wisdom of terminating 25 percent of its dealers. It really wasn’t Chrysler’s decision. They are under enormous pressure from the President’s automotive task force,” said attorney Leonard Bellavia. Chrysler doesn’t understand the WISDOM of terminating the dealers? As I read it, Bellavia believes that the government is right that Chrysler should terminate some of the dealerships and Chrysler’s management doesn’t understand this. No. If it had been all left up to Chrysler, they would’ve gone to DC begging for gov’t money with NO STRINGS ATTACHED, then turned around and laid off thousands of workers AND closing “unprofitable” dealerships. And does anyone think that Chrysler would be offering some sort of “explanation” for the actions that it took on its own accord? (Anyone who believes that must be on Chrysler’s Board of Directors, which explains why the company’s in the crapper.)
Sorry, folks, but I’m not buying this “conspiracy”. It just smacks of the usual right-wing scare tactics which are even more reprehensible since the GOP doesn’t give a shit about workers or consumers (and never has) when it’s been in “charge” of the country. (Remember the GOP authorized that $40 million boondoggle called Whitewater and the Starr Report in the 1990s and then authorized those hundreds of millions of dollars IN CASH that simply disappeared in Iraq just half a decade ago.)

Comment by Rabble Rouser Reverend Amy | 2009-05-29 11:19:14

Right wing? You know, I have to say, I am pretty tired of having that hurled around when facts are brought forth that stand in opposition to something Obama is doing. Every time someone would bring up something negative abt ACORN, for example, Obama people would yell it was a right-wing talking point. Or Rezko. Or Ayers. Or connections to the Chicago machine. Or, I could go on for days.

Let me be clear: I am not now, nor ever HAVE been, right wing. I have said over and over that I have been on the FAR LEFT SIDE of the Dem. Party my entire life (until I left it in May, 2008).

You may see this as a “conspiracy,” but if the facts of the matter are that there is a disproportionate number of dealerships being closed that are owned by people who did not support Obama, doesn’t that say anything to you?

Soon, there will be an interview by Greta Van Susteren of a dealer who shows all the ways in which those making these deterrminations are doing so based on an incomplete equation. Maybe you’ll buy that.

Comment by StPaulite | 2009-05-29 18:06:30

You may see this as a “conspiracy,” but if the facts of the matter are that there is a disproportionate number of dealerships being closed that are owned by people who did not support Obama, doesn’t that say anything to you?

All it says is that the owners of car dealerships are predominantly Republican, which is no surprise at all! Suburban and rural small business owners — that’s ground zero for GOP identification. I’d be surprised if 1 in 10 car dealer owners donated to Democrats in the first place. If a bunch of them have to be shut down, most of them are going to be Republicans, because most car dealers are Republicans.

It’s like shutting down a bankrupt basketball team, and then complaining that you’re targeting tall people.

Imagine a GOP governor oversaw a massive budget failure in a public university system and had to fire a bunch of the faculty and staff. Of course it would look bad, those folks are, demographically, going to be predominantly liberal and Democratic.

It wouldn’t make it a conspiracy, nor “payback.”

Painful as it is, this all still seems kind to Chrysler and the auto industry, considering what could happen if we let them go down in flames on their own. Then ALL the dealers would be screwed, not just some.

Comment by Elizabeth | 2009-05-30 12:31:06

I’d be surprised if 1 in 10 car dealer owners donated to Democrats in the first place.
The real story may be why Republicans were actually statisically advantaged at only a 76% closure rate. My first instinct was also closer to 85-90+%.

 
 
 
 

Comment by Portuguese Revolutionary War Hero - Peter Francisco | 2009-05-29 00:10:32

Gangster Motors is part of the Obamunism Plan.

How come NOBODY talked about O’Bushama winning his first lection in Chicago representing the COMUNIST PARTY? His first election in 1996 he was representing the New Party which is the American Comunist Party.

Will O’Bushama next remove Governor, Mayors, etc from FAILED states, cities, etc that received FAILOUT MONEY?

