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OT Bones, OTC Con-man CEO
I still have some stock in an OTC, fully reporting company with audited financials. Unfortunately the whole thing was a fraud. Hollywood couldn't make a movie out of this story because nobody would believe the plot.
After being released from prison for securities fraud the con-man CEO and his crazed killer girlfriend bought a clean OTC shell and acquired several losing dot coms from their desperate owners. The CEO issued glowing PRs, and lied to all concerned (the auditors, the SEC, and employees). Each of the companies he acquired knew that their "division" was losing money but assumed that the other "divisions" were making up for it. The SEC finally kicked in the door and arrested the CEO and his girlfriend (who was a controlling person in the company).
http://www.sec.gov/litigation/complaints/comp17835.htm
His girlfriend's tale is a story of murder, drugs, and deceit. If you read this filing from page three; it will make your blood run cold. Ask yourself: why were those people murdered? Why did she risk smuggling a lethal amount of cocaine into the prison? Why not let her husband dry out behind bars?
http://www.tsc.state.tn.us/OPINIONS/tcca/PDF/982/steplstr.pdf
My point is that if these two could control a US public company for over two years anyone can - no matter how crooked they are.
best2
Blue_in_M, nice post - I was hoping too.
The increased pace of the fragmentation proposals you mention may have something to do with Lyamec's stated "objective to effect managerial change at Grifco". Big plans proposed but no filings made.
Kind of like Big Hat, no Cattle
I'm long again (slightly) and maybe something interesting will develop.
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Mypointz, You're right, the exchange was
just authorized in a final decree by the People's Committee on June 3rd. The new "stock market" has a director and, according to today's press release, the Egyptians are lending a hand in the training of the new Libyan stock market's employees:
http://www.libyaninvestment.com/news/2006-07-21-02.php
I can't imagine it becoming functional soon, but that depends on the Libyan government's priorities & it seems to be moving forward. Plans for "Grifco Oil Tools Libya" to be listed according to Lyamec's PR:
http://biz.yahoo.com/prnews/060509/latu127.html?.v=37
I agree that at Grifco's speed it probably won't be soon.
best2
Hi 10 bagger,
Here's one of the PRs from Litfiber listing Jim Dial as Investor Relations contact:
http://press.arrivenet.com/technology/article.php/494575.html
Interesting crew running Grifco, wonder how they became associated with Lyamec.
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Mypointz, Lyamec had me confused too
but Grifco's PR clearly implies a stock offering:
"...agreement with Lyamec on a $2.25 proposed offering. Filings for either foreign securities registration or U.S securities registration are currently under review."
They talk about registering securities, "the asset separation agreement", and that "subsidiaries will become "stand-alone" companies."
True, they didn't use the phrase IPO, or "stock offering". If I'm reading this right there should be follow-up PR discussing the IPO.
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Blue, Grifco is proposing an IPO
as I read it. The Libyan stock exchange has just been authorized and there's a PR about "Global Oil Tools Libya" (G.O.T.L.) being listed there.
Before anyone says it, I will. Here's a company that can't file financials, Reg FDs, or even PR unaudited financials - yet they casually propose an IPO (possibly a foreign IPO). Grifco needs to get their act together before any of the proposed spin-offs, CTBG & G.O.T.L., can occur.
The Elves from Lyamec have their work cut out for them:
"As announced on March 27, Lyamec will assist in enhancing corporate operations for Grifco, starting with the creation of a corporate operations committee. The committee will be comprised of oil and gas industry experts, as well as individuals with micro- and small-cap company financial management and SEC Compliance expertise."
This process could be dragged on for months or could all come out as a big lump. Nothing from Grifco has been filed with the SEC so far this year (CTBG & GFCI have, I think, 2 paper filings)...
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Strongus, you can pay less to
increase your position if GFCI continues to tank tomorrow on no news.
I was going to wait for 12¢ but I guess I lack the discipline or patience to wait for the price to fall to a more comfortable level.
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That would be me, Go Grifco EOM
The shorts thank BBB
for the excellent work he has done on our behalf.
We were desperate! Couldn't find any more brokers with shares of GFCI to loan out (so many had been borrowed already!). Thank goodness for the list of brokers with shares provided by BBB, don't know what we would have done without it.
Now that Jim Dial has acquired a list of accounts faxed to him by cooperative shareholders, we no longer need the updates from BBB.
Thanks
___________
I'm just kidding about Jim Dial and BBB no doubt they are both honest folks - but think about how the information you post could be used...
