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If Air Canada wants to compete on India-N. America routes, they will have do better

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Old May 12, 2019, 6:32 am
  #1  
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If Air Canada wants to compete on India-N. America routes, they will have do better

I'm now enjoying all the luxuries of the Sandman hotel near YVR. AC flight 45 was supposed to take off at 7:40 am on the 11th from DEL and arrive in YVR in afternoon. It actually did take off at 4:45 pm that day-- I got a couple of text messages to that effect, which is better than my colleague, who showed up at the airport at 6 am only to wait around all day. The would not give me a connecting boarding pass to SEA (though they did give one to my colleague, more on this later)....They sent me to the SQ SilverKris lounge in Delhi which was (yes, I'm serious) padlocked with a big chain through the door handles. Finally somebody shows up and says go to Plaza Premium upstairs-- they want us to pay to enter. The actual sleep pod in J on the 787 is actually very nice, and a couple of the FAs were very apologetic (crew change? mysteries abound, AC would not explain). I did mention repeatedly that I had a connection to SEA when I landed and it was the last flight of the day, departing only 35 mins after this flight arrived. The third time an FA said "I'm sure it'll be fine," I started getting nervous. We land, and the only AC staff outside the plane have signs for Canada domestic connections. We ask what to do about Seattle, they say, "no problem, go to USA transit area." OK, we run down there, and it's......closed. No, I'm not kidding, a woman started gesturing to us to say "go through immigration and check in again." We run through immigration, go up to USA check in zone (zero staff there, empty), and I try to get a boarding pass. Cannot-- too late for flight. Since there are literally no staff, I walk/run to the AC domestic area, where a guy takes me over to the ticketing area, and I wait, and wait, of course. They hem and haw and say that (shockingly) this was AC's fault. So, after a half hour of this, they say I can sit (in eco) of course tomorrow morning-- but tonight AC will comp me the beautiful Sandman hotel-- which is a shuttle ride away (I learn later that my colleague ended up in the Fairmont, which is walkable). They tell me to go to arrivals and call AC baggage to get my bag, and told me it would take five minutes. 45 minutes later, after they collect my bag, I go to wait for the shuttle, which I wait another 25 minutes wait. At 10 pm, a mere 3 hours after arriving, and 23 hours after we were supposed to originally take off, I'm in the hotel room. They did comp me, as a biz passenger, a $15 food certificate for YVR-- yay, this totally makes up for it all. At least today is a new day.....If Air Canada really wants to compete on the India-North America routes, they will have to do better-- there are lots of options from Delhi (BA, LH, Qatar, Emirates, even United).....
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Old May 12, 2019, 6:46 am
  #2  
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There is a reason why AC is cheaper for USA-Asia/India/Europe routes than the ME3 and Asian carriers
I can think of a half dozen options better than AC for your routing. Hope you learned your lesson and spread the word to your colleagues, friends, etc.
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Old May 12, 2019, 2:17 pm
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OP, does your colleague have S100K status?
Who did your colleague speak to or communicate with to get different results than you?
Did your colleague mention traveling companion when s/he was receiving assistance?
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Old May 12, 2019, 3:39 pm
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Although I am sympathetic to you for the poor treatment extended by Air Canada I believe that the experience must take into account some typical characteristics of flights to India from North America;
- These are not the most profitable routes and are subject to a cost sensitive customer demographic.
- Airlines do not typically offer their best aircraft/cabin options on these routes and the nicer carriers have to cut their costs some way to offset the price sensitive airfares allowances.
(It is no different than AF using its decrepit 'Africa/Caribbean' configuration for CDG-YUL routes.)
- Air Canada offers some of the shortest duration options for for the SEA-DEL. (Yes, I know that BA is pretty close on one flight but the fare is usually more and it is a cram the pax in configuration.)
- Flying the India routes is never fun, nor is the Indian airport experience anything other than a headache.
- Nothing stopped you from selecting an alternative hotel, if there was availability elsewhere. The Fairmont is about C$400 at the airport and the Sandman around $200. The hotels around YVR are a motley collection. If unhappy, pick a better quality hotel. Same for food. If $15 inadequate, pay the difference.
- Air Canada most likely has one of the cheapest airfares, probably $1,000+ cheaper. Use some of the savings to cover the additional costs.

Yes, you probably got abused in this regard, but United isn't any better. Air Canada has one of the worst OTPs, and they really don't care. FFs who use the airline, know this and budget their time accordingly. If you want quality and OTP , yes, you must select another airline. However, the premium quality airlines do not target the Indian market and the airfares on other carriers will be more expensive, so there will be a trade off.

