Some things are just too good to be true. Like a British Airways flight to Mumbai for $40, offered briefly yesterday. Such a deal!
Such a … mistake! (Here’s an update on the story.)
My colleague Janice Hough alerted me to the problem early Saturday. Here’s the fare display she pulled up:
$DSFOBLR4OCT*BA
FO-BLR SUN-04OCT09 BA
PM 12753 AT
TAXES/FEES NOT INCLUDED
PUBLIC FARES
CX FARE FARE C AP MIN/ SEASONS…… MR GI DT
USD BASIS MAX
1 BA 40.00R BL2RT B 13JUL -10DEC R AT
2 BA 40.00R HLRCNA H 7Š SU/12M 13JUL -10DEC R AT
3 BA 40.00R KLRCNA K 7Š SU/12M 13JUL -10DEC R AT
4 BA 40.00R LLNCNA L 7Š SU/12M 13JUL -10DEC R AT
5 BA 40.00R MLRCNA M 7Š SU/12M 13JUL -10DEC R AT
That’s a $40 base fare, not including taxes and fees.
What’s going on here? Hough said, “I think BA fired the wrong programmer.”
Perhaps. But a lot of folks thought this was a real fare, including my colleague Katie Hammel.
I was one of the people who heard about the low fare to Mumbai on British Airways last night and excitedly booked my ticket on Orbitz.com. My card was charged (over $1,100 for the two round trip tickets is still “pending” on my debit card, which means it is unavailable to me) and received an email saying that I would get my confirmation from the airline soon. I started planning my trip, only to wake up this morning to a second email from Orbitz saying that “due to limited quantities”, the order could not be fulfilled.
I’ve now found out via Twitter that the fare was the result of a glitch. Those who bought tickets before the error was corrected will still receive them. I “bought” my tickets before then – when I clicked “purchase”, the fare listed was around $550 per person round trip [after taxes]. I am hoping that Orbitz and British Airways will honor my purchase and have sent them an email asking that they do.
I’m wondering… is there anything else I can do to get the fare, and what are the rules on this sort of thing? I blog for the website Gadling and was planning on putting up a little post on what happened. I wanted to include some general guidelines on how airlines handle it, but can’t find anything. Can you point me to any resources or offer your insight?
I asked Orbitz about the glitch. It responded early this morning with the following statement:
Last night, British Airways misfiled fares for some flights between the U.S. and India. These fares appeared on some online booking sites, including Orbitz. A number of Orbitz customers attempted to book these flights. Our attempts to ticket these flights with British Airways were rejected. When we became aware of these rejections, we promptly notified impacted customers that we were unable to ticket their requested flights. We regret the inconvenience our customers experienced.
I’ve written about pricing errors, which are often referred to as “fat-finger” fares, numerous times. Here’s my take: Knowingly booking one of these tickets is, in my opinion, wrong. Which is to say, if you are aware that this is a mistake and try to buy it anyway, you’re stealing.
There are some who knew better, but went ahead and tried to book it anyway. I have no sympathy for them.
But travelers who think it’s just a really good price — and $550 is not too good to be true — have a real reason to be upset about an airline not honoring the fare. It also puts agencies like Orbitz in a difficult spot.
Bottom line: There’s no easy way for a regular traveler to avoid a fare mistake like this.
Update: Two sources are telling me that some of these fares are being honored. I’ve asked British Airways for a comment, and will update this post when it responds.
Update: (Monday, noon) British Airways has answered –
It seems there was an honest mistake in a fare filing. What was a $40 increase on a USA-India fare was somehow filed as the fare.
Apparently it was corrected within a couple hours, but not before lots of people (don’t have numbers yet) booked tickets. Orbitz realized the error and discontinued selling the incorrect fare.
I just spoke with someone in London and the plan is to rescind the fare – we will have to contact everyone that booked and apologize that this was a mistake and we sincerely apologize for the incorrect fare filing.
Update: (Tuesday noon) I checked with British Airways to see if anything had changed. Here’s the carrier’s response:
Our position still stands.
British Airways apologizes for the issue which arose for two hours on Friday, October 2, on bookings between USA and India.
We are investigating how the error occurred which meant that seats were available for $40 roundtrip plus taxes, fees and surcharges.
