Wednesday, 2 March 2022

Croatian Visual Artists' Association Joins in Condemnation of Aggression on Ukraine

ZAGREB, 2 March 2022 2022 - The Croatian Association of Visual Artists (HDLU) strongly condemns the Russian Federation's aggression against Ukraine and supports Ukraine's territorial integrity, the HDLU has said on its website.

Expressing its support to the Ukrainian association of artists and cultural workers, HDLU underscored that it will not cooperate with institutions and individuals from the Russian Federation and Belarus until the aggression ends and Russian occupying forces are withdrawn from the entire internationally recognised territory of Ukraine.

"HDLU will not issue its members who continue to individually cooperate with institutions and individuals from the Russian Federation and Belarus, with HDLU certificates regarding such cooperation until those individuals or institutions sign a statement on the condemnation of Russia's aggression against Ukraine and support to Ukraine's territorial integrity within its internationally recognised borders," HDLU said in a statement.

Last Thursday, the Croatian Academy of Science and Arts (HAZU) expressed its solidarity with Ukraine in a letter to Ukraine's National Academy of Science in the wake of Russia's aggression on Ukraine.

The Croatian Audiovisual Centre (HAVC) together with states that "they stand in solidarity with the Ukrainian people following the invasion of Ukraine which violates the territorial integrity of a sovereign nation."

Croatian cultural associations and associations of artists and cultural professionals are joining in the condemnation of the Russian aggression and in the support to Ukraine.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

Wednesday, 2 March 2022

Istria Russians' Association Against War in Ukraine

ZAGREB, 1 March 2022 - The Russian Home association of the Russian national minority in Istria County said on Tuesday it was "against war and any war events."

"Our business is the Russian language and nurturing Russian culture among those living outside their homeland," the association said in a press release.

It has about 200 members, not just Russians, but also other nationalities from the former Soviet Union, including Ukrainians.

"We feel pain because thousands of innocent people are suffering and blood is being spilt. We feel despair because it seems as though this war was started on behalf of all Russians, which is absolutely incorrect," the association said, appealing to "everyone not to link the Russian language and culture with politics and aggression."

It added that "a peaceful coexistence in a multicultural area is a way to open to the whole world, that's tolerance and respect for people from different countries and of different faiths."

"We are for peace and friendship between peoples," the association said.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

 

Wednesday, 2 March 2022

Europe Facing Refugee Influx Unseen Since WWII, Interior Minister Says

ZAGREB, 2 March 2022 - Interior Minister Davor Božinović said on Wednesday Europe would be faced with a refugee influx unseen since WWII, and that no country could deal with that alone.

According to last night's numbers by Frontex, more than 600,000 people from Ukraine have entered the EU, he said on Croatian Radio.

The influx is not big yet because the UNHCR and other agencies estimate that five million people could leave Ukraine, Božinović added.

This is a humanitarian situation that is becoming dramatic, and can be dealt with only if everyone stands together, he said.

Speaking of meetings of EU interior ministers and what they had to agree on, Božinović said it was necessary to resolve the status of refugees first as more and more would be coming. "This is an exodus for which an adequate response will have to be found."

545 Ukrainian refugees in Croatia to date

Božinović said 545 Ukrainian refugees had arrived in Croatia and that 39 were in reception centres, while the rest were in private accommodation.

He said Croatia must prepare for a major influx as almost 100,000 had entered Hungary. It is difficult to expect Russia to stop at the moment as it is preparing a bigger escalation with attacks on Kyiv, Kharkiv and Mariupol, he added.

Božinović said the entire Civil Protection system was getting ready, together with the health and education systems, so that the arrival of refugees passed with as little difficulty as possible.

Accommodation capacity will be expanded as needed, there are plans for using numerous state-owned facilities, and meetings are being held with the Croatian Tourist Board, hoteliers and the Tourism Ministry, he added.

Božinović went on to say that Croatia's first relief convoy left for Ukraine at 3 am today and that such things should be organised well by the institutions in charge.

Europe has no alternative but to defend its values

Commenting on Russia's threat that the countries donating military equipment to Ukraine, including Croatia, would be held accountable, he said not only NATO member states but neutral ones as well had decided to do that.