Again, sorry for your experience.
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Old May 13, 2019, 9:23 am
  #5  
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Originally Posted by FiveGuysNamedRay
.If Air Canada really wants to compete on the India-North America routes, they will have to do better-- there are lots of options from Delhi (BA, LH, Qatar, Emirates, even United).....
well at least your seat was not deflated, on top of the worst OTP Air Canada has a major problem with broken J seats on its planes. Unfortunately, your letter of complaint will fall on deft ears, AC staff consider a 23 hr delay acceptable and have been trained not to care.
reality unless you are an Aeroplan/Altitude customer trying to get status you should not be flying AC.
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Old May 13, 2019, 11:07 am
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Originally Posted by Transpacificflyer
Although I am sympathetic to you for the poor treatment extended by Air Canada I believe that the experience must take into account some typical characteristics of flights to India from North America;
So it's ok to drop the ball on a paid J pax on a misconnect because the flight originated in India? IMHO most of the frustration in the post is about what took place in YVR. Pax should have been greeted upon arrival with hotel/meal voucher and onward boarding pass instead of getting sent from place to place due to lack of staffing. That likely would have minimized some of the frustration.

As far as what the competition offers, pricing comparisons, what to expect during a delay in India, etc. I think those are fair points, but once you are onboard AC's aircraft and flying through one of their hubs IMHO it shouldn't matter what country you're flying from/to. AFAIK Int'l Signature Service doesn't advertise different standards based on destination.
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Old May 13, 2019, 12:11 pm
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Originally Posted by Transpacificflyer
Although I am sympathetic to you for the poor treatment extended by Air Canada I believe that the experience must take into account some typical characteristics of flights to India from North America;
I'm probably one of the few people here who dislikes travelling to India more intensely than you, but this is a pretty weird post.

Originally Posted by Transpacificflyer
- These are not the most profitable routes and are subject to a cost sensitive customer demographic.
If you say so. Begs the question: why does AC dedicate more than 10% of its 787 fleet to this route (notwithstanding PAK airspace closure-related changes) while flying rust bucket 763s into LHR?

Originally Posted by Transpacificflyer
- Airlines do not typically offer their best aircraft/cabin options on these routes and the nicer carriers have to cut their costs some way to offset the price sensitive airfares allowances.

(It is no different than AF using its decrepit 'Africa/Caribbean' configuration for CDG-YUL routes.)
Just going to point out that LH flies 380s and 350s to DEL/BOM and 748s as well. Their "best"/newest aircraft, as you put it. While sending crappy 744s to YYZ and YVR. Seems they're cutting costs at the wrong end of the trip and taking it out on the wrong set of consumers.

The more likely explanation is that India is a far more competitive market than Canada. Which is why they send their second-rate aircraft to YYZ/YUL/YVR instead of DEL or BOM.

Originally Posted by Transpacificflyer
-- Air Canada offers some of the shortest duration options for for the SEA-DEL. (Yes, I know that BA is pretty close on one flight but the fare is usually more and it is a cram the pax in configuration.)
That's probably true. Yet it struggles to command a premium?

Originally Posted by Transpacificflyer
-- Flying the India routes is never fun, nor is the Indian airport experience anything other than a headache.
Odd one. Their immigration folk are a lot less rude there, and their baggage delivery is pretty damn quick compared to similar sized airports in Canada. Factoring in exit controls and touchy-feely security, I'd call it a wash at best.

Originally Posted by Transpacificflyer
- Nothing stopped you from selecting an alternative hotel, if there was availability elsewhere. The Fairmont is about C$400 at the airport and the Sandman around $200. The hotels around YVR are a motley collection. If unhappy, pick a better quality hotel. Same for food. If $15 inadequate, pay the difference.
AC let's you pick the hotels they put you up at? I learn new things everyday.

Originally Posted by Transpacificflyer
- Air Canada most likely has one of the cheapest airfares, probably $1,000+ cheaper. Use some of the savings to cover the additional costs.
Does the cheaper airfare come with the explicit caveat that you will be expected to pay the difference if things go wrong? I don't believe so.

Originally Posted by Transpacificflyer
However, the premium quality airlines do not target the Indian market and the airfares on other carriers will be more expensive, so there will be a trade off.
Presumably aside from LH, LX, BA, SQ, CX, NH, AF, VS etc. Not to mention the ME3 +TK. Even hearing that DL is resuming soon. Not convinced that AC is the cheapest either (BA/AF/KL etc are all in the same price range).

