420 with CNW — Virginia Governor Leaves Marijuana Provisions in State Budget Untouched

Virginia Governor Abigail Spanberger has proposed a series of amendments to the state budget approved by lawmakers last week, but her recommendations leave intact provisions tied to recreational cannabis sales and a controversial increase in penalties for public marijuana use.

The governor’s changes do not alter language that would establish a legal market for recreational cannabis. They also do not address criticism from advocacy organizations that have urged state leaders to remove a section raising the civil fine for consuming marijuana in public from $25 to $250. Opponents argue the increase would place a heavier burden on low-income residents while worsening racial disparities in enforcement.

Spanberger submitted her proposed revisions on Friday. The House of Delegates and Senate reconvened on Monday to consider the amendments before the budget can take effect ahead of the July 1 deadline.

Supporters of cannabis reform welcomed the budget’s framework for launching legal recreational sales but continued to object to the higher public consumption penalty. Advocacy groups have labeled the increase a “poverty penalty,” arguing it unfairly targets vulnerable communities.

Earlier last week, a coalition led by Marijuana Justice released enforcement figures obtained through the state’s Freedom of Information Act. According to the data, 185 white individuals and 179 Black individuals have faced public cannabis consumption charges since personal marijuana possession became legal in 2021.

Given Virginia’s population demographics, advocates say Black residents are more than three times as likely as white residents to receive those citations.

Despite those findings, Spanberger’s amendments leave the penalty unchanged. Organizations including NORML, the ACLU of Virginia, the Marijuana Policy Project, the Latino Cannabis Alliance, and the Drug Policy Alliance have urged both the governor and lawmakers to reconsider the provision, warning it could deepen existing racial and economic inequalities.

The budget agreement follows months of negotiations after Spanberger vetoed an earlier legalization bill. That measure failed after lawmakers declined to adopt her proposed revisions. She later worked with Democratic legislators to develop a compromise that ultimately became part of the budget package.

Under the revised bill, recreational marijuana sales would begin on July 1, 2027. Adults would be permitted to possess and purchase up to two ounces of cannabis per transaction, an increase from the current one-ounce possession limit but less than the 2.5 ounces approved in an earlier proposal. The agreement also raises the cannabis excise tax from 6% to 8% after two years of legal sales.

Virginia legalized personal marijuana possession and home cultivation in 2021, although a regulated retail market has yet to open. During the current legislative session, the governor also signed separate cannabis-related measures expanding protections for medical patients, preserving parental rights for marijuana consumers, and allowing resentencing opportunities for certain individuals with prior cannabis convictions.

The progress being made to finally establish a legal market for adult-use marijuana in Virginia is likely to be welcomed by the broader marijuana industry, including established companies like Canopy Growth Corp. (NASDAQ: CGC) (TSX: WEED).

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CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of an article each business day at 4:20 p.m. Eastern – a tribute to the time synonymous with cannabis culture. The concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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420 with CNW — Medical Marijuana Sales in Michigan Dwindle to Less Than $500,000

Michigan’s once-thriving medical cannabis market has dwindled to a fraction of its former size, recording only $322,350 in sales in May, according to figures released by the state Cannabis Regulatory Agency.

The future trajectory and strategy of cannabis firms like Curaleaf Holdings Inc. (CSE: CURA) (OTCQX: CURLF) will be largely impacted by any…

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420 with CNW — Nebraska Allows Grower to Start Medical Cannabis Cultivation

Nebraska cannabis regulators have approved the first licensed cultivation company to begin growing cannabis nearly 19 months after state voters endorsed legalization for medical use.

During a meeting on Monday, members of the Nebraska Medical Cannabis Commission unanimously confirmed that MahaMota Cultivation Company had successfully completed its inspection process, clearing the way for the company to grow the state’s first legal medical cannabis crop.

The commission has spent much of the past year developing rules and oversight procedures after holding its initial meetings in June of last year. While officials have suggested the first crop could be harvested by autumn, they have not changed their projected timeline that places the first retail sales in spring 2027.