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SLAP suits don't cost much to file
Some public companies have, especially if they want to silence critics. Are paying court costs and disrupting your life worth the fleeting pleasure of defending your ego on a chat board?
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Strongus, Nice find
An article mentioning Grifco is in the Sept 19th, 2005 issue of Oil & Gas Journal - :
http://www.ogj.com/currentissue/index.cfm?p=7&v=103&i=35
"Drilling Market Focus: Coiled-tubing use growing faster than drilling industry..."
I don't have a subscription so I can't read the article on-line. I think someone posted the article or at least a synopsis.
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10 Bagger, the PR could be about you!
There's no doubt in my mind that you are "building" a multi-billion dollar portfolio (even if you aren't quite there yet).
If you bought 100 shares of Rolls-Royce you would be a "stakeholder" in 13 power generating plants through Rolls-Royce Power Ventures, the Group's power project developer. If you buy another 100 shares of Rolls-Royce you are undoubtedly "expanding" your "acquisitions".
Were you a shareholder in GFCI when they acquired/merged with Global tools? If you were then you are "building" your portfolio through "aggressive mergers and acquisitions".
That covers the US and England. If you get a few hundred shares in both a French firm and some company in Libya then you could issue the same PR that Lyamec published LOL
You must read these things carefully - be mindful of the minimum it would take to defend them (and your posts) in court.
best2
American Finance has a web site
updated in 2005:
http://www.americanfinanceco.com/
Note the outline of the pyrimid capped with an eye from the great seal of the United States (seen on the $1 bill) in their logo.
I won't let them run scripts, so I can't veiw/comment on the content.
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Can't post this on RB, anyone spot a TOS violation?
Sirtemp0, your post highlights the difficulties
that potential investors face when trying to do any due diligence on a pink sheet stock. The standard documents, SEC filings, & financials, are missing.
Potential investors are left with company press releases and, if they're lucky, conference calls. These communications generally contain "forward looking statements" (unless historical facts are being discussed). Company officers are expected to promote their company's prospects so investors are forced to evaluate the odds that the business plan will succeed. Since the filings are missing we are left with:
Credibility - based on past performance
Plausibility - based on the company's stated business position & assets
Salesmanship - based way the plan is presented.
Looking at the company PRs, both Lyamec and Grifco need to improve their salesmanship. GFCI is trading far below the $2.25 potential offer touted by Lyamec. It looks like the market is discounting the deal for now.
I guess I'm in the "weak hands" category. My hands were too weak to hold the stock but strong enough to seize a modest profit. If Grifco is able to complete a buyout deal I think the first indication would be sudden, mad GFCI buying in the market.
BTW, "Don't let the cat out of the bag" and "Don't ever buy a pig in a poke" are expressions from an old scam. The con sells the mark a cat in a coarsely woven bag (a "poke" for carrying live animals) claiming it is a suckling pig. Everything goes well unless someone lets the cat out of the bag.
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Pumper's handbook
Golly Mr. and Mrs. X, you can't sell your GFCI stock now because...
April-May...You'll miss the CTBG stock (soon to be reporting) dividend!
June-July...You'll miss the run to $2.25 and the CTBG stock (soon to be reporting) dividend!
August-September...You'll miss the run to $2.25, the CTBG stock (soon to be reporting) dividend, and the reworked oil wells in Libya!
___________________
Folks, this is a joke. I'm just having some fun extrapolating our expanding expectations
best2
Congratulations Strongus & longs
Looks like I waited too long - especially if there's an announcement from Grifco this weekend.
best2
Hi Strongus,
I was pulling your leg about the religious police after your comments about "non believers". It's up to Grifco to get their act together. Bashing or pumping on message boards won't change the facts as they emerge.
To paraphrase Forest Gump, "Grifco is as Grifco does".
As for my trading, I missed the high of the day on Monday. I'm not very bright - just got lucky.
best2
Strongus forms the Grifco Mutaween
"...it is just matter of days before non believers are forced to shut up. Forever!"
Any guesses on the number of days?
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Hi 10Bagger - let's make some money!
Well, I doubled my money trading Grifco - so it's possible. If history is any guide there should be a "clarifying" GFCI PR issued late this week - early next. The question, as I see it, is how far the stock price will fall before the new PR is issued.
For example, the CTT spin-off & "we will become a reporting company soon" series of PRs each caused a market reaction after the stock price had fallen back to ~24¢ & ~22¢. After the end of the month time frame expired the price declined to >15¢ before the new Buyout PR initiative began.
I'm looking at some where below 18¢ in anticipation of the Grifco response to Lyamec PR (like the April 4th '06 and June 9th '05 PRs). This PR campaign has been pretty effective so far, what's your buy back point?