Due to the fare being so clearly below the normal fare, we have cancelled all bookings made in this two hour period between USA and India.
We will be refunding all the seats booked at these fares.
British Airways will be contacting the affected customers and would urge them to contact their travel agent or British Airways, if they booked directly with the airline, to claim a refund and be offered alternative travel arrangements.
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Sorry Chris, I have to take issue with you on the “fat-finger” fares. Perhaps 5 years ago, I would have agreed. However, in this day and age, when the airlines charge passengers $$$$ to correct an honest mistake (booking a ticket for “Betty” instead of “Elizabeth” like her ID says), they’ve set themselves up for this.
@markieA
2 wrongs…..
I know some folks who got to book tickets on BA.com and they were issued tickets for that price. BA had to honor that deal. Seems like the glitch was not limited to Economy class only. Folks got tickets for the same price on Business and First class, (yes 550 for that comfort) on BA.com and they have been issued tickets by the airlines. Only the folks that went through Orbitz or other similar sites were denied tickets which is unfair.
I hope this is one of the times when the airline will have to face the consequence of its ‘honest mistake’ as MarkieA puts it. I buy tickets from and to Mumbai quite often (at least 3-4 times a year) and I have seen fares as low as $890 including taxes for return fares between Tulsa and Mumbai, more often on Delta. I would not be too surprised if in these days and times, some airline would want to be the front runner in business on that route and offer something as low as in the range of $550. It’s more like a tax free ticket had it been the actual $890 with taxes. We see such a great deals on domestic flights quite often, especially on Southwest. That is certainly not a too good to be true price for a return trip to Mumbai. If I were looking for a ticket myself, I would have bought it and would expect the airline to keep its promise and the offer.
yes chris i agree with Markie; firstly there was a case very similar for an adverised rate of 24 cents or some absurd charge like that; the hotel accepted their error and swallowed it ; some very lucky people are goin to enjoy themselves; by the way this was fairly recently; there are2 stories as you said about the incident ; one a possible small number of seats at that price; secondly an errorwhich orbitz should try to get the customers refund; heyIhave no real desire to vist India but for that price; i would have booked. The airlines do a very good job of taking advantage of every loophole they can find ; how about are turn.
Chris by the way that that was hotel i reffed to was in Venice nice deal. At least they were honorable or maybe by Italian law they could not claim a nisprint,
This brings up a good point…sometimes “fat-finger” fares are obvious. Like if this had been $55.00 for a RT to Mumbai to the US (I am making the assumption Ms Hough is travleing from the States). But what if the fat-finger is plausible as a legit “sale” rate as Chris stated in the article? I booked an economy RT ticket to Shanghai for around $800.00, $550.00 for a trip to Mumbai seems like a reasonable rate to me. Does the airline then have the right to adjust your rate if you bought in good faith?
I have to agree with Markie and others here — I would have sympathy for a “fat finger” mistake, and not hold the company to it if fixed quickly (i.e. in time to allow people to shop for reasonable alternate arrangements), however, the airlines have been VERY reluctant to assist when customers make similar “fat finger” mistakes (i.e. wrong name, wrong date, even when discovered within minutes of making the reservation). And the financial consequences are similar in scale (an individual having to eat a $1000 mistake vs a company eating a few hundred or thousand $1000 mistakes), so it’s only fair to hold both sides to similar standards.
I agree with the majority…the airlines have made their beds as far as forgiveness on errors – time for them to sleep in it.
Chris, I disagree with you and with the person who alluded to “2 wrongs”. Nobody is doing anything “wrong” or “illegal” or “unethical” here – it is a matter of everyone having to obey the rules and contracts, and of relationships being reciprocal. In a business where one party makes all the rules and holds others to every letter of the print giving no quarter for honest mistakes, I am embarrassed to read that you think it is somehow “wrong” if we hold them to the same standard. Shame on you! I am all for forgiving honest mistakes but—this is what some of you soft-headed folks seem to be dense about—this is not a one-way street. If legal contracts in our society permit “unethical” conduct, then we we need to change the contract law, not sermonize to the weaker party in the existing contracts.
I’m confused: the headline talks about a $40 fare but Ms Hammel has fares of $550, which may be a great deal but isn’t anywhere near $40.