Progress has not been uniform among the state’s approved growers. Nebraska law tightly restricts participation in the sector, allowing only four cultivation licenses, four manufacturing permits, and 12 dispensary licenses statewide.

The state’s medical cannabis framework also imposes strict limits on products available to patients. Possession of unprocessed marijuana is still prohibited, and the law also does not permit edible products or cannabis intended for smoking or vaping.

One licensed cultivator, KRL Med, continues to face setbacks linked to a zoning disagreement in Washington County. The company, owned by former state senator Kent Rogert, was informed shortly before a planned inspection in May that its proposed marijuana operation could not qualify under an agricultural exemption. However, hemp production would be eligible.

The dispute has resulted in a stop-work order that prevents the company from completing construction of a greenhouse and limits access to the site. Despite the ongoing conflict, regulators voted unanimously to extend KRL Med’s license for another six months.

The remaining licensed cultivators are also encountering obstacles. Meadowlark Medicinals postponed its inspection for undisclosed reasons. Meanwhile, Midwest Cultivator Group received approval to move its planned operation from Omaha to Gretna due to local zoning standards. Gretna officials have already granted the company a conditional-use license.

Commissioners also voted 3-1 to begin accepting applications for cannabis manufacturing licenses. Officials expect to gather submissions during the next month before assessing associated fees.

Several regulatory issues remain unresolved. Permanent rules still require approval from state AG Mike Hilgers, a longtime opponent of medical marijuana. Governor Jim Pillen must also sign off before the regulations can take effect without a sunset provision. The commission is scheduled to meet again on July 20.

While the Nebraska medical marijuana program is very limited in its scope, industry actors like Cresco Labs Inc. (CSE: CL) (OTCQX: CRLBF) operating in other legal markets will be pleased that modest steps have been taken to give Nebraskans a legal way to access medical marijuana products within the state.

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420 with CNW — Missouri to Start Receiving Cannabis Microbusiness Applications in July

Missouri’s applications for 77 available cannabis licenses will be accepted from July 13 through July 27, with a random drawing set for September 9. Officials expect successful applicants to receive their licenses in December.

According to the Missouri Division of Cannabis Regulation, the microbusiness initiative was created to expand access to the legal cannabis market for individuals and groups that have historically faced barriers to participation. The program was established after voters approved recreational marijuana legalization through a constitutional amendment in 2022.

As preparations begin for the upcoming application period, the division’s chief equity officer, Lesley Turek, has spent recent weeks traveling across Missouri to explain the process and answer questions from prospective applicants.

A major focus of Turek’s presentations has been a series of regulatory changes that took effect in late May. State officials proposed the revisions last year after multiple licenses were revoked because of ownership arrangements that regulators determined violated constitutional requirements.

Under the updated framework, regulators can conduct thorough reviews before licenses are awarded rather than after recipients have already been selected. The rules also provide additional clarification regarding the constitutional requirement that qualified applicants must maintain majority ownership and operational control of their businesses.

The regulations further require direct communication between state officials and majority owners. In addition, applicants must complete compliance training before submitting an application and again after obtaining a license.

Missouri residents may qualify for the program through one of seven eligibility categories. These include income-based qualifications, previous cannabis-related arrests or incarceration, residence in economically disadvantaged communities, among other criteria.

Applicants must pay a $1,500 fee when submitting materials. Those who are not chosen in the lottery will receive a refund. The Missouri Lottery will randomly select recipients for dispensary and cultivation licenses, helping the state reach the constitutionally mandated minimum of 144 microbusiness licenses.

Turek said the application itself is designed to be accessible and far less complicated than the process required for larger cannabis business licenses. The division offers instructional resources, including tutorials and detailed guides, to help applicants complete the paperwork independently.

At the same time, she cautioned that operating a cannabis business involves significant costs and strict regulatory obligations. State officials want applicants to understand those realities before committing to the program.

Another key topic involves ensuring that eligible individuals truly control the businesses connected to the licenses. Regulators say ownership is not measured solely by percentage stakes but also by decision-making authority.

