27/01/2012 BBC News at Ten


27/01/2012

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The bonus backlash - politicians blame each other for allowing the

:00:06.:00:10.

Royal Bank of Scotland payout. The bank's chief executive is under

:00:11.:00:14.

pressure to turn down his near �1 million bonus amid a war of words

:00:14.:00:24.

over who approved the deal. This pays for Stephen Hester, the bonus,

:00:24.:00:28.

was set by the board of RBS under the arrangements that were put in

:00:28.:00:33.

place by the previous Government. It is a disgraceful failure of

:00:33.:00:36.

leadership by the Prime Minister. He had been promising action

:00:36.:00:40.

against excessive bonuses, excessive pay, and now he has

:00:40.:00:45.

nodded through a �1 million bonus. After Government pledges to curb

:00:45.:00:48.

bankers' pay, we'll be looking at how embarrassing the RBS deal is

:00:48.:00:49.

for the Chancellor. Also tonight:

:00:49.:00:53.

In Syria, rebels claim another suburb in the capital as the death

:00:53.:01:00.

toll from government violence increases. This is another section

:01:00.:01:03.

of the suburbs of Damascus which has slipped out of the control of

:01:04.:01:07.

President Assad. The only way he can enforce his authority is by

:01:07.:01:10.

sending in his men and using their guns and bullets.

:01:10.:01:14.

A warm reception for Harry Redknapp at tonight's Spurs game, while in

:01:14.:01:17.

court he insists he's paid a fortune in tax.

:01:17.:01:20.

Anguish in Pakistan after thousands are given faulty drugs that have

:01:21.:01:26.

already killed 100 people. And a glimpse of how the Olympics

:01:26.:01:36.
:01:36.:01:36.

opening ceremony will look. We want something that touches people in a

:01:37.:01:40.

way that feels important to us and feels like it will transfer to

:01:40.:01:50.

Coming up in Sportsday, Andy Murray's search for his first Grand

:01:50.:01:55.

Slam title goes on, after he was beaten in the Australian Open semi-

:01:55.:02:05.
:02:05.:02:13.

Good evening. A war of words has broken out about

:02:14.:02:17.

who approved the deal which allowed the head of the Royal Bank of

:02:17.:02:20.

Scotland a bonus worth nearly a million pounds. Stephen Hester has

:02:20.:02:24.

been awarded the payout on top of his salary at the bank which is

:02:24.:02:27.

mainly owned by taxpayers. The Labour leader, Ed Miliband, called

:02:27.:02:30.

it a disgraceful failure of leadership by the Prime Minister

:02:30.:02:34.

and called on him to explain why he had allowed it to happen. But the

:02:34.:02:38.

Government is blaming Labour for drawing up the deal when it was in

:02:38.:02:46.

power. Here is our chief economics correspondent Hugh Pym.

:02:46.:02:50.

Royal Bank of Scotland, its future matters to all of us. There is �45

:02:50.:02:52.

billion of taxpayers' money invested in the bank following the

:02:52.:02:57.

bail out in 2008. That is why there is a big row over the boss, Stephen

:02:57.:03:03.

Hester, being awarded a bonus of �963,000 in shares, on top of a �1

:03:03.:03:08.

million salary. People will not understand how someone can get a

:03:08.:03:13.

whacking great bonus like that when running a state-owned concern.

:03:13.:03:16.

is a disgraceful failure of leadership by the Prime Minister.

:03:16.:03:19.

He has been promising action against excessive bonuses,

:03:19.:03:24.

excessive pay, and has none nodded through a �1 million bonus. Stephen

:03:25.:03:28.

Hester was brought in to head RBS five the then Chancellor Alistair

:03:28.:03:32.

Darling, after the Bank nearly collapsed. He had worked his way up

:03:32.:03:36.

to the top of the banking ladder. A country house in Oxfordshire is

:03:36.:03:40.

among the fruits of his success. Two years ago, he told MPs his own

:03:40.:03:44.

parents disapproved of his pay packet. If you asked my mother and

:03:44.:03:49.

father about my pay, they would say it is to hide. What is his

:03:49.:03:55.

performance record? A year ago, the RBS share price was 40p, now it is

:03:55.:03:59.

around 27p. He has reduced risky lending by �600 billion since

:04:00.:04:04.

taking the job. He oversaw �68 billion in lending to UK companies

:04:04.:04:08.

in the first nine months of last year, and has successfully sold off

:04:08.:04:13.

