Board Converting News, October 4, 2021

Board Converting News, October 4, 2021

BoardConverting Serving the North American Corrugated and Folding Carton Industries for 37 years October 4, 2021 VOL. 37, NO. 40

Graduates, Interns Bring Passion To Packaging Industry Via ICPF Throughout the years ICPF has repeatedly heard from executives, who have attended ICPF’s Dialogue Dinners, Teleconference and other events, that after meeting the participating students they are very ex- cited about the bright future for the industry. The following is an article on the corrugated packaging industry from the perspective of a recent graduate, who expresses the passion ICPF hears daily from the latest generation of students and upcoming graduates: My name is Kelsea Potthast, and I recently graduated from the Uni- versity of Florida with a Bachelor of Science degree in Business Ad-

Saica Group To Invest $800M In U.S. Market

Zaragoza, Spain based Saica recently con- firmed it will be investing $800 million in the U.S. market, growing through strategic acqui- sitions or new plant construction during the next five years. The growth follows last year’s announcement of Saica’s first U.S. corrugated plant in Hamilton, Ohio, scheduled to open in early 2022. The plans were unveiled as part of the company’s ‘Saica 2025’ strategic plan. “The journey to the U.S. market has not been an easy road, but we are convinced that we can provide products that will differ- entiate us in a crowded market,” said Ramón Alejandro, President, Saica Group. “We have been encouraged by the tremendous sup- port we’ve received as we began work on our plant in Hamilton, Ohio.” When open, the new plant will occupy 300,0000-square-feet and will include man- ufacturing, converting and production areas, along with a warehouse and office space. Ap- proximately 500 jobs will be created. “We believe our extensive knowledge of low-weight recycled paper production along with the increased demand for cartons makes this a great time to come to the U.S. market,” Alejandro said.

ministration, with a major in Mar- keting and a Minor in Packaging Science. I am pleased to share with you a brief history on the be- ginning of my ongoing success story with the corrugated pack- aging & displays industry. As a result of my sewing hob- by interest, I first connected with packaging in high school while taking an International Baccalau- reate class in Design Technology. When I entered the University of Florida, I quickly became even more enamored by packaging science. My first and favorite packaging class at UF was Princi- pals of Packaging. Despite being one of two students who were not engineers, the professor en-

WHAT’S INSIDE 5 Shorr Packaging Names Rob Onorato CEO 10 Acquiring Workers Amid Record-High Job Openings 14 Top Cybersecurity Threats To The Packaging Industry 20 Webinars To Help AICC Members Increase Sales

couraged my interest and participation in the subject. I then discovered the University of Florida Packaging Club. I joined immediately and pur- sued any type of club competition, event, or leadership opportunity. It was around this time during my junior year when I realized all my friends had already accepted an internship position. Due to my late realization of this requirement, I began trying to get interviews and at- tend career fairs in search of any type of internship opportunity. I tried to demonstrate my passion for combining the business principles of marketing with the engineering sciences of packaging in my elevator speech to anyone who would listen. However, company HR represen- tatives would repeatedly respond with, “So do you want to be on the CONTINUED ON PAGE 22 Kelsea Potthast

Thacker Industrial Service Company (T.I.S.CO.) is a machinery and equipment manufacturer that has been providing quality parts and support services to the domestic and global corrugated industry for more than 30 years.

n MOVING AND RIGGING n CONTROL CENTERS n COMPLETE REBUILDS

n REPAIR AND SERVICE n CONVEYOR INSTALLATION n MANUFACTURE TRACKS

n CONSULTING

24/7/365: Error-free, on time and on budget, T.I.S.CO. delivers “turn-key” installation of equipment and machinery anywhere in the world. Reliable. Professional. Dedicated.

ThackerIndustrial.com

800-242-2270

2 October 4, 2021

October 18-20, 2021 6513 Midway Road Haltom City, Texas See TISCO’s Rebuilt S&S 4-color 50”x 135” Flexo Folder-Gluer with a Diecut Section, TISCO’s Counter Ejector and more! OPEN HOUSE

AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser.

REGION E. Coast Midwest Southeast Southwest

42# Kraft liner

26# Semi-Chem. Medium

$1005.00-1010.00 $1020.00-1030.00 $1020.00-1030.00 $1020.00-1030.00 $1050.00-1060.00 $1023.00-1032.00

Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.

$940.00-990.00 $955.00-975.00 $955.00-975.00 $955.00-975.00 $975.00-995.00 $958.00-978.00

West Coast U.S. Average

SHEET PRICES BY REGION (AVERAGE) Per 1MSF, local delivery included, 50MSF single item order, truckload delivery. Sheets

E. Coast Midwest South-SW S. CA N.CA/WA-OR US Aver.

 Operating Machinery  Catered Lunch  Everyone Invited!