It would be one thing if these fare systems were more like the old pricing at the grocery store–someone putting labels on each can, with no checks by anyone else. But these are extremely sophisticated computer programs, and they can/should/do have error traps built in. If the entry gets past these traps, the public should be able to buy it.
I live in a county where, by law, the price on the product or on the shelf is the price you pay. If the retailer has chosen to raise the price, but doesn’t change the price listed on the shelf, you buy it at that price.
Lianne, one answer to that lies in the airline’s contract. Not that anyone has to fully accept it, much more challenge it in court if one’s up to that.
Mistakes do happen as we’re all human, after all. It’s how it’s handled that can practically determine how other people will react to this.
In the U.S., AKT, unfortunately that’ll be…challenging:
http://en.wikipedia.org/wiki/Contract_Clause
“No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.”
At least, that’s what various U.S. lawyers have told me.
Sorry, but it wasn’t a $40 fare. It was a $550-700+ fare. It’s arguable whether this was even a great deal or not.
i managed to get one of these tickets on priceline which went through. not that im complaining but i don’t understand why my ticket booked via priceline went through but people who booked on orbitz didn’t.
Not good on BA to cancel the fares. If there were ticket numbers issued this could get real ugly.
@Scholar far be it from me to defend the airlines’ policies when it comes to booking errors made by their customers. They’re actually indefensible.
But don’t you think that by taking advantage of a company when it’s made a mistake, passengers are behaving as badly as the airlines?
I mean, the way I see it, when you knowingly book a fare that is a mistake, you are basically stealing. (And I mean “you” in the generic sense — I’m not familiar with your circumstances.)
I would hope that travelers have enough decency to walk away from something they know is a pricing error.
BA is in a no-win situation, and so is Orbitz. By rescinding the fare, it is going to anger a lot more customers. If it honors the price, it will lose lots of money, potentially.
There’s no easy out.
Chris, the problem I have with your analysis is that it assumes one can always determine a mistake from a sale. Even veteran travelers would have difficulty with this. Airlines introduce low fares for very short periods of time routinely. They’ll load $50 base fares BOS-SFO for 24 hours to stick it to whoever they’re competing with in that market and then pull the fare.
How is it possible for a traveler to know definitively whether one is booking a “mistake” or a “sale”?
By the way, I think there is a win-win solution here: meet customers in the middle. Allow customers to purchase the tickets but make then non-refundable, non-upgradeable. Or offer a customer service voucher for the trouble. Etc. There are options here, both for BA and Orbitz, to make this thing right.
chris; if a bankteller gave you 2thousand instead of 200,00 of course you be obligated morally ro refund the money; however in this case the price quoted was misleading at first glance; sounded like 40.00. when it fact it was 550,00 ,BA will eventually pass the loss somewhere else; most companies when thwey publish a erroneous price will usually take an add outsaying it was an error; there was so much confusion about the price it is wrong to blame the customer.
@Scholar, I understand your point. I thought I was clear — only when you are aware that it’s a fare error (as many surely were) is this wrong. If you don’t know any better, I can’t blame you for booking one of these tickets.
Chris, I didn’t realize you were making a meta-ethics point. :)
I’m still not necessarily sure I buy it. Consumers get screwed by airlines and booking agencies all the time. If the consumer can take advantage of something that goes in their favor once in awhile, I don’t think that’s necessarily wrong. Some might call it justice. ;)
I booked on Orbitz, the website showed several airlines showing this $40 fare, now apparently it was because it was BA over the water and then a connection onwards from London, but if you looked at Orbitz’s site that evening, it showed 4 different airlines offering $40 fares + taxes and fees on their matrix box; there was for many consumers the possibility they had NO idea it was a mistake fare because the Orbitz Matrix showed several airlines, hence, it’s a price match/price war.
I booked on Orbitz, I’m stuck with a NON-Refundable hotel and Orbitz’s attitude is, it is not our problem or our fault.
Nowhere on Orbitz’s site does it say, please do not book any onward travel arrangements for your trip until we have confirmed your flight, which can take 24 hours to confirm.
I have booked A LOT of travel on Orbitz up until this point, and if Orbitz had simply said, we apologize, we will give you a voucher to use towards future travel for the cost of your hotel that you are losing because of this, I would have at least been willing to give them another chance; though I would be out money now.