"Today we are seeing a change of the paradigm that has been in force in Europe since World War II and determination that everything that Europe has achieved must not be brought into question," Božinović said, adding that in that time the EU has become the most developed part of the world alongside the US, an area where human rights are protected and technology and living standards progress.

"If someone threatens that, and this is a threat, they will face a very clear and harsh European response because Europe has no alternative but to defend its values."

Speaking of fears that some might use the Ukraine crisis to destabilise Southeast Europe, Božinović said there were always some who were interested in destabilisation, those thinking their only trump card was force and armament, and that one could see in Ukraine that stability did not suit them.

As for Southeast Europe, he said the most important stakeholders had sent messages to every country in the region and that he was sure they would consider them well.

To be in Europe and not head for integration is not smart

Commenting on the stand of Serbian President Aleksandar Vučić, who has not imposed sanctions on Russia and is accusing Croatian politicians, Božinović said "it's a rhetoric we are used to." 

"Now is the time for states which have doubts to make the best long-term decisions for the future of their citizens because to be in Europe and not head for integration is not the smartest thing to do", he added.

Božinović also said he expected the political unity of the opposition and those in power on Ukraine to continue in Croatia.

The government's position is clear and one of Prime Minister Andrej Plenković's first visits was to Ukraine, which is just one sign of knowing the situation and Ukraine's importance for Europe and our bilateral relations, he added.

Speaking on coronavirus, he said there were about 2,500 new cases today, 33% fewer than a week ago, a sign the steep decrease was continuing.

"If such trends continue, we will consider further relaxing restrictions", said Božinović, who heads the national COVID-19 crisis management team.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

Wednesday, 2 March 2022

Croatian Ambassador Has Left Kyiv, Prime Minister Says

ZAGREB, 2 March 2022 - Croatian Ambassador to Ukraine Anica Djamić has left Kyiv and is en route to Lviv, Prime Minister Andrej Plenković said on Wednesday.

"Given the deteriorating security situation in Kyiv and the attacks on Ukraine's capital, yesterday I instructed our Ambassador Anica Djamić to leave Kyiv," he told the press.

The ambassador is en route to Lviv, where she will stay and do her duty, helping Croatian nationals and following the situation in Ukraine.

"She is fine and we are believe that in Lviv, a city in western Ukraine, she will be safe," Plenković said.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

Wednesday, 2 March 2022

Europe's Future Depends on Kyiv's Fate, Croatian Prime Minister Says

ZAGREB, 2 March 2022 - The future of Europe depends on the fate of Kyiv, Prime Minister Andrej Plenković said in the Croatian parliament on Wednesday, once again condemning Russia's aggression in the strongest terms and commending the Ukrainian army and people for a heroic resistance.

"A quarter century after the Homeland War, a war is raging on European soil again. To the shock of the whole world, Russia's unprovoked brutal aggression on Ukraine is in its seventh day. There has been no war of such force and such extent in Europe for 77 years," he said, presenting a report on the Ukraine situation.

The "gross violation of international law" already has "far-reaching consequences for the whole world" and this crisis will most likely last a while, Plenković said.

He reiterated that Croatia "condemns the Russian aggression in the strongest terms and extends full support to the Ukrainian people who at this moment is once again dying for European values."

He congratulated Ukraine's President Volodymyr Zelenskyy and Prime Minister Denys Shmyhal on their courage.

Plenković said this was "a war between David and Goliath in which Russia is attacking the 28 times smaller Ukraine," adding that Russia is the aggressor and Ukraine the victim.

Croatia is sending Ukraine HRK 124 million worth of weapons, ammunition and protective gear for the infantry. The European Union (EU) has ensured €500 million for the procurement of protective and military equipment.

Ukrainians won't bow down

Plenković said that Croatia had shown, with its partners in the EU, determination, solidarity and unity, and that this war had identified the need for energy autonomy and strengthening defence capabilities.

He said Croatia had always advocated Ukraine's European perspective, recalling that he and Zelenskyy signed a Declaration on that perspective in Kyiv last December.

Plenković said the war in Ukraine revived memories of Croatia's Homeland War. "All those images revive in Croatia painful memories of the Milošević regime's Great Serbian aggression and the horrors of war that we went through."