The state has also revised requirements surrounding designated contacts, who serve as the primary link between license holders and regulators. Officials found cases in which designated representatives failed to keep eligible owners fully informed, resulting in agreements that reduced their influence and financial benefits.

To address those concerns, Missouri now requires pre-application training that includes online instruction about recognizing and avoiding potentially predatory business practices.

This streamlined approach to increasing the number of microbusinesses participating in the legal marijuana market in Missouri is welcome news to marijuana companies within and outside the U.S., such as SNDL Inc. (NASDAQ: SNDL).

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420 with CNW — Marijuana Rescheduling Hearing Features Only Prohibitionists, Triggering Concern

A forthcoming federal hearing on cannabis policy is facing criticism after the DEA approved participation exclusively from individuals and organizations that have voiced skepticism about marijuana legalization, leaving reform advocates and industry representatives out of the discussion.

The hearing, set for June 29 in Virginia, will focus on issues tied to the federal classification of marijuana. The proceedings could influence future decisions affecting cannabis businesses, taxation rules, banking access, and broader regulatory policy across the country.

Documents released by the DEA show that seven participants were selected to take part. Each of those approved has previously expressed concerns about legalization or the expansion of cannabis access. Groups representing consumers, patients, licensed marijuana operators, and legalization supporters were not granted a seat at the hearing.

The development has attracted attention in Michigan, where the legal cannabis market has become a major economic force. Marijuana sales in the state surpassed $3 billion last year, placing Michigan among the largest regulated cannabis markets in the nation.

Those approved to participate include Smart Approaches to Marijuana, the National Drug and Alcohol Screening Association, DUID Victim Voices, representatives from Nebraska, Louisiana, Idaho, and Indiana, the Tennessee Bureau of Investigation, along with pharmacist Dr. Phillip Drum and physician Dr. Kenneth Finn.

Critics point out that every participant selected has publicly raised concerns about legalization or expanded cannabis availability. Meanwhile, organizations that support reform were denied participation. Among them was the National Organization for the Reform of Marijuana Laws.

Following the decision, Paul Armentano, NORML’s Deputy Director, argued that cannabis users deserve representation in a process that could help determine the plant’s future legal status under federal law. He noted that millions of U.S. citizens use marijuana responsibly and should have an opportunity to be heard.

The DEA rejected requests from several reform groups after concluding they would not be negatively affected by moving marijuana to Schedule 3.

Although certain medical marijuana products and approved cannabis-based medications were moved to Schedule 3 earlier this year, major policy questions remain unresolved. Issues involving recreational cannabis, federal tax treatment, banking services, and long-term regulation continue to be debated.

The hearing is not expected to result in immediate policy amendments. Instead, it will contribute to an administrative record that may shape future federal action. As testimony begins and extends into July, many within the cannabis sector will be watching closely to determine whether the process is viewed as fair, balanced, and credible.

Businesses like Innovative Industrial Properties Inc. (NYSE: IIPR) that serve companies in the marijuana ecosystem will be hoping that the rescheduling hearing collects actionable views that accurately capture the realities on the ground.

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420 with CNW — Virginia to Start Retail Cannabis Sales in July 2027

Virginia leaders have reached an agreement on legislation aimed at establishing a regulated recreational cannabis market across the Commonwealth, a watershed moment in the state’s long-running debate over legal cannabis sales.

Under the deal, licensed recreational cannabis sales would begin on July 1 next year. A statewide tax of 6% would take effect when the market launches, increasing to 8% two years later. Cities and counties would also have the option to impose an additional local tax ranging from 1% to 3.5%.

Governor Abigail Spanberger said the proposal is designed to reduce illegal cannabis activity while creating opportunities for farmers and small business owners through a regulated and competitive system.

State lawmakers outlined several measures intended to balance public safety, consumer protection, and economic development. Senator Lashrecse Aird said the framework would limit the number of retail outlets to 350 statewide, with stores opening gradually rather than all at once.

The agreement also introduces a $250 civil fine for consuming cannabis in public places. Enforcement of that penalty would not begin until July 2027. Aird argued that returning to stricter criminal penalties would not solve the challenges associated with unregulated sales, noting that decades of enforcement efforts have failed to eliminate consumer demand.