Stand Up, Rise Up, WAKE UP … fellow Patriots fight for the Country and COnstitution befor ethere is NOTHING TO FIGHT FOR but your LIFE.

http://www.Repubx.com
http://www.RiseUpForAmerica.com

PASS THESE STORIES ON convince at least one new person EVERYDAY.

 

Comment by KZnextzone | 2009-05-29 00:23:10

British Rail…..

 

Comment by ces | 2009-05-29 00:28:47

I’d like to see the map of where the dealerships are versus demographics.

That is, are the under performing dealership more rural areas and/or in low income areas–generally GOP? Or are they in higher income urban areas–generally Dem?

It would be good to see the matrix of how they decide who stays open?

Is it by market coverage? Or just raw sales?

And who has said which closes? The companies or (explicitly) the WH?

If true, this is ugly. But could somebody find the sales numbers to see if they match those being closed?

 

Comment by PO'dVet | 2009-05-29 03:40:56

You Obamatons quoting that article from 538 should do a bit of research before you swear by this blatantly bias idiots opinion. His “figures” account for only 1168 people who claimed their occupations as auto dealers. We are talking about OWNERS here, not the dealer who works for him! And even if by some miracle. all of the donors he listed actually owned dealerships, his data covers less than 10% of the 14195 auto dealerships in the United States! And thats not even bringing up the rather dubious source for his data. Does anyone actually believe something researched from the Huffypuff post?!? If you truly are so naive to buy all his garbage, I have a formula for cold fusion using only baking soda and salt water that I promise you works, and I’d be willing to sell you for $19.95! And if you order now, I will include at no extra charge the formula for my new immortality serum made from goats urine and pine needles!

Comment by A-Nony-Mouse | 2009-05-29 14:56:42

Calling Nate Silver an “idiot” devalues your opinion greatly. The dude knows what he’s talking about. He called the elections better than anyone. He knows statistics.

There’s an obvious correlation between owning a car dealership and being a Republican, thus there’s every reason to think that if a car dealership is closed that it’s likely to be owned by a Republican. His research shows that anyone trying to make this into a “scandal” is simply distorting information to fit with their previously held bias (in this case a bias against Obama.)

 
 

Comment by PO'dVet | 2009-05-29 03:43:08

My comment was swallowed if a mod could be so kind :D

 

Comment by IndianaDem | 2009-05-29 04:03:46

Evidence appears to be mounting that the Obama administration has systematically targeted for closing Chrysler dealers who contributed to Repubicans.

Mounting evidence? So far I haven’t heard anyone put forward any evidence of this at all.

We might want to consider this: The fact that any particular dealership is consistently turning a profit rather than running at a loss doesn’t necessarily mean that it’s performing well enough to be making a significant contribution to the profitability and viability of the entire corporation. A manufacturer the size of Chrysler could easily go bust even with 100% of its dealerships generating small annual profits locally.

 

Comment by tillthen | 2009-05-29 04:37:49

This should come as no surprise. Obama and his team have shown since 2007, and continuing right through the election and to this very day, just how horribly corrupt and criminal they are. As they sink their teeth further into the heart of America, their political maneuvering will make Zimbabwe look more civilized in comparison, and Daley’s Chicago will become the nation’s de facto capital, making the Bush/Cheney team look more like boy scouts. The country would be better served if those haters got off their friggin high horses and focused their attention on The Fraud.

 

Comment by mountainaires | 2009-05-29 07:30:15

Oy.

If Britain does it, it must be alright, then. If your friend ONLY knew what is going on in Britain with regards to state-sponsored security. It’s a nightmare there. Oh, and by the way, in Britain, there’s also state-sponsored religion as well. I doubt your friend would want to have the government sponsoring its own church. Britons don’t have a Constitution, and they’re called “subjects” not “citizens.”