200# 275#

$62.26

$72.05

$62.69 $82.80

$85.35 119.54

$73.13 101.29

97.32

99.89

90.86

113.65

OYSTER UP-CHARGE 8.34

8.34

8.34

8.34

8.34

8.34

275# DBL-WALL 350# DBL-WALL

107.46 118.45

114.69 129.32

116.54 137.25 117.82 145.56

141.08 148.46

122.76 131.80

CANADIAN SHEET PRICES (AVERAGE) In Canadian Dollars, per 1MSF, local delivery included, under 50MSF single item order, truckload delivery. 200# 275# Oyster UC 275#DW 350#DW $78.56 $99.18 $9.00 $96.32 $105.83 CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton.

RSVP 800-242-2270

42# Kraft Liner 26#

Semi-Chem Medium

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East West

$970.00

$960.00 $995.00

$1,015.00

3

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October 4, 2021

Calling Profero Systems just another equipment supplier is like calling the Tour just a bike ride. Profero Systems

Proven unsurpassed customer service over the long run, commitment to our customers is second to none!

Add value to your Corrugating Process, be the go-to Company for your customers.

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704-923-0990

PO BOX 950 DALLAS, NC 28034

4 October 4, 2021

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Shorr Packaging Names Rob Onorato CEO, Funkhouser To Retire This Fall Aurora, Illinois based Shorr Packaging Corp. announced that its Board of Directors has appointed Rob Onorato, who is currently serving as the organization’s President, as the its next CEO, effective October 1, 2021. Onorato will also join the organization’s Board of Directors upon as- suming his new position within the organization. This transition in leadership comes during a monu- mental period for Shorr Packaging — one of unprecedent- ed growth and expansion of solutions, said David Shorr, Chairman of the Board of Shorr Packaging.

“The Board of Directors of Shorr has every confidence that Mr. Onorato is precisely the individual to further ac- celerate incremental growth for both our organization and our customers,” Shorr said. “Rob’s transition process to CEO was enhanced through the transparency and col- laboration of Craig Funkhouser as he shared his overall plans with senior leaders within the organization, and we would like to take a moment to thank Craig for the contin- ued stewardship and leadership he has demonstrated to Shorr Packaging throughout his transition into retirement.” Craig Funkhouser will leave his current role of CEO on October 1, 2021, following his eight-year tenure leading the organization — first as Chief Operating Officer, and subsequently in the role of CEO beginning in 2016. Funkhouser’s collaboration with Onorato over the past year (and into October) will ensure an effective transition of leadership, Shorr said. “Rob is a seasoned distribution and logistics expert who knows our business, brings an industry-unrivaled commit- ment to our customers and development of our internal talent, and has a demonstrated track record of facilitating measured growth and innovation,” said Shorr. Onorato is currently responsible for leading the orga- nization’s implementation of its strategic plan. Additional- ly, he is tasked with managing the strategic growth of the company with leaders of the marketing, sales, operations, strategic solutions and finance teams reporting to him. “I am humbled and beyond honored to have the oppor- tunity to lead Shorr Packaging into the next phase of its growth,” said Onorato. From left, David Shorr, Rob Onorato, and Craig Funkhouser.

5

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October 4, 2021

AF&PA Urges CA Governor Newsom To Veto Deforestation-Free Act AF&PA President and CEO Heidi Brock released the fol- lowing statement, calling on Governor Newsom to veto the California Deforestation-Free Procurement Act (AB 416): “The California Deforestation-Free Procurement Act ignores the fact that sustainable, working forests provide numerous benefits to the environment and local communi- ties. A healthy forest products industry goes hand-in-hand with healthy forests. In the U.S., the vast majority of wood used to produce paper and wood products is sourced from family-owned, sustainably managed forests. “We urge Governor Newsom to veto AB 416. Califor- nia has been a leader in sustainability. However, this bill could have unintended consequences for products with recycled content because producers would be required to prove the content did not come from a tropical deforesta- tion region. Recycled content is not exempt from the bill’s reporting requirements, and it is practically impossible for manufacturers to determine the origin of recovered fiber. “Third-party certification programs already exist and are utilized to meet forest management standards. Fur- thermore, this legislation is counterproductive to Califor- nia’s own commitments to boost housing supply, address the state’s housing crisis, as well as related supply chain issues.”

Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month June 2021

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

35.963 34.395

4.6

8.173 7.817

4.6

Industry Total

Year-to Date

June 2021

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

208.632 196.828

6.0

8.279 7.749

6.8

Industry Total

Containerboard Consumption (Thousands of Tons)

Year

Month

Percent Change Year-to-Date Percent Change

2021 2020

2.9450 2.8182

4.5

14.1095 13.3029

6.1

Container Board Inventory - Corrugator Plants (Thousands of Tons)

Corrugator Plants Only

Date

Percent Change Weeks of Supply

Percent Change

Jun. May

2.1046 1.9962

5.4

3.1 2.9

6.9

Shipping Days

Year

Month

Year-to-Date

2021 2020

22 22

126 127

SOURCE: Fibre Box Association

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6

October 4, 2021

40 ft of paper travel from preheater to hot plates 3 seconds of heat, glue and bonding 1 chance to get it right! the ZONE

Design & Production

Chicago Electric offers 10 technology solutions to control ‘the Zone’ CORRUGATOR Sectoral preheating plate

Our sectoral preheating plates provide direct heat by means of a double steam circuit, allowing for efficient heating in hard-to-access locations, as well as to act as a steam shower to open the paper’s fibre, making it receptive to absorbing the heat and the glue.

This translates into increased speed and improved quality of the cardboard sheet finish.

The system’s main advantages are as follows:

• The plate may only be used to heat, only to humidify, or both options at the same time. • The plate is sectored, which allows for applying humidity to the sections. • It provides temperature in previously inaccessible locations and near the location needed. • It compensates the loss of temperature dissipated due to distance, speed or limitations of the exiting preheaters. • Quick transferring of heat to the paper. • The combination of the hot plate and steam shower allows for providing heat even to the hardest papers to heat. • Does not dry out the paper. • Possibility of operating as a humidifier and pre-conditioner. • Maintains and improves the fibre’s elasticity. • Acts according to the operator’s needs. • Facilitates the paper’s hygroscopy to absorb the glue and improve rubberising.

CONTROLLABILITY

1. Wrap Arm - Position & Temperature 2. Preheater Direct Drive

DOUBLEBACKER IMPROVEMENT

3. Steam Plate 4. Contact Roll 5. Glue Machine Direct Drive Touch Productivity Issue—Glue Unit Many glue units run with a rider roll or a guiding bar system. The rider roll with paper gap allows a precise glue application, but requires frequent Contact Roll

PRODUCTIVITY

C/ Orfeó Català 13-15 · 08440 Cardedeu (Barcelona) telf: +34 93 846 01 06 · [email protected] WWW.AL-GAR.COM

DOUBLEBACKER IMPROVEMENT

calibrations and settings. Bar systems avoid this, but compensate this with the risk of exces- sive glue application. The system contains many wearing parts. Solution The contact roll combines the ad antage of both systems and ensures minimum contact between board and applicator roll. The system uses small pneumatic cylinders in order to achieve a “soft touch.”

6. Gap Control 7. Curved Plate 8. Roller Shoe Press When it comes to a short-term increas of web tension, spring loaded systems with shoes or airpressure activated system have problems in compensating these. The system is lifted for a short time. This may result in de-lamination and in the ‘double kiss’ effect. Solution For a defined and exact bonding point of the web fiv weight rollers will be installed usually over the first flat hotplate of the heating section. The rolls are mounted into a frame, which is actuated by means of two pneumatic cylinders. P oductivity Issu —Double Kiss Bonding

PRODUCTIVITY

PRODUCTIVITY

DOUBLEBACKER IMPROVEMENT

Roller Shoe

DOUBLEBACKER IMPROVEMENT

9. Thin Wall Hot Plates 10. Pressure System Benefits —Exact glue application due to defined contact of applicator roll to web. Web is in contact to less flute tips compared to bar systems. • High precision glue application • Less moisture applied to web —No wear of shoes and springs —No adjustment of shoes or paper gap —Uniform glue application over entire w orking width for all flutes by use of pneumatic cylinders instead of springs — Less contamination by paper dust and glue remains —No jam of board because of web breaks caused by splice joints going through 630-784-0800 Benefits —Rollers secure exact defined first point of contact of liner and single-faced board - No double kiss —Frame design avoids unintended lifting of roller shoe (compared to spring or air loaded systems) - No double kiss —Pressure can be increased or released for special grades or products 490 Tower Blvd., Carol Stream, IL Contact Chicago Electric to GET IT RIGHT 630-784-0800 [email protected] chicagoelectric.com Solution The ProPress system ensures an optimum heat transfer to the board. It offers a wide range of set- tings. The loadi g pressure can be varied, the number of shoes can be lifted in accordance t the line speed. The outer shoes can be lifted in accordance to the paper width. The shoe bars will be delivered pre-assembled for a short installation time. —Liftable for easy paper infeed and for cleaning of the machine —Position adjustable in paper direction to avoid grooves in hotplate Press Productivity Issue—Poor Heat Transfer Rollers are usually limiting the heat transfer, since they often have contact mainly on the edges of the plates due to wear or bent plates. They also cause often loss of caliper and bearing need to be replaced frequently. Airpressure actuated systems can only supply a limited pressure and have com- pared to shoe systems a closed surface. Pressure Shoe