He congratulated Croatian MPs on the unanimous condemnation of Russia and solidarity with Ukraine, saying he was pleased that the parliamentary majority and the opposition are "on the right side of justice and freedom."

Attending the parliamentary debate were Ukrainian Ambassador Vasyl Kyrylych and members of the Ukrainian minority. The Ukrainian flag was also displayed.

"By supporting Ukraine and respecting the courage of Ukrainians not to run away from tanks, not to give in to blackmail, not to bow down, to be inspired by love for the homeland like the Croats were in the Homeland War, let's stand with Ukraine and Ukrainians today. Glory to Ukraine," Plenković said to a round of applause.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

Wednesday, 2 March 2022

How Will Russian Invasion of Ukraine Affect Croatian Exporters?

March the 2nd, 2022 - With the Russian invasion of Ukraine dominating the world's headlines, harsh sanctions being imposed against Russia and inflation rising, just how will the unjustified attack on Ukraine affect Croatian exporters?

As Jutarnji/Novac/Jozo Vrdoljak writes, the alarming situation on the Russian market is changing from moment to moment as a result of sanctions imposed by many countries following the invasion of Ukraine. The only thing that is certain is that it is uncertain and unfavourable for the business of most Croatian exporters in respect to that market.

In addition, the situation was aggravated by a record devaluation of the Russian ruble, so much so that economic analysts proposed to the Croatian Government to facilitate the operations of Croatian companies and in some way compensate for the losses incurred by this unprecedented situation. At the end of last year, one euro stood at around 80 rubles, and now, according to the official exchange rate, 120 rubles should be set aside for that same amount.

Insiders have claimed that the situation is such that in Russia, banks need to set aside as much as 135 rubles for just one euro. The weakening of the Russian ruble reduces the income of companies and this will certainly affect the business results of companies operating in the Russian market, but this isn't the main problem because this can be solved to some extent by sharing the burden between manufacturers and customers. In any case, it's necessary to compensate for the negative aspects created by the weakening of the Russian ruble.

This is more or less the common opinion of Croatian exporters and others operating in the Russian market, both of those who wanted and those who didn't want to publicly comment on the situation regarding the exchange rate of the ruble. They consider the uncertainty and the situation related to the expulsion of several Russian banks from SWIFT to be a bigger problem. In any case, companies can partially protect themselves from the weakening of the exchange rate, but they must talk to the buyers of their products. They also expect the support of the Croatian Government.

Solinski AD Plastik Group has two factories in Russia and their revenue from the Russian market, depending on the situation, amounts to about 25 percent.

''Our Russian factories produce exclusively for the Russian market and for now we're working according to plan, but there's a lot of uncertainty. Currently, our business is most affected by the weakening of the ruble, but we're trying to manage the situation to minimise the consequences. Unfortunately, we're in a situation over which we don't really have much influence,'' said Marinko Dosen, President of the Management Board of AD Plastik Group.

The Split-based Adria Winch has well protected itself in terms of exchange rates and the collection of completed transactions on the Russian market.

''All of our contracts with Russian partners use euros, we also did something else to protect both us and our partner. We took very high advances for contracted jobs. They amount to about 70 percent. However, the devaluation of the ruble puts our partners in the Russian market at a disadvantage. The question is how they will bridge it. Such a situation cannot make anyone happy,'' explained Milivoj Peruzovic, board member and owner of Adria Winch.

This year, Postirska Sardina was supposed to place about 500,000 cans of its fish over on the Russian market. Davor Gabela, sales director and co-owner of that company, says that the interests of Croatian exporters in the Russian market should be protected, including proper compensation for losses caused by the weakening of the ruble.

''After the New Year, we exported one truck to the Russian market, and I can't say at this moment in time what will happen to the rest of our planned exports. The weakening of the ruble's exchange rate is such that the question is whether our distributor will even accept the conditions imposed by this circumstance. It's always worth exporting if the importer agrees to import because the devaluation of the ruble increases its price due to exchange rate differences. The Ukrainian market is much more important to us because we export more there. This week we were supposed to have a delivery that was stopped because it's almost impossible to deliver the goods to Kyiv. We're going send humanitarian aid there in the coming days,'' Davor Gabela assured.

Gordan Pesic, head of development and business at the well known company Dok Ing from Zagreb, says that for their company, the Russian market is just one of many where they market their products and that it likely won't have much of an effect on their business.