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Lentinman, I sold all at 30 cents
The reaction to Lyamec's PR was much better than I thought it would be. GFCI blew by my max price guess in the first hour and I took my profit.
Good luck to all the longs - I'm on the sidelines for now.
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Len, $0.2327 or 23.27 cents
I'd be happy to be surprised on the upside
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Judging from past action, the 2ond buyout
announcement could briefly lift the price to 23.27¢ for the Monday high. The “considers offers” PR didn’t work for long in June & I don’t expect much now. A “SOLD” PR would be much, much better.
Whoever is manipulating the price hasn’t let the price run up very high before massive selling kicks in.
The “financials disclosure” PR didn’t work for long; a financial report would be better.
The “Buyback” PR didn’t work for long; how many shares were bought back?
The “CTT spin off” PRs each caused a flutter; an actual spin off would be better.
Prediction - Grifco will post a “clarifying” PR soon (within 5 days).
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Hi Andy,
Sure the $2.25 offer mentioned by Lyamec is great news. It's even higher than the $59 million mentioned in Grifco's June 8th PR (assuming a ~40 million share count).
The Lyamec PR is about Lyamec's demands in the event of a merger/acqusition. Looks like (IMO) Lyamec and Grifco have made a deal on Lyamec's share of the spoils and Lyamec's continued control of Libya for the potential buyer to mull over.
Now Grifco can "move on the USD $2.25 per share offer" but the potential buyer must agree to Lyamec's demands if they want Libya.
best2
Lyamec announces Poison Pill
LOOK beyond the (great) Grifco offer price in the PR from Lyamec. The Lyamec PR is about Lyamec’s big cash demands and Lyamec’s control of the Libyan venture.
“Lyamec states acquisition initiatives on the ... Libya facility entails an additional premium of USD $28 Million to be paid directly to Lyamec.” [grandiose description of the facility omitted]
The new owners of Grifco must pay Lyamec an additional $28 million if they want to be part of the Libyan venture.
“In a statement by Interim CEO RG Raymond, "Clearly, it would be an unwise decision on anyone's part to perceive that any offering to acquire a majority stake of Grifco at this stage will lead to leveraging their position on the Libya facility without our approval, regardless of Grifco's current assets and or commercialized tools and products.”
In this statement Lyamec warns it must approve any purchaser's plans for the Libyan facility no matter what. That's in addition to the $28 million payment!
As I read it, Libya just got more expensive for a potential Grifco acquirer (more for Lyamec, less for everyone else). A potential $2.25 offer is great news and I’d be happy if it gets signed. Is Lyamec trying to torpedo the potential deal with this poison pill?
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Jtomm, not so sure,
I think they are in compliance with the announcement, but I don't see how GFCI can be trading ex-div either. What Grifco announced along with the "record date" was:
"The name of the issuer and title of that security, the amount to be paid or distributed, and the rate of the dividend or distribution"
and
"Details of any condition which must be satisfied or Government approval which must be secured to enable payment of distribution"
They can give notice to the NASD:
"...in no event later than the effective date of the registration statement to which the offering relates"
That's why I think they are in compliance - but IMO your point about the distribution date is still valid. The PR says "CTT and Grifco hope the distribution of shares will be completed by July 1, 2006". They say that buyers on May 1 get the dividend "for every 1 share owned of GFCI" but don't say whether the dividend will follow with a "due bill" if you sell your GFCI before the distribution.
This is the Pinks and maybe I'll learn something new from this as the information trickles out. IMO Grifco won't attract new investors if the story becomes too convoluted.
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Here's a link to the law under discussion.