16 businesses to reduce the size of RBS. Stephen Hester's bonus this

:04:13.:04:17.

time is half of what it was a year ago. It is all in shares and he

:04:17.:04:21.

will not be able to sell them for another couple of years. There are

:04:21.:04:25.

some in the City who feel this is a sensible way to reward and

:04:25.:04:28.

incentivise a boss in an industry as challenging and competitive as

:04:28.:04:32.

banking. There was a range of opinion amongst City workers I

:04:32.:04:37.

spoke to. These people are in a powerful position. They can create

:04:37.:04:42.

jobs and put the bank back on track, so I think it is worth it. They

:04:42.:04:47.

want talent to do that job so there has to be some incentive. It has

:04:47.:04:51.

been a controversial issue and he probably did not deserve it, given

:04:51.:04:55.

that it is a state-owned bank and has not been performing very well.

:04:55.:04:59.

So how are bonuses worked out? The final decision is made by the RBS

:05:00.:05:04.

board. It consulted shareholders, including UK financial investments,

:05:04.:05:08.

which manages the state of the taxpayers. That body is in regular

:05:08.:05:12.

contact with the Chancellor and today Mr Osborne gave his view.

:05:12.:05:16.

They were determined by the board of RBS under arrangements set up by

:05:16.:05:19.

the previous Government and the alternatives of either a larger

:05:19.:05:22.

bonus of the kind he got a couple of years ago, or the British

:05:22.:05:25.

Government taking over the running of RBS and putting even more

:05:25.:05:28.

taxpayers' money at risk, I think would have been worse for the

:05:28.:05:33.

British people. As to how generous RBS has been with the bonus award,

:05:33.:05:36.

it will be easier to judge once the other big banks reveal what they

:05:36.:05:41.

are paying their bosses. Hugh Pym joins us from outside the

:05:41.:05:44.

Treasury. You have the Government and Labour blamed each other for

:05:44.:05:50.

the payout to Stephen Hester. How awkward is this for the Chancellor?

:05:50.:05:53.

The Treasury tonight is sticking to its line that it always made clear

:05:53.:05:58.

that it wanted a lower bonus this time round for Mr Hester than last

:05:58.:06:02.

year, and below �1 million. The Prime Minister and Chancellor have

:06:02.:06:06.

made that publicly known. That is what the board has come up with,

:06:06.:06:10.

and a bonus which is 60% and no more of what Mr Hester is entitled

:06:10.:06:14.

to. But Labour has let it be known that if it was in power it would

:06:14.:06:19.

have blocked the bonus completely. I think this row will rumble on as

:06:19.:06:22.

private sector banks over the next few weeks unveil their bonus deals,

:06:22.:06:25.

which may raise more questions about whether the Government has

:06:25.:06:30.

any influence over bonus policies. The week began with a Government

:06:30.:06:32.

initiative to give shareholders more power to curb boardroom pay

:06:32.:06:36.

and has ended with a bank where the majority shareholder is the

:06:36.:06:43.

taxpayer allowing a bonus which is controversial to say the least.

:06:43.:06:47.

In Syria, activists are claiming the army has launched renewed

:06:47.:06:50.

assaults on several cities. More than 60 people are believed to have

:06:50.:06:54.

been killed across the country. The United Nations Security Council has

:06:54.:06:58.

just finished a meeting discussing a draft report -- resolution which

:06:58.:07:02.

called on President Assad to hand over power. Jeremy Bowen reports

:07:02.:07:06.

from the Damascus suburb of Saqba, another area where the grip of the

:07:06.:07:11.

Assad government appears to be weakening.

:07:11.:07:15.

To find out the strength of the opposition, drive into the suburbs

:07:15.:07:22.

of Damascus. It is only in the last five days, locals said, that the

:07:22.:07:26.

Free Syria Army has been openly on the streets here in Saqba. They are

:07:26.:07:32.

in other districts near by, too. They are mainly defectors from the

:07:32.:07:34.