Plate vity Issue—Poor Heat Control l hotplates are slow to react to pressure due to high steam volume and massive y also have high heat radiation and heat profile. Worn plates can damage crease edge crush.

Thin-Wall Hot Plates

t by peripheral drilled hot plates. anufactured out of special wear and nt steel, through which a continuous is drilled, with one inlet and one outlet. ecured by a massive steel frame.

CORR24usa.com

ance from steam to paper surface results in fast heat flow

AICC Joins 2021 Digital Packaging Summit As An Association Partner AICC, The Independent Packaging Association reported that it has become an Official Association Partner of the 2021 Digital Packaging Summit. The seventh annual Digital Packaging Summit will be held November 8-10, 2021, at the Ponte Vedra Inn & Club in Ponte Vedra Beach, Florida, where the health and safety of attendees is the No. 1 priority. The Summit is a hosted, invitation-only conference designed for senior managers and executives in label, flexible packaging, folding carton, and corrugated printing and converting who want to un- derstand how current and future digital printing technolo- gy and software will impact their business decisions. “AICC continues to be pleased to support the Digital Packaging Summit,” said AICC President Michael M. D’An- gelo. “This annual forum serves as an important function for AICC members to stay up to date on ever-evolving dig- ital technology and opportunities for paper-based pack- aging. The unique program of supplier meetings, case studies presented on a market-by-market basis, and social events, has proven to be a great experience for those who have participated in the past.” The goal of the Digital Packaging Summit is to provide attendees with a focused conference program that covers the key topics needed to understand their technology op-

tions, challenges, economics and critical decision-making criteria, while providing valuable peer interaction and ex- periences. “We are excited to have AICC joining us again as an official association partner,” stated David Pesko, Event Di- rector and EVP at NAPCO Media. “AICC serves indepen- dent corrugated, folding carton, and rigid box manufactur- ers and suppliers by providing access to education and information. Our goals are aligned as we look to provide our hosted attendees with a unique educational program featuring industry experts, brands and end users, as well as access to leading suppliers of digital solutions, software and supplies.” While users are looking for information and guidance, suppliers are looking for ways to identify and develop re- lationships with potential buyers specifically interested in production digital printing solutions. The Digital Packaging Summit is designed to meet both of these needs. The summit is free for qualified attendees. NAPCO cov- ers travel, hotel, meals, and entertainment for all qualified attendees. The Digital Packaging Summit will offer a first- class event experience, from exceptional dining and enter- tainment, to a first-rate venue, top-notch programming and networking opportunities you won’t find anywhere else. For information on the event specific safety protocols, sponsoring and/or being one of our hosted attendees, please visit www.digitalpackagingsummit.com or email [email protected].

8 October 4, 2021

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Whether you need to design and build a new corrugator steam system or a perfectly matched retrofit, turn to Boiler & Steam Performance for the most efficient process and reliable solution. We also offer specialized expertise to solve complex challenges and practical support to help you maintain peak performance. BACKED BY A 30 YEAR HERITAGE OF QUALITY AND PERFORMANCE.

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©2019 Boiler & Steam Performance, Inc. All rights reserved.

Acquiring Workers Amid Record-High Job Openings BY MARY DRAIN

tions – the lack of interest and the lack of skilled workers. The manufacturing skills gap is not simply a buzzword - it’s the reality that many manufacturers are facing right now. There are more open job positions than there are workers ready to fill them. A 2021 study conducted by Deloitte and the Manufac- turing Institute (MI) predicts that 2.1 million manufacturing positions will go unfulfilled by 2030, and 77 percent of manufacturers say they will have ongoing difficulties in attracting and retaining workers in 2021 and beyond. So, what can we do about it? One thing we can do is continue to showcase the corrugated industry. Our industry has a great story to tell from sustainability efforts to innovation. Manufacturing kept the world moving forward while fighting a pandemic, and boxes played a large role in that. A survey released on July 28 by Parsable found 56 percent of the Gen Z respondents said their views have changed toward the field with 77 percent saying they viewed the

There are currently a record number of manufacturing job openings going unfilled, which was reported in Fibre Box