In the mean time, Orbitz is going to lose my business and everyone else I can persuade not to use their site.
Did any body else get charged the service fee by Orbitz?
Also I purchased trip insurance from Orbitz and was wondering how it affects the whole situation?
I don’t mean to get all philosophical here, but doesn’t capitalism work, at some level, on taking advantage of mistakes? Isn’t that what a market correction is all about? Something is under-priced, people buy it, the price goes back up. This is what precisely happened here.
If you’re looking to buy a condo that you *know* is priced $50k under what it should be, is it unethical to buy it? Our economic system in some sense depends on you making those types of corrections.
I got charged a booking fee and travel insurance from Orbitz. I had to call them yet again to get it cancelled last night. They acted like they were doing me a favor. Please!
I will NEVER use Orbitz again, or any of their affiliates including Cheaptickets.
@Orbitz has, Orbitz should be offering a full refund of all fees without asking. If it doesn’t, we have a much bigger problem.
@Scholar, capitalism is deception? Perhaps to some. I prefer to think of it as free markets where openness, not deceptiveness, leads to a win-win for companies and their customers. Call me idealistic.
To all those of you coming over from Flyertalk — welcome to my site. Please be civil and I will be happy to approve your comments.
@Scholar
Whether it’s un/ethical practically depends on what kind of shoes one’s feet is on, or what side one is on, and whoever dis/agrees with.
Chris, when did I mention deception? I don’t quite follow. I’m saying that capitalism works by creating a market and then having individuals and groups of individuals transact in that market. British Airways made an offer. Orbitz took that offer and presented it to me. I took it. Where is the deception? Did I think the price was low? Sure. But that’s how capitalism works. I’m supposed to buy when the price is low. Notice how that low price doesn’t exist anymore? The system worked as advertised, in my view.
David, the point of ethics is precisely the opposite of what you say. It is a universal standard that all parties should adhere to and should not change depending on where one’s interests lay.
we booked these tickets (2) via orbitz on friday. the receipt and e-mail confirmation sent to us made us beliveve the purchase was all set. we went and booked dometic flights and hotels.. didnt found out the air was cancelled by orbitz until today. anyone know of legal remedies which can be applied in this case?
British Airways is cancelling EVERYONE’s tickets, even tickets purchased that received ticket numbers, it is not just an Orbitz issue.
Apparently British Airways has the right to cancel our tickets if we paid too low of a price, but what happens when we pay too high of a price and the ticket price goes down? Can we cancel now and say, sorry it was a purchase error, I’m going to need my money back.
I’m sorry, but this is a bad decision and people should remember that any time they think of purchasing a ticket on BA in the future.
Also someone should look at BA’s contract of Carriage, there is nothing there that says they can cancel people’s tickets and further states that: When you buy a ticket to travel on a flight we operate, you enter into a contract of carriage with us. The contract is governed by:…
http://www.britishairways.com/travel/genconcarr1/public/en_us
Not a lawyer, but I don’t see any thing that allows them to cancel in their contract.
I booked directly on BA site and just checked that the status is showing canceled. I received confirmation receipt and ticket number as well from BA. Can something be done legally to challenge the cancellation?
BA canceled my flight AFTER 3 days and without even communicating with me. I know my booking is canceled because I went online to check status.
@Christopher – Law takes precedence over morality. I was issued tickets for a specific flight on a specific date. It is a contract. If BA wants to breach contract, they’re responsible for compensatory, consequential and incidental damages. No one is asking for punitive damages here. This is REALLY basic stuff here. Does BA not have compentent legal advisors?
As far as Orbitz bookings are concerned, I can see how they might have found a loophole i.e., ‘hey we didn’t issue tickets, so there’s no contract’ however their cockiness of canceling booked tickets may turn into a class action lawsuit that could benefit Orbitz users as well.
I have recently paid as low as $750 RT EWR-BOM at an airline website. $750 RT LAX-SYD. So saying that someone who booked a fare US to India that comes to $550 RT is booking a fee that they know to be wrong seems to be offbase.
I booked my tickets to india on friday and my credit card has been charged and i still see the reservation on the site..
Looking at the responses in this blog, I imagine I would be getting the cancellation pretty soon..