State Army. They said they were protecting the people who were

:07:34.:07:42.

about to hold a funeral. One of them showed off his old army

:07:42.:07:51.

identity card. They looked well established, with sandbag firing

:07:51.:07:58.

positions. Everyone was on edge. For 10 months, the regime's forces

:07:58.:08:02.

have been cracking down hard on Friday protests. This commander

:08:02.:08:08.

said he had been a general in the Syrian government forces. A man

:08:08.:08:12.

interrupted to praise the Free Army. Then, something no one wanted to

:08:12.:08:22.
:08:22.:08:22.

hear. Security are here. Where? Don't be afraid, said the general,

:08:22.:08:29.

our resistance is strong. Some of them got ready to fight. Stay with

:08:29.:08:38.

me, he said, don't be afraid. Sentries were sending information

:08:38.:08:42.

in by phone. They all seemed to know what their jobs were, going to

:08:42.:08:46.

their positions. Others moved deeper into Saqba, where the

:08:46.:08:56.
:08:56.:09:05.

It felt as if every man in Saqba was there. Her big send-off for

:09:05.:09:12.

someone who had been killed by the security forces. -- a big send-off.

:09:12.:09:18.

Across Syria, funerals are a focus for opposition. They chanted, oh,

:09:18.:09:26.

God, you are all we have, oh, God, we are your men. This is another

:09:26.:09:30.

section of the suburbs of Damascus which has slipped out of the

:09:30.:09:34.

control of President Assad. The only way he can enforce his

:09:34.:09:38.

authority here is by sending in his men and using their guns and their

:09:38.:09:45.

bullets. And for a moment, that is what they thought was about to

:09:45.:09:50.

happen. It shows the tension. Even with the Free Syria Army close by.

:09:50.:10:00.

It was time for us to go. He warned about snipers ahead. Getting out

:10:00.:10:05.

was not easy. The Free Army control a surprisingly big area but it was

:10:05.:10:10.

surrounded. All this does not mean the President is about to fall. He

:10:10.:10:15.

has his own strong support and heavy weapons. But the regime's

:10:15.:10:19.

forces cannot be everywhere at once and the power of the opposition is

:10:19.:10:25.

growing. The Ministry of Defence has

:10:25.:10:28.

announced that a soldier serving with the 1st Battalion the

:10:28.:10:31.

Yorkshire Regiment has died after suffering a gunshot wound while on

:10:31.:10:35.

patrol today in Helmand province in southern Afghanistan. His family

:10:35.:10:41.

has been informed. New figures from Spain show that

:10:41.:10:45.

nearly a quarter of the workforce is unemployed. The total number of

:10:45.:10:48.

people out of work reached 5.3 million in the final three months

:10:48.:10:51.

of last year. There was more positive news elsewhere in the

:10:52.:10:55.

eurozone, with optimism that Greece will reach a deal with private

:10:55.:11:00.

creditors over the weekend. But at the World Economic Forum in Davos,

:11:00.:11:04.

the international financier George Soros issued a warning that the

:11:04.:11:07.

eurozone's current problems could lead to the destruction of the

:11:07.:11:14.

whole European Union. The good news here in Davos is that

:11:14.:11:18.

they think the euro is probably going to survive, but some here

:11:18.:11:21.

think the way the leaders are going about saving it will be bad news

:11:21.:11:26.

for Europe's economy. People like George Soros, the billionaire

:11:26.:11:35.

investor, for example. This German insistence on austerity could

:11:35.:11:40.

destroy the European Union. Are you saying now that it will survive,

:11:40.:11:47.

but it won't... It will survive but it will destroy the European Union?

:11:47.:11:51.

That is right, unless the Germans actually see reason. The German

:11:51.:11:56.

Finance Minister today to go different view. I don't agree with

:11:56.:12:06.

George Soros. Not surprisingly. And I would like to tell him, if you

:12:06.:12:12.

want to create more growth, you can't deliver this only by spending

:12:12.:12:19.

more public money. In Spain today, unemployment went over the 5

:12:19.:12:24.

million mark, to more than 23%. For some, Spain shows the cost of

:12:24.:12:29.

relying on budget cuts alone to fix the euro. Others say the problems

:12:29.:12:32.

go deeper and recovering from a debt fuelled property bubble was

:12:32.:12:36.

always going to be tough. People here know there is no magic wand

:12:36.:12:40.

for fixing the eurozone crisis, all the problems with Europe's economy.