''I agree that the Croatian Government should help Croatian exporters to maintain their positions on the Russian market and compensate them for the losses caused by the devaluation of the ruble,'' said Pesic.

President of the Association of Croatian Travel Agencies, Tomislav Fain, also says that in this situation when air connections with Russia are cut off and Russian planes are banned, it is difficult to think about the arrival of Russian guests and all the accompanying unfavourable circumstances such as the devaluation of the ruble.

''We expect that the war conflicts will stop as soon as possible and that the situation in that region will not affect other markets,'' he said, adding that the most important thing above all is that the war ends. In terms of the the total number of passengers in 2021, Russian and Ukrainian tourists accounted for about four percent of the traffic of Dubrovnik Airport passengers.

''The war going on in Ukraine will certainly have an impact on tourist traffic, but what kind of impact that will is currently very difficult to assess. We, as Dubrovnik Airport, aren't able to do that now. The impact on air traffic across Europe already exists, as parts of the airspace in Ukraine are closed, as is traffic between Russia and the EU. We aren't able to to provide an answer as to how long these restrictions will last,'' said Frano Luetic, the director of Dubrovnik Airport.

For more on Croatian exporters, check out our business section.

Tuesday, 1 March 2022

Largest Iskra Investment Halted by Russian Invasion of Ukraine

March the 1st, 2022 - One huge Iskra investment, made by the well known Sibenik-based company, has had to be halted in the wake of the Russian invasion of Ukraine which occurred just several days ago.

As Poslovni Dnevnik/Suzana Varosanec writes, the current outbreak of war in Ukraine following an unjustified Russian invasion has currently halted activities on a project that is vital to Iskra Brodogradiliste 1's largest strategic investment in Sibenik.

Uncertainty loomed over the construction of a floating dock for the overhaul of a 5,000-tonne, 120-metre-long ship, contracted back in November last year with Ukraine's well known Pallada shipyard in Kherson. However, the solidarity of the local people of Sibenik is being shown in action. According to the claims of the director of that Sibenik shipyard, Rok Vuletic, the work in the Ukrainian shipyard, which specialises in the construction of docks, has been suspended due to the state of emergency, and people have been invited to stay at home.

"We're monitoring the development of the unfolding situation, and for now the only thing we're thinking about is that we hope that as few people as possible are suffering. We stand in solidarity with Ukrainian partners; namely, we in Croatia also have the experience of war, so we have full understanding for the situation in which they've found themselves,'' Vuletic pointed out, adding that they hope for an end to the ongoing war operations and stabilisation in the coming days.

Vuletic was in the inspection of the works on the dock about ten days ago, when, he says, everything was going smoothly and according to the dynamics and deadlines. The Iskra investment plan also envisages the modernisation of the company's facilities and infrastructure, the purchase of new equipment for shipbuilding, an increasing of capacities and the raising of energy efficiency.

For more, make sure to check out our business section.

Monday, 28 February 2022

PM Plenković Announces 124 Million Kuna in Support Measures for Ukraine

February 28, 2022 - Croatian Prime Minister Andrej Plenković announced a package of support measures for Ukraine, including 124 million kuna in protective equipment and small arms, in addition to restricting the use of air space by Russian planes. Here is a summary of the measures taken in Croatia so far.

Four days after Russia launched a full-scale invasion of Ukrainian territory, fighting continues across the country, including in the capital of Kyiv. Ukrainian President Volodymyr Zelenskyy has pointed out that, so far, they have successfully resisted the Russian offensive and the daily results are positive. In addition to the fact that from the beginning, and on a daily basis, the sanctions against Russia and its companies have been increasing and asserting, several international media indicate that Russia would be facing a possible scenario of de-escalating their invasion. Yesterday, a Ukrainian delegation traveled to Belarus for the first approach to peace talks with Russia.

Croatia, like other countries of the European Union or NATO, had a definite position regarding the Russian invasion. On Thursday 24, Prime Minister Andrej Plenković met with the Ukrainian Ambassador to Croatia, Vasyl Kyrylych, and expressed not only his support and solidarity but also confirmed a possible series of sanctions against Russia. Plenković also condemned the Russian aggression and claimed Ukraine as an independent and sovereign nation.