Link to 240.10b-17 "Untimely announcements of record dates"
I'm not an expert but I think Grifco complies. I have emphasized both the possible sections (CTBG dividend shares registered or not registered) that I think could be relevant in the debate here about the CTT share distribution:
http://www.law.uc.edu/CCL/34ActRls/rule10b-17.html
(b) Notice shall be deemed to have been given in accordance with this section only if:
(1) Given to the National Association of Securities Dealers, Inc., no later than 10 days prior to the record date involved or, in case of a rights subscription or other offering if such 10 days advance notice is not practical, on or before the record date and in no event later than the effective date of the registration statement to which the offering relates, and such notice includes:
(i) Title of the security to which the declaration relates;
(ii) Date of declaration;
(iii) Date of record for determining holders entitled to receive the dividend or other distribution or to participate in the stock or reverse split;
(iv) Date of payment or distribution or, in the case of a stock or reverse split or rights or other subscription offering, the date of delivery;
(v) For a dividend or other distribution including a stock or reverse split or rights or other subscription offering:
(a) In cash, the amount of cash to be paid or distributed per share, except if exact per share cash distributions cannot be given because of existing conversion rights which may be exercised during the notice period and which may affect the per share cash distribution, then a reasonable approximation of the per share distribution may be provided so long as the actual per share distribution is subsequently provided on the record date,
(b) In the same security, the amount of the security outstanding immediately prior to and immediately following the dividend or distribution and the rate of the dividend or distribution,
(c) In any other security of the same issuer, the amount to be paid or distributed and the rate of the dividend or distribution,
(d) In any security of another issuer, the name of the issuer and title of that security, the amount to be paid or distributed, and the rate of the dividend or distribution and if that security is a right or a warrant, the subscription price,
(e) In any other property (including securities not covered under paragraphs (b)(1)(v) (b) through (d) of this section) the identity of the property and its value and basis for assigning that value;
(vi) Method of settlement of fractional interests;
(vii) Details of any condition which must be satisfied or Government approval which must be secured to enable payment of distribution; and in...
________________________
note: rest of section not copied
Hope this helps
best2
Stocksbonds,
The way to run a scam in this situation would be to control the price of CTBG while dumping millions of GFCI shares onto the market. The share dividend lures a stream of new speculators who buy GFCI. Only take about $ half million in the boodle to insure the 10 million or so CTBG float stays above 15¢/share and you could sell your excess CTBG on PR pops.
Meanwhile you would dump GFCI into every rise and confound speculators with many million+ share days. The confusion over the distribution date would keep some longs from selling.
Of course that's not happening here - Grifco stands by the 1.89 share dividend ratio.
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Yo Dr. Bill, angst?
Have you told your "following" about Grifco, the undiscovered gem?
Market action seems to be saying that there will be a disappointment now followed by a 10SB pop later. Lots of 22¢ shares churning. I can feel the excitement building, except that the price doesn't move.
On the other hand all Grifco has to do is submit the filing - then have it accepted - err... how long does that take for an initial filing? Could be in it's final stages, except that the PR says the 10SB "is expected to be filed in April 2006"
Cultivating pink sheet shareholders is like growing mushrooms: we're kept in the dark and fed a dollop of crap once in a while. So I expect a PR leading up to the exciting acceptance of the 10SB.
If you lack inspiration, just read one of BBB's old sermons; Grifco will surprise the cynics, squeeze the "shorts" and we'll enter the land of milk and honey. There's always a chance he's right if the company is making money.
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O.T. "1 million barrels in the ground"
Recoverable oil? Is that estimate based on seismic data alone? Part of or near an existing, proved field? Some outfit drilling in the mid west has claimed 100% completion of wells but failed to mention that the oil found is not economically suited for production (Ohio I think, can't find a link to the story). 1 million barrels isn't much & if the first well initially produces 80 bbl/day of high sulfur crude + sour gas....
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Dr. Bill, Buying small amounts of CTBG
(to keep the price up) would make it easy for someone to leverage GFCI expectations and play with larger trades in GFCI - but I don't know that's happening. It's possible that the low float of CTBG by itself is to blame.
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New York Lawyer
and a good one; "Peter Campitiello, Grifco's SEC counsel":
http://www.lbsnylaw.com/Campitiello.htm
The law firm describes themselves as follows:
"Levy & Boonshoft, P.C. is a sophisticated boutique law firm located in the heart of Manhattan. Our firm represents a varied clientele, which includes public and private corporations, investment banks, real estate developers, hedge funds, foreign corporations and sophisticated individuals."
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10 Bagger, not Grifco's statements, Lyamec's
If Jim Dial has a controlling interest in Grifco then Lyamec could not "force" Dim Dial do their bidding with a share vote. Why issue a PR titled "Lyamec to Force Changes at Grifco International"? Why not something like "Lyamec and Grifco work together to implement changes in corporate governance"? We could have had three "good news" PR's and a stock price much higher IMO.
Lyamec damaged Grifco's market cap in their PR with language like "Lyamec to force changes" (as though Grifco were unwilling) and "historical shortfalls that may have impacted the company's performance" (as though they were unhappy with Grifco's performance).
IMO there would be fewer stockholders dumping their shares now if Lyamec had sounded like a happy partner their PRs. I think that the partnership's interests, and ours, would be better served if Lyamec did not use expressions like "force and implement executive level changes at Grifco International." What was Lyamec's motive for using misleading language in your view? I can think of three:
1) Coercion by PR - force Grifco to respond by hurting Grifco's market cap.