:12:41.:12:44.

They give some credit to the German Chancellor for moving as far as she

:12:44.:12:47.

had. But they don't want the change of mood in the financial markets to

:12:47.:12:53.

take away from the need to do more. I don't think we should ever for a

:12:53.:12:56.

second be complacent about it. I think some of the structural issues,

:12:56.:13:01.

the solidity of the euro base, need to be continuously improved. They

:13:01.:13:06.

have done a lot, no question, but there is still work to be done, and

:13:06.:13:09.

unless that is done, the international support rallying

:13:09.:13:14.

around a comprehensive solution will not come. One way or another,

:13:14.:13:17.

nearly everyone here is living with the legacy of the financial crisis

:13:17.:13:21.

but the news today that the US economy grew at an annual rate of

:13:21.:13:25.

nearly 3% at the end of 2011 was a reminder that some are suffering

:13:25.:13:35.
:13:35.:13:37.

Harry Redknapp told police he had never been a tax fiddle, and was a

:13:37.:13:43.

giver, not a taker. A taped interview with detectives was

:13:43.:13:48.

played to Southwark Crown Court today. The 64-year-old said he

:13:48.:13:53.

would not risk everything for what he called a few quid. Both he and

:13:53.:13:57.

Milan Mandaric deny two counts of cheating the public revenue. James

:13:57.:14:06.

Pearce reports. This evening, back in more familiar territory, a

:14:06.:14:12.

football ground, taking Tottenham to Watford in the FA Cup. The

:14:12.:14:16.

fanfare of a big sporting occasion is so different from the

:14:16.:14:18.

circumstances in which Harry Redknapp has found himself this

:14:18.:14:24.

week. This morning, he was once again in court for the end of the

:14:24.:14:30.

first week of evidence in his trial. The charges date back to 2002, when

:14:30.:14:35.

Harry Redknapp was working at Portsmouth, with the club's former

:14:35.:14:39.

chairman Milan Mandaric. Mandaric paid money into an account of Harry

:14:39.:14:45.

Redknapp in Monaco, which was named Rosie47, after his dog. The

:14:45.:14:49.

prosecution claimed that the offshore bank was used to avoid tax

:14:49.:14:53.

on a bonus paid by the chairman to his manager. The jury heard

:14:53.:14:57.

recordings of interviews with the police, in which Harry Redknapp

:14:57.:15:07.
:15:07.:15:11.

The jury was told that Harry Redknapp is a man of hitherto good

:15:11.:15:14.

character. They heard him concede during one of his police interviews

:15:15.:15:19.

that he should have told his accountants about the existence of

:15:19.:15:26.

Herriman Turn, -- of Rosie47, but he simply thought that there was

:15:26.:15:32.

not any tax to pay on it. Redknapp told police that he had paid �1

:15:32.:15:38.

million in tax the previous year, and that saving another �20,000 or

:15:38.:15:42.

�30,000, would make little difference to him. I am not the

:15:42.:15:47.

cleverest, he said, but I'm not stupid. The trial will continue on

:15:47.:15:53.

Monday. Coming up tonight - Murray's marathon match, but after

:15:53.:15:57.

five sets, he just fails to win through to the final of the

:15:57.:16:05.

Australian Open. In Pakistan, a major health scandal is unfolding

:16:05.:16:10.

which has already claimed the lives of more than 100 people.

:16:10.:16:13.

Contaminated medicine has been handed out to patients with heart

:16:13.:16:17.

conditions who were too poor to pay for their own health care. It has

:16:17.:16:24.

led to panic in Pakistan's second largest city, Lahore, where 40,000

:16:24.:16:28.

people are thought to have been given the drugs. The owners of the

:16:28.:16:34.

pharmaceutical companies involved have been arrested. Grief for a

:16:34.:16:39.

much loved father and grandfather. The latest victim of the free heart

:16:39.:16:49.
:16:49.:16:51.

drugs which have cost so many lives. Relatives from Pakistan and Britain

:16:52.:16:58.

gathered today to say a last goodbye to Ashiq Hussain. He was

:16:58.:17:02.

absolutely lovely, he was smiling until the day he passed away. He

:17:02.:17:09.

always said, I am fine, don't worry about me. He never ever complained

:17:09.:17:16.

once in those days that he was in hospital. It was the poor who

:17:16.:17:21.

received the suspect drugs - 46,000 needy patients. They got the

:17:21.:17:25.

tablets here, at the Punjab Institute for Cardiology, in

:17:25.:17:31.