The legislation allows regulators to issue licenses for as many as 100 microbusinesses by May 1, 2027. Each of those businesses could operate up to two storefronts. To discourage rapid consolidation, owners would be prohibited from selling their businesses during the first five years of operation.

Delegate Paul Krizek said the measure also creates a Cannabis Impact Business Support Team. The group would provide technical assistance, guidance, and other resources to entrepreneurs and communities that were disproportionately affected by previous cannabis enforcement policies.

The framework also includes comprehensive tracking of products from cultivation to retail sale, mandatory testing standards, restrictions designed to protect children, and labeling requirements. Cannabis products could not be marketed using cartoon imagery or manufactured in shapes resembling people, animals, fruits, or vehicles.

Retail locations would be required to remain 1,000 feet from playgrounds, schools, hospitals, and substance-use treatment centers. Additional provisions address licensing procedures, ownership disclosure requirements, and disciplinary measures for violations.

Aird said the legislation also targets hemp products that have become increasingly common in convenience stores, vape shops, and similar retail outlets.

The cannabis provisions have been incorporated into Virginia’s budget package, which lawmakers must approve before the June 30 deadline. Spanberger described the compromise as an example of bipartisan cooperation focused on creating a durable system that can be effectively managed for years to come.

This breakthrough in finally setting a timeline for recreational marijuana sales to begin in Virginia is welcome news to the cannabis industry, including leading firms like Tilray Brands Inc. (NASDAQ: TLRY) (TSX: TLRY) that often advocate for creating legal systems through which adults can access marijuana.

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420 with CNW — Massachusetts Marijuana Prohibitionists Survive Lawsuit, Petition Remains

A legal effort to overturn Massachusetts’ adult-use cannabis framework cleared a significant hurdle after the state’s highest court upheld the petition process, keeping it on track for a possible appearance on the November 2026 ballot.

The Massachusetts Supreme Judicial Court determined on June 12 that state AG Joy Campbell acted within her authority when she certified, in September 2025, a ballot proposal that seeks to dismantle the state’s recreational marijuana system, a market valued at about $1.6 billion and approved by voters in 2016 with 54% support.

The campaign, led by the Coalition for a Healthy Massachusetts, cleared the first signature-gathering stage after submitting 74,574 verified signatures in December. Organizers must now collect an additional 12,429 signatures from registered voters by next month. The requirement came after state lawmakers chose not to advance the proposal during the legislative review process.

Four voters tried to stop it, claiming multiple subjects and an unfair summary lacking mention of social equity trust fund elimination and alleged uncompensated taking.

The challenge asserted that the petition combined unrelated policy areas and that the official summary failed to fairly describe impacts, particularly the removal of programs supporting equity funding, which they argued could constitute an unlawful taking.

The court disagreed, with Justice Elizabeth N. Dewar writing that the certification met constitutional requirements and that the summary adequately reflected the measure’s scope, sending the matter back to a lower court for final judgment.

It would repeal chapters 94G and 64N, ending rules governing retail sales, cultivation, possession framework, and taxation of nonmedical cannabis, while preserving the legal right for adults to grow up to six plants at home.

It would leave medical marijuana laws intact and would not reinstate criminal penalties for adults 21 and older holding up to one ounce of marijuana or five grams of concentrate, though smaller violations would still face civil fines.

It would introduce mandatory drug education and community service requirements for younger offenders and create an expedited route for existing recreational businesses to transition into the medical cannabis sector.

The plaintiffs argued that the medical and recreational frameworks are separate policy areas and that removing requirements such as host community agreements and adding youth penalties placed unrelated elements into a single proposal.

The court concluded that all provisions share a unified objective of tightening controls on recreational cannabis rather than advancing unrelated policy goals.

The justices also found the attorney general’s summary sufficiently clear, noting it conveyed the central effect of the measure while pointing out that voters receive additional explanatory materials prepared by Secretary of the Commonwealth William Galvin.