2) Controversy then resolution to generate interest in the Grifco/Lyamec deal - something like disk jockeys who attack each other on the airwaves to get more listeners
3) Some sort of short term stock trading game.
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Money, "I hope lymac does something soon"
besides bash Grifco in a public PR a week before good news is released. This is the second time they've pulled this act and it stinks.
There were millions of shares ready to dump into the pop on the good news this time around.
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Hurry, Hurry, Four shares for a Dollar
Limited supply so act now before prices rise. You think the price will fall - but Don't Wait. There may be only One million shares remaining from these crazy sellers so act now.
As an added bonus we are offering not One but almost TWO shares of Coil Tubing Technology Incorporated at no extra charge! Coil Tubing Technology is another fast growing company with unique oil well tools that are in great demand. This stock is currently trading for 23¢ under it's very own symbol!
You get Four shares of Grifco, a fast growing oil well servicing company AND Over Seven shares of Coil Tubing Technology, a $1.73 value, all for the Low, Low price of One Dollar!
The market is chewing it's way through these crazy seller's reserves now! So act today!
best2
prices subject to market fluctuations. your broker may charge you a fee. offer valid world wide. consult your financial adviser before trading pinks sheet stocks.
DigiTech, could mean October
Since Grifco starts their fiscal year in July the "first quarter" report would would be issued sometime after Sept. 30, 2006. They are promising "periodic quarterly financial reporting to align it with" [not necessarily fulfill] "SEC reporting requirements". I expect, if not a 10k, at least the unaudited financial statement like those found at pinksheets dot C for the initial report.
In order to achieve their "plan to trade on NASDAQ's Over-the-Counter Bulletin Board in early 2007, with a view to qualify for listing on the American Stock Exchange, the Archipelago Exchange or other similar exchanges in early 2008", they will need a 10K and regular reports. Grifco could do that by October but (my guess) have left themselves some extra time margin in the PR.
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Is Grifco making a profit?
Thanks for the post Cleverox. I appreciate the group's efforts to visit Grifco's facility. Did anyone ask whether Grifco is making a net profit? I assume they are since there aren't selling shares to cover operating expenses, capital costs (new machinery), or acquisitions. It would be nice to hear the word profit from Mr. Dial though.
You post:
"Jim also stated he personally owns a majority stake in Grifco and is very much in control of the company."
I take it that you mean that he personally owns a majority of Grifco's shares. Very rough ballpark; 75 million shares of CTBG in the dividend ÷ 1.89 shares CTBG per GFCI = ~40 million GFCI outstanding.
Jim Dial ~ 20 million
Lyamec ~ 6 million
float ~ 14 million
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Real news is the timeline
commitment and good relations with Lyamec.
"The company's new quarterly reporting is expected to be issued at the end of the first quarter and to coincide with the start of its fiscal year month of July, 2006."
________________
If Grifco/CTT is profitable (BIG IF) we have a winner. Nice of Dr. Bill to moderate. Guess he spent so much time with this stock that he grew attached to it
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Dr Bill, CTBG will have ~85 million shares outstanding
and, depending on the information in the CTBG filing, the company will be valued accordingly.
What's so hard about this? Grifco announced last year that they held 75 million CTBG in an account that is earmarked for distribution to shareholders. Now the approximate share numbers for both can be calculated.
"Grifco shareholders will receive 1.89 shares of CTT for every one share held in Grifco as of the record date, up to 75 million shares. Upon completion of the spin-off dividend, CTT will have approximately 85 million shares issued and outstanding."
75 million CTBG shares to be distributed ÷ 1.89 CTBG/GFCI = ~40 million shares GFCI outstanding.
Either the CTBG share price moves down, the GFCI share price moves up, or both together before the spinoff.
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Bull, I stand corrected
Summit Entertainment (Mr. Dial's old company) sold a shell cheap in 2004. Don't know if it was Ms. Newman's former company, Genesis Advantage (GAVG). She was still CEO in December of '04.
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Dr. Bill, Lois is probably too busy
to answer the phone at Grifco. Lois Newman owns a corporation, Genesis Advantage, Inc.:
https://www.otcstockinfo.com/repository/657016/657016_FR4.pdf
The former home of Texas Tire Pros, 6990 GENTLE BREEZE DR., WILLIS, TX 77318, was a hotbed of new corporations in late '04 with Jim Dial, John Jarvis, and Lois Newman all filing with the SEC from that address. Lois lists 3 employees (2 part time) and that may be why she can't always answer the phone at Grifco.
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