December. Within weeks, some were dying. Initially, doctors suspected

:17:31.:17:36.

dengue fever, not faulty drugs. Patients were not warned until 11th

:17:36.:17:43.

January. In this episode, we have learned our lesson, and God forbid

:17:43.:17:47.

if it happens again, we will be much quicker. Many patients have

:17:47.:17:54.

died. Yes, I know. Do you think they could have been saved? It was

:17:54.:17:59.

possible, but I think we acted as quickly as possible. But not

:17:59.:18:04.

quickly enough to spare these casualties, in a crowded ward,

:18:04.:18:09.

across town. Doctors say these patients are improving, but it

:18:09.:18:12.

could be weeks or even months before they recover. For now, all

:18:12.:18:16.

they can do is treat their symptoms, because they do not know the exact

:18:17.:18:21.

cause of their illness. The suspect heart drugs are still being

:18:21.:18:25.

analysed at laboratories abroad. The patients here are crying out

:18:25.:18:30.

for answers, and for justice. One man gave us his prescription for

:18:30.:18:36.

the drug companies that have left him bedridden.

:18:36.:18:41.

TRANSLATION: They should hang them publicly in the squares, like they

:18:41.:18:47.

do in Saudi Arabia. The patient will die, leaving children behind -

:18:47.:18:54.

what will happen to them? Those left behind, like the relatives of

:18:54.:18:58.

Ashiq Hussain, a wondering if anybody will ever be held to

:18:58.:19:08.

account. Justice can be elusive here, especially for the poor.

:19:08.:19:12.

Doctors say this tragedy could be repeated, because of a lack of

:19:12.:19:16.

regulation, and because state hospitals are compelled to buy the

:19:16.:19:26.
:19:26.:19:31.

cheapest drugs. This time, they In Egypt, 10,000 people have

:19:31.:19:35.

converged on Tahrir Square in Cairo to mark the first anniversary of

:19:35.:19:38.

the so-called "Friday of Rage". The gathering began with Friday prayers.

:19:38.:19:43.

It commemorated what was one of the bloodiest days of the uprising,

:19:44.:19:46.

when security forces battled protesters, killing and wounding

:19:46.:19:52.

hundreds. The founder of the French company at the centre of the health

:19:52.:19:55.

scare regarding the breast implants has been charged with causing

:19:55.:20:01.

involuntary injury. The 72-year-old has now been released on bail. More

:20:01.:20:05.

than 400,000 women around the world are believed to have received

:20:05.:20:10.

implants made by the company. It has now stopped training. Queens

:20:10.:20:15.

Park Rangers has received what it has described as a may this. It was

:20:15.:20:19.

reportedly addressed to Anton Ferdinand, and is said to have

:20:19.:20:23.

contained a bullet. Tomorrow, QPR play Chelsea for the first time

:20:23.:20:27.

since John Terry was charged with racially abusing Ferdinand in a

:20:27.:20:33.

Premier League match last October, a claim he denies. He came so close,

:20:33.:20:37.

but despite a terrific performance, Andy Murray is a lot of the

:20:37.:20:42.

Australian Open, losing to the defending champion, Novak Djokovic,

:20:42.:20:47.

in a nail-biting semi-final which lasted almost five hours. Djokovic

:20:47.:20:52.

will now take on Rafael Nadal in will now take on Rafael Nadal in

:20:52.:20:58.

the final. So, would this finally be his moment? Andy Murray emerged

:20:58.:21:02.

to feverish expectation. A new year, new hope that he will get that

:21:02.:21:10.

elusive Grand Slam. But in the first sector -- first set, it was

:21:10.:21:16.

the same old frustration. But the famous mental strength of his new

:21:16.:21:21.

coach, Ivan Lendl, seem to rub off, and Andy Murray's game was suddenly

:21:21.:21:31.
:21:31.:21:35.

scaling the heights. He seemed re- energised. He won the next two sets.

:21:35.:21:38.

Murray now had a remarkable victory in his sights. But back came

:21:38.:21:46.