Recent polling indicated the proposal faces significant resistance, with about 63% of respondents opposing repeal and roughly 20% expressing support.

The developments in Massachusetts will be closely watched by the marijuana movement, including enterprises like Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF), because the ballot measure could trigger similar steps to be taken in other legal marijuana markets in years to come.

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420 with CNW — Study Shows Marijuana Extracts Notably Improve Symptoms of Cancer Patients

A new clinical study indicates that cannabis-derived medicinal extracts may help reduce several symptoms associated with cancer, including difficulty sleeping and anxiety, though patient responses varied considerably depending on which cannabinoid profile worked best for each individual.

The study team evaluated oil-based formulations with different proportions of cannabidiol (CBD) and tetrahydrocannabinol (THC) using a randomized, placebo-controlled trial that was triple-blinded to reduce bias.

Overall results suggest that cannabis oil treatments produced meaningful relief in about half of participants, with improvements most often reported in sleep-related issues and closely connected symptoms. When outcomes were averaged across the study population, no single formulation consistently showed superior performance compared with the others.

Among the 89 participants who had complete Patient Global Impression of Change records, 56% experienced at least a 1.4-point improvement relative to placebo when using one or more active extracts. In subgroup analyses, response rates were recorded at 50% for pain, 47% for sleep difficulties, and 60% for anxiety. Around two-thirds of participants said they preferred an active cannabinoid product over placebo.

The study also found that a low-dose regimen combining 2.5 milligrams of THC and CBD taken three times per day was generally well tolerated. Even so, the researchers stressed that better outcomes are likely achieved when treatment is tailored rather than standardized across patients.

According to the authors, a universal recommendation is unlikely to fit the wide range of biological differences seen in patients. Variations in the endocannabinoid system may help explain why some individuals respond better to certain extracts than others.

The findings add to expanding scientific work exploring cannabis compounds in cancer care. Earlier reviews have suggested possible anti-tumor activity in specific cancers such as glioblastoma and breast tumors, along with evidence that cannabinoids may improve the effectiveness of chemotherapy.

CBD has also been highlighted in multiple analyses for its potential anti-cancer properties, anti-inflammatory effects, and possible role in slowing tumor growth and spread across cancers including lung, colorectal, ovarian, and prostate.

A 2025 study also examined existing clinical and laboratory data, suggesting cannabinoid use may enhance how standard chemotherapy drugs perform.

Separately, earlier research has reported that many cancer patients who use cannabis describe noticeable improvements in symptom severity and overall quality of life.

Researchers say further large-scale trials will be needed to determine optimal dosing strategies and long-term safety, particularly as interest in cannabinoid-based therapies continues to grow in oncology care settings worldwide.

These scientific findings confirming that marijuana products indeed confer medical benefits upon cancer patients are likely to be welcomed by industry firms like Aurora Cannabis Inc. (NASDAQ: ACB) (TSX: ACB) that sell medical marijuana products aimed at helping cancer patients manage their symptoms.

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420 with CNW — Illinois Governor Signs Law Restricting Sales of Intoxicating Hemp Products

Illinois has enacted new restrictions on intoxicating hemp-derived products, bringing them under rules similar to those governing recreational cannabis sales across the state.

Governor JB Pritzker signed Senate Bill 3222 into law on Friday, establishing a minimum purchase age of 21 for products containing intoxicating hemp compounds. The measure targets products such as HHC, Delta-8 THC, THC-P, and Delta-9 THC, which have largely been sold outside Illinois’ regulated cannabis marketplace.

Under the new law, these hemp-derived products will now face many of the same requirements imposed on recreational marijuana, which is already legal for adults aged 21 and older in Illinois. The legislation takes effect immediately, preventing retailers from selling intoxicating hemp products to anyone below the legal cannabis age threshold.

State officials say the measure is intended to address concerns about consumer safety and oversight. In addition to age restrictions, the law requires child-resistant packaging and prohibits advertising or labeling practices that could attract minors. Companies will also be barred from using packaging that resembles popular consumer products often marketed to children.