Legally they can not cancel the ticket one it has been issued a ticket number.
So who ever had got the Ticket number ( does not matter from where you booked), can fight legally . How to fight legally ? I am not sure.!
These airline people behave rude all time, charing fee’s for every small changes and mistakes… when then never forgive us ..why should we?
I travelled last year to india through Emirates and had a stopover at Paris for 4 days..I payed extra for baggage here $200 as I had plans to stay longer at the aiport. From US to Paris it was American airlines and from there on Emirates. The total itinerary was Emirates airlines..
So when I payed $200 extra luggage at AA, she gave me the receipts and confirmed that I need not pay for this baggage again in paris as it’s the same iitnerary and I had reciepts for that payments..
But in paris , I tried to check in the baggages, the emirates representative at the airport claimed that I should pay the fee for extra baggage. I showed her the receipts and she was very cold. The price she asked me pay was much more than my ticket. For every extra pound she asked 60Euros and the total I should pay is like 1600 Euors.. Thats just insane…I felt humiliated at the airport . I was the first one standing in the line to checkin baggages and I was last to get out of the line. I tried to convince them for 2 horus and finally i ended up throwing all choclates, cloths,and gifts in trash and I saw other passangers picking my stuff from the trash …! I did not know that extra baggage will cost so much if you check in from paris, and moreover it’s one itinerary and I payed for the extra baggage and i had the receipts. I put almost $2500 worth of things in the trash , I should have payed the fee and took the stuff with me..it’s the same thing but at the point of time ..I could not think normally as I was sad and schocking to see their response and just put everythgn in the trash..
honestly it was unintentional and I am not aware of that and AA customer rep assured me that I need not pay again.
if the airliners behave like this , I think its their turn now to pay for their mistake.. call it Honest Misakte…..I dont care….!
@Scholar – given that people around the globe all have different and varying definitions and degrees of ethics, should we “all” be “forced” to adhere to that “universal standard” or similar? I’d imagine nobody wants to be “forced” into something they might not like, which is why I said it depends on what we dis/agree with.
Of course, that presents a question as to what to do should two parties enter into an agreement and one breaks it off. Sure sucks when one’s on the losing end, moreso when both practically lose.
@PM – unfortunately, talk to a lawyer, solicitor, etc. or your local government authority on consumer affairs.
I definitely hope someone starts a Class Action lawsuit against BA and sticks it to them royally for their arrogance and anti-consumer attitude. Their CEO is a mamby-pamby crybaby Brit who likes to complain about 110 things his competitors and various governments do to poor old BA but then they turn around and do something which deserves every bit of negative press they get, including having the gall to try to charge for advance seating on full-fare tickets.
FRIDAY 2rd of October I purchased my tickets from British Ways..
After paying my ticket in called in stood in queue for 1 hour to reach the helpdesk…
Conversation with the helpdesk..
Myself,,, I would like to confirm two Booking reference for return flight from Washington DC to New Delhi India. Booking reference &*^*(
Helpdesk: Yes sir your tickets are valid both the flights are confirmed and you are all set for your travel..
Myself: Sir I just wanted to confirm the flight and pay as the ticket price is a good deal.?
Helpdesk: Yes, Sir you are the lucky one, our system had a discounted fare on the system and we will honor your ticket.. Whoever booked between that period we will honor their tickets.. so congratulation have a wonderful trip.. Thanks for flying with British Airways.
Monday 5th October I checked my tickets on line at the BA.com and the tickets are confirmed.
Tuesday 6th October I checked my flight and one on the flights says cancelled. I called in the helpdesk. (the other one is still confirmed)..
Myself: I would I like check the booking reference number
Helpdesk : this ticket has been cancelled kindly check in with you travel agent:
Myself : excuse me I checked in yesterday everything was ok, why cancelled now, sorry sir check with your travel agent (with a rude and stern voice) I said kindly connect me you your supervisor.
Supervisor: Sir I am sorry BA will not honor these tickets as they were wrong priced.
Myself: Sir I had called in and checked with your helpdesk on Friday and they confirmed with me saying that British Airways will honor theses tickets… So how can you back down on your words,,
Supervisor : I cannot help you, you can write a letter to the customer relation as to how you feel about it and that is the maximum I can do.. I CANNOT HELP you more than that.