Djokovic. Both players pushed themselves to the limits. From 5-2

:21:46.:21:51.

down, Murray came roaring back, but after nearly five hours of pure

:21:51.:21:58.

theatre, he finally faltered. For Djokovic, a mixture of exhaustion

:21:58.:22:02.

and elation, for Murray, another Grand Slam disappointment. He

:22:02.:22:06.

Grand Slam disappointment. He believes he is getting closer.

:22:06.:22:10.

I will take away tonight is that it has taken a great performance from

:22:10.:22:16.

him, he was so dominant in the Grand Slams last year. I am happy

:22:16.:22:21.

about that. But Andy Murray's misfortune is to be up against

:22:21.:22:25.

three of the greatest-ever players. He lost to Rafa Nadal at Wimbledon,

:22:25.:22:29.

to Roger Federer in Australia in 2010, and Judge Djokovic last year.

:22:29.:22:34.

So, will he ever get his hands on that elusive Grand Slam trophy?

:22:34.:22:38.

Mentally, he was up, he was never moping and whining. I thought it

:22:38.:22:42.

was a tremendous performance. Watching that Today has convinced

:22:42.:22:47.

me that he will win a Grand Slam. Murray's next big chance will be

:22:47.:22:53.

the French Open in May. That Grand Slam title is so near, and yet,

:22:53.:22:59.

agonisingly, still so far. In exactly six months' time, the

:22:59.:23:03.

London Olympics' Opening Ceremony will be under way. The show cached

:23:03.:23:10.

event will be called the Isles of Wonder. -- showcase event. It will

:23:10.:23:18.

involve 15,000 volunteers and a group of NHS nurses. Dan Roan has

:23:18.:23:25.

the details. This is what London has to live up to. The opening

:23:25.:23:29.

ceremonies at the last few Olympic Games have reached the highest of

:23:29.:23:32.

standards, setting the tone for the Greatest Show on Earth. Several

:23:32.:23:36.

hundred people have already auditioned to be part of the

:23:36.:23:43.

curtain raiser in lust and -- in London. This is the man they are

:23:43.:23:48.

trying to impress, Oscar-winning film director Danny Boyle, who has

:23:48.:23:52.

to deliver an Opening Ceremony the nation can be proud of, on a budget

:23:52.:23:56.

of �27 million. You should be able to do a spectacular show for that

:23:56.:23:59.

amount of money. But more importantly, we want to make

:23:59.:24:03.

something that touches people, in a way which feels important to us,

:24:03.:24:09.

and feels like it will transfer to people. The last time London had a

:24:09.:24:14.

show case like this was at the closing ceremony in Beijing, where

:24:14.:24:18.

buses, Boris Johnson and David Beckham took centre stage. Now, it

:24:18.:24:23.

is time for another of the nation's famous exports. The sense of humour

:24:23.:24:29.

is unique about us. Everybody remarks upon it. Following a

:24:29.:24:32.

personal intervention from the Prime Minister, the budget for the

:24:32.:24:42.
:24:42.:24:43.

ceremonies has doubled. The giant bell, the largest in Europe, has

:24:43.:24:53.
:24:53.:24:53.

been specially commissioned. It is all a far cry from the last time

:24:53.:24:58.

London staged the games, in 1948, when the Opening Ceremony centred

:24:58.:25:03.

on a military band and the release of some pigeons. This time, an

:25:03.:25:06.

estimated audience of 4 billion people will be watching, and no

:25:06.:25:10.

detail can be overlooked. This is where the result of all of that

:25:10.:25:14.

planning and preparation will be unveiled to the world, the Olympic

:25:14.:25:18.

Stadium, where, in exactly six months, the Opening Ceremony will

:25:18.:25:24.

get under way, and London's moment will finally have arrived. The

:25:24.:25:29.

ceremonies in Athens, and at the football World Cup in South Africa,

:25:29.:25:35.

were orchestrated by a brick chick. I think an Opening Ceremony can do

:25:35.:25:39.

one of three things. It can reintroduce a city to the world. It

:25:39.:25:44.

can reaffirm the world's perception of a place, like Beijing, or it can

:25:44.:25:48.

completely reinvent itself, a little bit like we did in Athens in

:25:48.:25:52.

2004. Of course, shedding some light on the Olympics ceremony is

:25:52.:25:56.

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