AC's bigger problem appears to be that the NA-India market views AC as a non-premium airline. It's perceived as being the in the same category as AI(which has always been seen as a low quality airline for the masses relative to, say Vistara). AC is now attracting the erstwhile AI crowd, which is probably why BOM is playing out the way it is.

Come to think of it, AC has handled this situation almost exactly the way I would have expected AI to. Birds of a feather...
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Old May 13, 2019, 4:00 pm
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Originally Posted by yulred
Begs the question: why does AC dedicate more than 10% of its 787 fleet to this route (notwithstanding PAK airspace closure-related changes) while flying rust bucket 763s into LHR?


Because the 763 doesn't have the range to reach India nonstop from Canada.
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Old May 14, 2019, 10:47 am
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Originally Posted by yulred


I'm probably one of the few people here who dislikes travelling to India more intensely than you, but this is a pretty weird post.



If you say so. Begs the question: why does AC dedicate more than 10% of its 787 fleet to this route (notwithstanding PAK airspace closure-related changes) while flying rust bucket 763s into LHR?



Just going to point out that LH flies 380s and 350s to DEL/BOM and 748s as well. Their "best"/newest aircraft, as you put it. While sending crappy 744s to YYZ and YVR. Seems they're cutting costs at the wrong end of the trip and taking it out on the wrong set of consumers.

The more likely explanation is that India is a far more competitive market than Canada. Which is why they send their second-rate aircraft to YYZ/YUL/YVR instead of DEL or BOM.



That's probably true. Yet it struggles to command a premium?



Odd one. Their immigration folk are a lot less rude there, and their baggage delivery is pretty damn quick compared to similar sized airports in Canada. Factoring in exit controls and touchy-feely security, I'd call it a wash at best.



AC let's you pick the hotels they put you up at? I learn new things everyday.



Does the cheaper airfare come with the explicit caveat that you will be expected to pay the difference if things go wrong? I don't believe so.



Presumably aside from LH, LX, BA, SQ, CX, NH, AF, VS etc. Not to mention the ME3 +TK. Even hearing that DL is resuming soon. Not convinced that AC is the cheapest either (BA/AF/KL etc are all in the same price range).

AC's bigger problem appears to be that the NA-India market views AC as a non-premium airline. It's perceived as being the in the same category as AI(which has always been seen as a low quality airline for the masses relative to, say Vistara). AC is now attracting the erstwhile AI crowd, which is probably why BOM is playing out the way it is.

Come to think of it, AC has handled this situation almost exactly the way I would have expected AI to. Birds of a feather...
It is two way traffic to India so much as the "Indian" customer might be cheaper as per Transpacific flyer, its not all like that. Indians are used to cheaper LCC which IMHO are actually better than some NA mainline carriers - they are on time, cleaner and newer and seat configs might be better than Rouge.
Most local carriers put their lowest international product on the Gulf routes as they are short haul and price sensitive. For the Indian customer the gold standard and probably rightly so is the ME carriers and far east carriers (SQ, etc). I know people who pay more to fly EK in Y as an example. Not very long ago LH uses to fly their old 747 to India with the overhead TV screens. Now that they have newer planes and decent connections, FRA/MUC and even ZRH (LX) are good transit points.
Now that 9W is dead, perhaps AC can try the BOM route again perhaps once the PAK airspace issue also clears up. I am also assuming that airlines will have to make plans to currently not fly around Yemen, and soon perhaps avoid Iranian airspace and the vicinity with all the recent sabre rattling. So finding a safe route to BOM might involve avoiding PAK airspace, Iran/Iraq and Yemen. Flights to/from India have gotten more expensive with the demise of 9W.
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Old May 14, 2019, 6:54 pm
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Originally Posted by Biscuittin
Because the 763 doesn't have the range to reach India nonstop from Canada.
Okay, but that doesn't explain why AC isn't dropping these allegedly low-yielding India routes to free up 787 for higher yielding routes.