I do however, LOVE their parliamentary system–if you’ve ever had the pleasure of watching it on C-span, it’s a hoot. The Prime Minister has to face the opposition party in person, in Parliament, for the purposes of, er, let’s say constructive criticism; it’s brutal!! But, it’s a blast to watch.

Also, I’m a huge fan of proportional representation. It’s too complex for ANYONE to figure out, but you can’t game the system like the DNC did in the last election.

 

Comment by listing starboard | 2009-05-29 08:41:09

The most interesting information–the dealerships that were allowed to continue, after eliminating the competiton–some are slated to open NEW dealerships. Transfer of wealth continues.

 

Comment by RO | 2009-05-29 09:59:22

Interesting that Rabble et al prefer to keep slinging accusations rather than admit this story has been thoroughly debunked — including at least twice in this very comment thread.

Just like Limbaugh et al who routinely ignore evidence that refutes their smears, you lose all credibility when you choose hatred above the truth.

We all know now that something like 90% of the dealers who contributed gave their contributions to Republicans. But still 90% of the comments here prefer to keep screaming about Chicago machines, Obama the thug, resignation, etc.

Get real, NQ people. It’s looking like you simply get off on nastiness.

 

Comment by tango | 2009-05-29 10:51:32

Ok, explain this to me:

Lithia, which operates 90 dealerships in 13 states, had two of its 29 Chrysler dealerships on the cut list — one in Colorado Springs, Colo., and one in Omaha, Neb. DeBoer said Lithia could have lost all 29 of its Chrysler stores. Instead it expects to see a net gain because it plans to buy five Jeep or Chrysler franchises on the cut list and add them to existing stores.

http://www.registerguard.com/csp/cms/sites/web/business/13699048-41/story.csp

How can Chrysler force dealerships to close but then allow the dealers it didn’t close to buy the ones that are cut? If Chrysler wants to weed out crowded markets &/or under performing dealerships to be more lean and mean, I don’t understand how reopening closing dealerships futhers that point.

But I forgot, those 5 reopened dealerships would be owned by Lithia who donated to the Democrats last year verses being kept open by their probably GOP donating current owners.

The majority of dealerships donated to the GOP. But in crowded markets, explain how chains with Democratic connections is allowed to keep ALL of it’s dealerships open while all it’s competition is eliminated?

Item 1: Using the list of all 789 dealerships to be closed, WND found that owners contributed $450,000 to GOP presidential candidates; $7,970 to Sen. Hillary Clinton; $2,200 to John Edwards and $450 to Barack Obama. For the “progressives” out there, that’s a 1000-to-1 ratio of GOP-to-Obama donations for closed dealerships.
To summarize: despite the claim that each dealership was evaluated at the individual market level, at least four major, connected Democrat contributors — representing dozens of individual dealerships — remained whole, while their in-market competitors were decimated.

But I’m sure it’s all just a coincidence!

http://directorblue.blogspot.com/2009/05/closing-chryslers-dealerships-readers.html

Comment by Brodie | 2009-05-29 21:48:20

This is rather like forcing people into foreclosure & not helping them & then letting other folks buy the place cheap. That doesn’t make much sense, either, unless you think about who is getting the good deal & who is getting the shaft. Definitely a re-distribution of wealth, in my opinion.

 
 

Comment by Portuguese Revolutionary War Hero - Peter Francisco | 2009-05-29 23:13:18

Will Obama/Soetoro, The Plunderer-in-Thief, get rid of Governors and Mayors that received Stimulus money and are FAILING?

Will The Plunderer-in-Thief, close some Conservative States down and hand them or combine them with LIE-beral neighboring states? OHHH I forgot that is being taken care of with the ObamACORN CENSUS FRAUD.

AMERICA WAKE UP, RISE UP before there is nothing to STAND FOR. Defend the Constitution NOW if you want it to keep defending US.

 

Comment by marie | 2009-05-30 09:13:22

But, this has been thoroughly debunked. Do some math first.

Sheesh, makes me grateful there’ll soon be more emphasis on education.

 

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