Existing cannabis industry standards will now extend to intoxicating hemp products as well. Pritzker praised the legislation after signing it, describing it as a significant step toward closing what state leaders viewed as a regulatory gap.

He said the measure strengthens oversight, supports fairness within the cannabis sector, and broadens access to medical cannabis options. The governor added that Illinois remains focused on building an industry that encourages participation from a wide range of businesses while maintaining consumer accessibility and safety.

The statewide action follows a debate in Chicago earlier this year. In February, Mayor Brandon Johnson rejected a proposed city ordinance that would have immediately prohibited sales of intoxicating hemp products to individuals under 21. The proposal also sought to ban most hemp-derived intoxicating products beginning April 1.

That ordinance contained several exceptions, including hemp-infused beverages, topical products, additives, and certain pet-related products. It would have allowed licensed restaurants and bars to continue selling approved hemp additives and beverages, while limiting the sale of many other hemp products to licensed cannabis dispensaries.

With the governor’s approval of the statewide legislation, Chicago’s hemp market will now operate under the same regulatory structure applied throughout Illinois rather than a separate city-specific system.

The issue is also drawing attention at the federal level. A nationwide prohibition on intoxicating hemp products is currently scheduled to take effect in November. However, lawmakers in Congress introduced legislation that could postpone implementation of the federal restrictions until 2028.

The marijuana industry will likely view the action taken in Illinois as the right path to take with regard to the regulation of intoxicating products derived from hemp, and industry actors like Canopy Growth Corp. (NASDAQ: CGC) (TSX: WEED) could see the move as leveling the playing field.

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420 with CNW — Federal Cannabis Trafficking Cases Dwindle Amid State-Level Legalization

Federal prosecutions tied to marijuana trafficking have dropped to their lowest level on record, reflecting a 95% decline that has unfolded over more than a decade, according to newly released figures from the U.S. Sentencing Commission.

The commission’s data shows that fewer than 400 individuals faced federal marijuana trafficking charges in 2025. That marks the smallest annual total ever recorded and highlights the changing landscape of cannabis enforcement across the country. Marijuana-related cases accounted for just 2% of all federal drug trafficking prosecutions during the year.

The contrast with earlier years is striking. In 2012, federal courts sentenced close to 7,000 people for offenses involving marijuana trafficking. That same year marked a turning point in U.S. cannabis policy when voters in Washington and Colorado approved the nation’s first legal frameworks for adult recreational marijuana sales.

Since then, federal prosecution numbers have steadily moved downward. By 2015, the annual total had fallen below 4,000 cases, and by 2019 it had dropped to fewer than 1,000.

The reduction in federal marijuana prosecutions mirrors a similar pattern seen at the U.S.-Mexico border. Government records indicate that border agents seized approximately 61,000 pounds of marijuana in 2023, the lowest amount reported in modern records. Compared with 2013 levels, that represents a decline of roughly 98% in cannabis seizure activity.

Observers say the figures reflect broader shifts in how marijuana is produced, distributed, and sold throughout the U.S. As more states establish regulated cannabis markets, demand for illicitly imported marijuana appears to have weakened, contributing to lower enforcement activity at both the border and the federal court level.

Paul Armentano, deputy director of NORML, noted that the statistics suggest that state-regulated cannabis programs are having a significant impact on illegal marijuana commerce. He argued that the growth of licensed markets has reduced the role of international suppliers while allowing federal authorities to direct attention and resources toward other criminal investigations that may present greater public safety concerns.

The sentencing data also offers a wider snapshot of federal criminal enforcement. Drug-related offenses continued to represent a substantial share of the federal caseload in 2025, accounting for nearly one-quarter of all prosecutions.

Among those cases, methamphetamine remained the dominant focus for federal authorities. Almost half of individuals prosecuted for federal drug crimes were involved in offenses connected to methamphetamine, making it the most common drug category in the federal system.

The wider marijuana industry, including major companies like Cresco Labs Inc. (CSE: CL) (OTCQX: CRLBF), will be happy that fewer people are now being prosecuted for marijuana-related offenses now that most of the country has legalized some form of the drug.

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