My guess is that the DEL route is probably quite profitable, notwithstanding dated preconceptions about India and the NA-India market. I think it's fair to say that the India-NA market has evolved a lot quicker over the past decade, than some FTers perception of the market has. What held true in 1999 may no longer hold true in 2019.
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Old May 14, 2019, 8:07 pm
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Originally Posted by vernonc
It is two way traffic to India so much as the "Indian" customer might be cheaper as per Transpacific flyer, its not all like that. Indians are used to cheaper LCC which IMHO are actually better than some NA mainline carriers - they are on time, cleaner and newer and seat configs might be better than Rouge.
Most local carriers put their lowest international product on the Gulf routes as they are short haul and price sensitive. For the Indian customer the gold standard and probably rightly so is the ME carriers and far east carriers (SQ, etc). I know people who pay more to fly EK in Y as an example. Not very long ago LH uses to fly their old 747 to India with the overhead TV screens. Now that they have newer planes and decent connections, FRA/MUC and even ZRH (LX) are good transit points.
Now that 9W is dead, perhaps AC can try the BOM route again perhaps once the PAK airspace issue also clears up. I am also assuming that airlines will have to make plans to currently not fly around Yemen, and soon perhaps avoid Iranian airspace and the vicinity with all the recent sabre rattling. So finding a safe route to BOM might involve avoiding PAK airspace, Iran/Iraq and Yemen. Flights to/from India have gotten more expensive with the demise of 9W.
In fairness, LH insisted it wouldn't install PTVs in Y in the mid-to-late 2000s. Then EK took it to the cleaners. In fact EK's arrival on the scene forced some interesting changes. See this article from 8 years ago about how BA and LH, neither new entrants to India, had to re-invest in their India product following EK's arrival:
http://www.airlinetrends.com/2011/10/13/lufthansa-britishairways-emirates-india/

There is money to be made on NA-India routes because there are a lot of Indians with money on both sides of that equation. One need only walk around a high end Indian mall to see the variety of luxury storefronts that Canada can't sustain.

This moneyed section of Indian society is growing. The key is that it is status- and brand-conscious to an almost incomprehensible level. I once flew AI in J shortly after it entered *A. None of the mostly middle class Indian folk I interacted with could understand why I hadn't flown 9W instead. Some airlines have built that brand and can command that premium (LH, SQ etc). Others not so much. Granted there will always be a lower yield market for Air Uzbekistan and Air India.

IMHO, AC's challenge is that airlines' reputations among Indians (inside/outside India) are tied to their complete product (J and Y) as opposed to segmenting by cabin (superior J service). The reason is simple enough: in a status-conscious society, if your peer group, which mostly flies Y, thinks an airline is terrible in Y, its assumption is that J must be equally bad (regardless of whether it is or not). Nobody thinks highly of those who fly CA or T5 in J. SQ and EK on the other hand...(despite their less than stellar regional J configs)

I sometimes wonder if AC management understands that. The AC Y product is arguably one of the worst on the India-NA market - certainly the worst "western" Y product serving India now that WOW is gone. I can't see that changing, so it's probably always going to be perceived as an AI type "for the masses" airline getting by on NA *A loyalty in the premium cabin. Which should be enough to keep it going.

As for BOM, I don't follow. Doesn't AC use Iran airspace for DXB flights? It would be a standard Iran-Oman-BOM route the way LH etc do it. I may be mistaken, but isn't UA still flying to BOM?


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Old May 14, 2019, 8:41 pm
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Originally Posted by yulred


Okay, but that doesn't explain why AC isn't dropping these allegedly low-yielding India routes to free up 787 for higher yielding routes.

My guess is that the DEL route is probably quite profitable, notwithstanding dated preconceptions about India and the NA-India market. I think it's fair to say that the India-NA market has evolved a lot quicker over the past decade, than some FTers perception of the market has. What held true in 1999 may no longer hold true in 2019.
You are correct. AM an expat and visit India every year. The Middle Class there is exploding numbers...people have money, have started spending it , great travel thirst. USA visas have been made very difficult so US is losing $$$$, more Indians go to Europe than USA.
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Old May 14, 2019, 9:49 pm
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Originally Posted by yulred


In fairness, LH insisted it wouldn't install PTVs in Y in the mid-to-late 2000s. Then EK took it to the cleaners. In fact EK's arrival on the scene forced some interesting changes. See this article from 8 years ago about how BA and LH, neither new entrants to India, had to re-invest in their India product following EK's arrival:
AirlineTrends » How Lufthansa and British Airways are competing with Emirates on Indian routes

There is money to be made on NA-India routes because there are a lot of Indians with money on both sides of that equation. One need only walk around a high end Indian mall to see the variety of luxury storefronts that Canada can't sustain.

This moneyed section of Indian society is growing. The key is that it is status- and brand-conscious to an almost incomprehensible level. I once flew AI in J shortly after it entered *A. None of the mostly middle class Indian folk I interacted with could understand why I hadn't flown 9W instead. Some airlines have built that brand and can command that premium (LH, SQ etc). Others not so much. Granted there will always be a lower yield market for Air Uzbekistan and Air India.