The following day, the Government's position was supported almost unanimously in Parliament, which adopted a declaration on the situation in Ukraine, where in addition to showing its solidarity and position in favor of Ukraine, they also condemned Russia and supported future sanctions against the Russian Government and companies. Almost all Croatian parliamentary groups spoke out against the Russian invasion of Ukraine and they reaffirmed it on Saturday 26.

During the weekend, the Prime Minister held meetings with the main authorities of his government and discussed not only the package of sanctions against Russia but also support strategies for Ukraine. It should be noted that in Germany, Foreign Minister Olaf Scholz halted the approval for the agreement on the Nord Stream 2 gas line. Likewise, some European countries, such as the Czech Republic, Latvia, and Lithuania, have stopped issuing visas for Russian citizens.

To date, many Russian companies have been boycotted around the world, including select Russian banks that have already been disconnected from the SWIFT system, a move supported by the United States. In the United Kingdom, Prime Minister Boris Johnson ordered the freezing of the assets of several Russian banks and even the suspension of several Russian oligarchs in the country. The vast majority of European countries have restricted the entry of flights from Russia and suspended the operations of Russian airlines.

In Croatia, many of the actions have come as an initiative of the population. Thousands have withdrawn their money and closed their accounts in the Russian bank Sberbank, which has even caused its subsidiaries in Croatia and Slovenia to fail or likely to fail owing to a deterioration of their liquidity situation, according to multiple reports. Also, on Saturday, Total Croatia News reported that the first Croatian volunteers were on their way to join the Ukrainian army to confront Russia. Most are veterans with combat experience.

But in parallel, the Government confirmed from the beginning the dispatch of ten Croatian soldiers as part of NATO's Very High Readiness Joint Task Force. Likewise, Croatian government authorities confirmed the disposition and readiness to receive Ukrainian refugees. On Saturday, the Minister of the Interior Davor Bozinović confirmed the arrival of the first six refugees, who according to him did not need assistance upon arrival since they had private accommodation. On the same day, Davor Spevec of the Civil Protection Directorate said in Slavonski Brod that Croatia could receive up to 17,000 refugees from Ukraine.

Zagreb Mayor Tomislav Tomašević confirmed that the Croatian capital was ready to receive Ukrainian refugees and that more locations would be made available. Similarly, in Osijek, a center was set up to house up to 300 refugees. The opening of one more center on the border with Ukraine has already been announced.

Over the weekend, PM Plenković has met with the rest of his ministers, the Civil Directorate, and the Croatian Red Cross to carry out all the corresponding coordination on handling the situation. 

The Prime Minister took the opportunity yesterday to reaffirm his support for Ukraine, in addition to expressing that Ukraine is an independent and sovereign country. Likewise, the Russian airline Aeroflot suspended its operations in Croatia, something that the PM himself reinforced by announcing the prohibition of the use of airspace for Russian aircraft.

Today, on his Twitter account, Plenković announced a series of support measures for Ukraine. He had previously expressed that by supporting Ukraine, Croatia was standing on the right side of history. "Croatia is on the right side of history, on the right side of values, on the right side of international law, on the right side of humanity. It's very important that at this moment such a clear message prevails also in the Croatian public," he told the press.

Furthermore, he stressed that the current relationship with Russia, under the current circumstances, was not the best.

plenkovic-tweet.png

The Prime Minister first appealed to recent history in Croatia in a tweet:

''The Croatian people know very well what it means to fight for democracy and decide on their own destiny, and to defend their homeland from aggressors! Croatia can only be on the side of democratic, sovereign, and attacked #Ukraine, on the side of justice, peace and freedom!

He followed his first tweet by announcing the supporting measures:

''We bring a package of measures to support Ukraine and send assistance in protective equipment and small arms worth 124 million kuna. We are raising the level of preparedness for the possible reception of refugees and ensuring gas supply and financial stability''.

Finally, he confirmed what had already been announced the day before about the use of Croatian airspace:

''We have also adopted a measure banning the use of airspace by Russian planes!''

 Most recently, the Prime Minister shared a new tweet expressing support for the Ukrainian President Volodymyr Zelenskyy.

For more on the Ukraine crisis and Croatia, as well as breaking news, follow our news section.