Association’s (FBA) August Eco- nomic Trends and Outlook Report created by Dick Storat of Rich- ard Storat & Associates. The U.S. manufacturing sector continues to expand, but labor shortages are one of the key constraints to a full recovery. This is not a new chal- lenge for the corrugated packag-

Mary Drain

ing industry. For years we’ve discussed the two-fold issue that exists when trying to recruit talent for plant floor posi-

manufacturing industry as more important. We need to concentrate our efforts to make it clear that our jobs can offer upward move- ment and earning potential, along with be- ing personally rewarding. One of the ways FBA does this is by pro- moting national Manufacturing (MFG) Day, which addresses common misperceptions about manufacturing by giving manufactur- ers an opportunity to open their doors. It is easy to participate in MFG Day, which will be held this year on October 1, 2021. You can hold a career fair or workshop with lo- cal students, conduct a plant tour, or host an open house for visitors. All you have to do to show your support is register your event at creatorswanted.org . The other thing we can do is help bridge the skills gap: SkillsUSA is a partnership of students, teachers and industry, working together to ensure America has a skilled workforce. They serve middle-school, high-school and college/postsecondary students preparing for careers in trade, technical and skilled service occupations. There are local Skills USA chapters all over the country. Find one near one of your facilities and reach out. You could speak to the chapter about your job, department or our industry, host a tour at your facility or provide internship oppor- tunities - any or all the above. The U.S. Chamber of Commerce Foun- dation Talent Pipeline Management (TPM) Initiative practices are used across 37 U.S. states, D.C., and Canada to help employ- ers build scalable, sustainable pipelines of talent. Companies can use this approach

BALEMASTER: 75 YEARS STRONG — 1946 - 2021 —

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(219) 663-4525 | www.balemaster.com MAKING YOUR BALING PROCESS MORE PROFITABLE.

CONTINUED ON PAGE 12

10 October 4, 2021

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Acquiring Workers (CONT’D FROM PAGE 10)

to build strategic alignment between classroom and ca- reer that better supports students in their transition to the workforce. Find more information and case studies on TPM here. The solutions for acquiring skilled workers may not be easy but they are achievable. Let’s work together on this to ensure our industry has the skilled workers necessary to thrive. The International Corrugated Packaging Founda- tion (ICPF) and FBA can help you. Also, be sure to follow FBA on our social media channels on Twitter, LinkedIn, Facebook, Instagram, and YouTube. Our October focus is manufacturing and we’ll be sharing engaging articles and more information on careers in manufacturing. Mary Drain is the Director of Technical Services at Fibre Box Association (FBA). Reach her at [email protected]. ICCA/WCO 2021 Global Summit Will Now Be A Virtual Event Due to the ongoing COVID-19 pandemic, the International Corrugated Case Association (ICCA) has made the diffi- cult decision to cancel the in-person 2021 Global Summit. However, they will still be holding virtual presentations in its place on important industry topics. Look for more infor- mation to be announced in the coming weeks.

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Unpacking The Top Cybersecurity Threats To The Paperboard Packaging Industry BY PAPERBOARD PACKAGING COUNCIL You may think as a paperboard manufacturer you have immunity from the likes of cybercriminals. However, according to John Motazedi, CEO, and founder of SNC Squared, that couldn’t be further from the truth. John was one of the presenters at PPC’s virtual FEI forum and spoke exten-

sively about the dangers of cybercrime as well as the best ways to avoid being a sitting duck to cybercriminals. No Business Is Off-Limits One of the common falsehoods that John addressed is that cyberattackers only prey on large businesses – a sig- nificant misconception that has led one in five small businesses to fall victim to cybercrime annually. This number con- tinues to grow: small businesses are low-hanging fruit to cybercriminals be- cause they have very loose or no se- curity protocols in place. Another false- hood is that cybercrime only impacts

Cosmo DeNicola Chairman, Amtech Software

John Motazedi

Packaging ERP Algorithmic Scheduling Web-Based Access Online Customer Portals

businesses in specific industries. Within the past year alone, many major industries throughout North America reported cybersecurity attacks, in- cluding 13.9 percent in the manufacturing industry, 13.2 percent in the construction industry, 11.1 percent throughout utility industries, and 10.4 As cybercrime continues to grow, so does the occurrence of ransom- ware. Ransomware, which in the past was used to attack people on an individual basis, is now a widespread threat to businesses of all indus- tries and sizes. Ransomware is defined as a type of malicious software designed to block access to a computer system until a sum of money is paid. These types of attacks do not discriminate based on the type of device you use or the places you store your >Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44

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