This is ridiculous they need to honor their words,, some lawyer needs to take this up… i have proofs…
Your argument sure is biased. Its not the customers mistake to book a ticket for $550 in the BA.com website or in any other known Air ticket reservation website. And BA.com is known for such gimmicks with fares. I have myself seen rates slashing $200 in a single day for a flight, with 2 months to the trip. BA is the most irresponsible of all airways to handle such errors without any answers for angry customers. I booked for $650 in vayama.com and I should have been among the first few who booked tickets for this so-called erroneous deal. Vayama confirmed my tickets in a day, and 40 hours later, I cancelled a ticket which I had previously booked, which expended me a cancellation charge of $375. Finally, I lost $375 for nothing. Was that my fault to be ignorant of such pranks from BA? The argument above seems nothing but a BA’s attempt at silencing people down.
Never in life would I fly in BA even for a dirt cheap rate and recommend that people don’t book as dirt cheap rates are just pranks that BA plays, assuming those who book are naive.
Thanks BA for being irresponsible, a nice “customer care” in showcase by one of the best(sarcasm intended) flyers.
Elliott,
I checeked my booking yesterday in BA site and it said confirmed and today it says cancelled.
My credit card is still charged. ! I booked throught obritz..
do you know how take this issue legally.
all I know is once they issue the ticket number, they can not cancel it …its illegal…they must honor the tickets…
But how do you proceed legally and complaint? Do you know anytng?
How can Orbitz assign you seat number for whole trip without getting confirmation from airline. Additionally, charge card was charged too with travel protection insurance. BA should honor these fares for those passangers whose charge cards were charged and record locator number was assigned with seat numbers. may be someone will file class action lawsuit and I will be glad to join them.
I have a alert configured on BING.COM to alert me when it finds a fare to destinations I want to go meets my cretria. I had set an alert to go to Bangalore from LAX on DEC 20, 2009. This alert was set 5 months ago. I got this alert and I proceeded to the BA web site and purchased the tickets and received confirmation directly from BA in email. I also purchased ticket on airlines in the country of travel for my family. I have sustained financial loss for these tickets usless BA makes good on its promotion. I did not see this as a mistake as I went directly to the BA site after my alert triggered on BING.COM. BA agents refuse to talk about this and hang up the phone after a brief conversation when I tried to call them. Here are some numbers to call if several people call complaining maybe BA will do something.
800-876-7060 national Fraud
866-835-5322 FAA
202-835-3323 Consumer protection group
Those who have their tickets honored please let us how to go about it.
I also purchased a ticket on the BA website on Friday Oct 2nd and received a confirmation email showing a status of ‘confirmed’ on the ticket. When I went to modify my ticket on monday Oct 5th, I could no longer access my reservation. The site just showed an ‘Error’ message. When I called customer service, I was told that ‘A corporate decision had been made to cancel all those tickets purchased on Friday’. I still have not received any official communication from British Airways stating that my ticket has been canceled. What if I had not tried to login to change my flight, and just showed up at the airport for my flight? British Airways must honor these fares just like any other ordinary business would.
BA is honoring tickets bought from BA.COM but canceling all other bookings made out of BA.COM … Hope this helps
@Waheed – No, it doesn’t help because what you have said is incorrect. Read the comments before yours.
I booked 3 tickets on 10/3/09 for BA from EWR to Madras for 550 each through Orbitz. I cancelled my existing tickets at a considerable cost in cancellation fees. And recieved confirmation from Orbitz in fact callled them up shortly after that to inquire about my son who is under 2 flying wiht us. Called the next morning after recieving an email stating taht they would not be honoring the fare. Called Orbitz and was told that my tickets were confirmed. D/W with manager Marcello who said he would get back to me in 2 days. His repsonse essentially is nothing we can do..
Which I think is unethical, and at worse cheating your customers. I am looking in to how to actually file a formal complaint with the transporation board. I suggest everyone do the same.
surya yalla
Waheed when did you hear this? Last night their stand was firm on cancellation. Can yo please us if we need to follow up with them?
You can go to the following web site and file a complain, it is a official FAA web site.
http://airconsumer.dot.gov/problems.htm
Huzefa
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