Monday, 28 February 2022

Which Croatian Companies Will Feel Direct Consequences of Ukraine Conflict?

February the 28th, 2022 - Some Croatian companies will end up feeling direct consequences as a result of the recent Russian invasion of Ukraine, and as the situation continues to escalate in that Eastern European county, it's difficult to predict how hard those consequences will be to deal with.

As Poslovni Dnevnik writes, Petrokemija, Ad Plastik, Prvo plinarsko drustvo (PPD), Span, Jadran Galenski Laboratorij, Fortenova Group and Sberbank… are just some of the business entities that will be directly affected by Russia's attack on Ukraine, Vecernji list reported.

Last year (during eleven months), Croatian companies exported goods worth 1.36 billion kuna to Russia and 362 million kuna to Ukraine. The value of imports from Russia doubled in one year, to 3.3 billion kuna, probably due to the significantly higher prices of energy, gas and fuel.

Imports from Ukraine stood at around 280 million kuna. When it comes to gas, Croatia is entering a precarious group of countries that are heavily dependent on Russian gas imports, which are still flowing underground while Russian boots spend their time trampling all over everything on neighbouring Ukrainian soil.

Only about one percent of Croatia's merchandise exports go to Russia, so the eventual loss of part or all of the revenue will not result in any shocks or a recession, but it would certainly be a blow to Croatian companies that have struggled for years to be present on what is typically a very difficult market.

The blow to Croatia and Croatian companies will come indirectly, first through inflation and the spillover of the costs of the war on energy and food. The annual inflation rate in Croatia is already at almost six percent, and food and energy are its big generators. Croatia is dependent on imported gas (imports 70 to 75 percent), oil and electricity, but also food.

Russia and Ukraine hold a quarter of the world's entire wheat production, a fifth of the corn production and four-fifths of sunflower oil production. Ukraine is the world's largest producer of sunflowers and potatoes, the sixth largest producer of corn and barley, followed by rye and soybeans, which immediately raised prices on agricultural commodity exchanges.

In addition to higher prices, shortages are possible, which will work to dispel dreams and plans about inflation as a short-term phenomenon that will dissipate by summer and which could be responded to with a one-time package, no matter how expensive that package of measures might be. While waiting for technical instructions and details on sanctions against Russia, Croatian companies are currently putting out the fire, writes Vecernji list journalist Ljubica Gataric.

For more, check out our business section.

Monday, 28 February 2022

Vlatko Cvrtila Talks Possible Balkan Consequences of Ukraine Crisis

February the 28th, 2022 - Croatian geopolitics expert Professor Vlatko Cvrtila has discussed the current conflict between Russia and Ukraine following Russia's unjustified invasion of that Eastern European country. He also touched on potential Balkan consequences of the war.

As Poslovni Dnevnik writes, Geopolitics expert Professor Vlatko Cvrtila spoke about the current and escalating situation in Ukraine on N1 television, where he went deeper and analysed the Russian invasion of Ukraine. He commented, among other things, on how the Russian-Ukrainian crisis could affect the Balkans.

"We're now in a version of the Cold War 2.0. We know how things were back during the Cold War. In addition to opposing ideologies and policies, each side sought to pursue its interests in some undefined territories in the world. These are the territories where the so-called proxy wars. The Western Balkans, that is, our region, is one of those areas, and as such it's another area in which Vladimir Putin would try to possibly sabotage those efforts of the West,'' Professot Vlatko Cvrtila said, and continued:

"The biggest concern is that it could potentially happen here in Croatia's region, given that there are countries and political structures that are very sympathetic to Putin and Russia, and here I mean primarily Serbia, but also Bosnia and Herzegovina, where Dodik has been seriously shaking things up for six months in that country in terms of announcing the exit of those institutions that were founded by the Dayton Agreement, and the Dayton Agreement was what stopped the war,'' he explained.

Vlatko Cvrtila also commented on whether one of the consequences of the Russian invasion of neighbouring Ukraine would be the formation of a European army.

"I'm not optimistic that it will be something that will form rapidly, but to the question of whether or not there'll be some strategic changes... there certainly will,'' Professor Vlatko Cvrtila concluded.

For more, make sure to check out our dedicated politics section.

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