IMHO, AC's challenge is that airlines' reputations among Indians (inside/outside India) are tied to their complete product (J and Y) as opposed to segmenting by cabin (superior J service). The reason is simple enough: in a status-conscious society, if your peer group, which mostly flies Y, thinks an airline is terrible in Y, its assumption is that J must be equally bad (regardless of whether it is or not). Nobody thinks highly of those who fly CA or T5 in J. SQ and EK on the other hand...(despite their less than stellar regional J configs)

I sometimes wonder if AC management understands that. The AC Y product is arguably one of the worst on the India-NA market - certainly the worst "western" Y product serving India now that WOW is gone. I can't see that changing, so it's probably always going to be perceived as an AI type "for the masses" airline getting by on NA *A loyalty in the premium cabin. Which should be enough to keep it going.

As for BOM, I don't follow. Doesn't AC use Iran airspace for DXB flights? It would be a standard Iran-Oman-BOM route the way LH etc do it. I may be mistaken, but isn't UA still flying to BOM?


Re Iran airspace, yes, AC was and everyone is using it to get to BOM. However what I was alluding too is the current US/Iran sabre rattling and the threat of hostilities. If that happens, then very likely no one will overfly Iran airspace. It is a big what-if but would affect AC/UA more since they will be at the edge of their fuel limits to allow for any further deviation.
Re AC Y to India and BOM in particular, I have flown the route as have several people I know. Many complaints about leg room and a lot of complaints about food quality. Some would definitely fly others over AC even with a stop since they would possibly get a lower price and better soft/hard product. And as I stated earlier some would pay more to fly EK.
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Old May 15, 2019, 1:47 am
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Originally Posted by yulred
If you say so. Begs the question: why does AC dedicate more than 10% of its 787 fleet to this route (notwithstanding PAK airspace closure-related changes) while flying rust bucket 763s into LHR?
AC flies all sorts of equipment into LHR. 763s have better J/Y ratios than 789s. Filling planes to LON from Canada is easy, so they can get away with flying whatever they want.

There's no getting around the fact that India is a price-sensitive market. AC can certainly fill the front of the plane with good yield pax, but their 789s have horrible J/Y ratios. UA, NH and BA, among others, have far more J seats on their 789s. And while there are moneyed people in India, they have idiosyncratic spending habits and in any case, are not clamoring to fly AC. High-end retail in India is extremely underdeveloped and not even close to what you can get in Canada, which itself is a backwater for luxury goods - there is not a single Patek Philippe retailer in all of India, for example.

Of course, this is completely unrelated to the bad experiences described by OP. But I think it is perfectly fair to describe India as a challenging market for profitability.
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Old May 15, 2019, 3:04 am
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Originally Posted by Santander
AC flies all sorts of equipment into LHR. 763s have better J/Y ratios than 789s. Filling planes to LON from Canada is easy, so they can get away with flying whatever they want.

There's no getting around the fact that India is a price-sensitive market. AC can certainly fill the front of the plane with good yield pax, but their 789s have horrible J/Y ratios. UA, NH and BA, among others, have far more J seats on their 789s. And while there are moneyed people in India, they have idiosyncratic spending habits and in any case, are not clamoring to fly AC. High-end retail in India is extremely underdeveloped and not even close to what you can get in Canada, which itself is a backwater for luxury goods - there is not a single Patek Philippe retailer in all of India, for example.

Of course, this is completely unrelated to the bad experiences described by OP. But I think it is perfectly fair to describe India as a challenging market for profitability.
We're not really disagreeing. Every market has a price-sensitive segment. Airlines that only cater to that segment will find it challenging to make serious money. The point is that there are other - more profitable - segments. Some airlines can tap into that. Some can't.

it's compounded by idiosyncratic behaviour - a lot more emphasis on status and prestige and keeping up with the Joneses. Flying certain airlines - even in Y - is seen as better than flying with other airlines (even in J). Reputation and brand value drive consumer behaviour in the affluent/chattering middle/upper middle classes a lot more than they do in the west.

AC's brand and reputation, insofar as it exists, isn't great in the India-NA market. I wouldn't be surprised if they're struggling to pull NA J pax off LH despite an objectively better hard J product.

That, IMHO, is down to the havoc AC's awful Y product is wreaking on on its reputation. It's effectively established itself in the same ring as AI, Air Asia and the Central Asian carriers. It caters to the most price-sensitive segment and faces the challenges therein. That segment, however, is not representative of the market as a whole. The challenge AC is facing/will face is that it's stuck fighting for scraps at the bottom of the barrel in what can be a reasonably profiable market.
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