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Quick Reference

  • Code definition: CPT 01630 covers anesthesia for open or surgical arthroscopic procedures at the shoulder joint complex, including the humeral head and neck, sternoclavicular (SC) joint, acromioclavicular (AC) joint, and glenohumeral joint, when no more specific code in the 01630 family applies.
  • Key billing rule: Payment follows the formula (Base Units + Time Units + Qualifying Circumstance Units) x Anesthesia Conversion Factor. CPT 01630 carries 5 base units per the ASA Relative Value Guide; time units accrue at 1 unit per 15 minutes of documented anesthesia time [1][5].
  • Modifier essentials: Every 01630 claim requires two modifiers: a provider role modifier (AA, QK, QX, QY, QZ, or AD) and a physical status modifier (P1 through P5). Missing either modifier is a top denial trigger.
  • Documentation must-have: Documented anesthesia start and stop times are required for time unit calculation. Without specific start and end times in the anesthesia record, time units cannot be validated and the claim will be denied or downpaid [1].
  • Top confusion point: 01630 is the NOS (not otherwise specified) code in the shoulder anesthesia family. When the underlying procedure is a total shoulder replacement, use 01638 instead. Billing 01630 for arthroplasty cases results in underpayment because base unit values differ between the two codes.
  • Payer alert: Under Medicare, physical status modifiers are informational only and add no payment units. Many commercial payers add units for P3 (+1 unit), P4 (+2 units), and P5 (+3 units); verify per payer contract.
  • Add-on code: CPT 0887T (end-tidal control of inhaled anesthetic agents, introduced 2024) is reported in addition to 01630 when the technology is utilized, per CPT guidelines [3].

When to Use This Code

CPT 01630 is the workhorse anesthesia code for shoulder surgery. It applies when the anesthesiologist provides anesthesia for an open or surgical arthroscopic procedure performed at any of the following anatomical sites: humeral head and neck, SC joint, AC joint, or glenohumeral joint. The NOS designation means 01630 applies whenever the underlying procedure does not qualify for a more specific code in the 01630 family (01634, 01636, or 01638).

Common procedures that map to 01630 include arthroscopic rotator cuff repair (partial or full thickness), Bankart repair and labral reconstruction, SLAP repair, subacromial decompression and acromioplasty, AC joint resection (distal clavicle excision), SC joint procedures, shoulder arthroscopy with surgical debridement or chondroplasty, and open shoulder stabilization procedures.

Code selection follows the surgeon, not the anesthetic technique. The operative report drives code selection. Whether the anesthesiologist uses general anesthesia, total intravenous anesthesia, or regional anesthesia with sedation, 01630 remains the correct code when the surgical procedure falls within scope. The type of anesthesia delivered is captured by modifier, not by code.

Scope boundaries: 01630 covers open and surgical arthroscopic procedures at the shoulder joint complex. Procedures confined to soft tissues, tendons, bursae, or nerves of the shoulder and axilla without joint entry are more appropriately reported with 01610. Diagnostic arthroscopy with no surgical intervention maps to 01622.

Time units: CMS requires anesthesia time to be reported in minutes on the claim form (field 24G); the MAC converts to units internally [1]. Anesthesia time begins when the anesthesiologist starts preparing the patient for induction in the operating room and ends when the anesthesiologist is no longer in personal attendance. Time spent in the PACU after the anesthesiologist transfers care does not count. Time from a preoperative hold area also does not count unless the anesthesiologist is actively attending to the patient in the operating room suite.


Code Differentiation Table

Code Description When to Use Instead
01630 Anesthesia, open or surgical arthroscopic shoulder procedures, NOS Rotator cuff repair, Bankart repair, SLAP repair, AC joint resection, subacromial decompression, and all other surgical shoulder arthroscopy or open procedures not meeting a more specific code
01610 Anesthesia, procedures on nerves, muscles, tendons, fascia, and bursae of shoulder and axilla Procedures confined to soft tissue without joint entry (e.g., bursectomy without arthroscopy, axillary nerve decompression)
01620 Anesthesia, closed procedures on shoulder joint complex Closed manipulation under anesthesia of the shoulder without arthroscopy
01622 Anesthesia, diagnostic arthroscopic procedures of shoulder joint Diagnostic arthroscopy only; no surgical intervention performed during the case
01638 Anesthesia, total shoulder replacement Total or reverse total shoulder arthroplasty; use this code, not 01630, for any shoulder arthroplasty
01634 Anesthesia, shoulder disarticulation Amputation at the level of the shoulder joint
01636 Anesthesia, interthoracoscapular forequarter amputation Radical amputation including the shoulder girdle and clavicle

The most consequential differentiation is between 01630 and 01638. Total shoulder replacement (including reverse total shoulder arthroplasty) has its own code with distinct base units; billing 01630 NOS when a total shoulder replacement was performed consistently results in underpayment.

The second critical distinction is between 01630 and 01622. When a surgeon schedules a diagnostic shoulder arthroscopy and converts to a surgical procedure intraoperatively, the correct code for the entire case is 01630. The final nature of the procedure determines the anesthesia code, not the original surgical plan.

flowchart TD
    A[Shoulder procedure?] --> B{Open or surgical arthroscopic?}
    B -- No: closed only --> C[01620]
    B -- Yes --> D{Specific procedure type?}
    D -- Total shoulder replacement --> E[01638]
    D -- Shoulder disarticulation --> F[01634]
    D -- Forequarter amputation --> G[01636]
    D -- Diagnostic arthroscopy only --> H[01622]
    D -- Rotator cuff, labral, AC joint, NOS --> I[01630]
    A -- Soft tissue or nerve only --> J[01610]

Billing and Modifier Rules

Provider role modifiers are required on every anesthesia claim. Select based on the provider arrangement [1]:

Modifier Who Bills Situation Medicare Payment
AA Anesthesiologist Personally performed, no CRNA or AA involvement 100%
QK Anesthesiologist Medically directing 2 to 4 concurrent cases 50%
QY Anesthesiologist Medically directing 1 CRNA (1 to 1 direction) 50%
AD Anesthesiologist Supervising more than 4 concurrent cases Capped at 3 base units
QX CRNA Under physician medical direction 50%
QZ CRNA Independent, no physician direction 100% of CRNA allowed amount
GC Anesthesiologist Teaching physician directing a resident Special teaching rules apply

Physical status modifiers (P1 through P5) are appended to the anesthesia CPT code and reflect the patient's systemic condition per the ASA Physical Status Classification System [2]. Under Medicare, these modifiers carry no additional payment units. Commercial payers vary; many add 1 unit for P3, 2 units for P4, and 3 units for P5.

Qualifying circumstances are add-on codes billed alongside 01630 when applicable:

  • 99100: Patient age under 1 year or over 70; adds 5 units. Common for elderly patients with shoulder fractures or arthritic conditions.
  • 99116: Controlled hypotension utilized; adds 5 units. May apply in beach chair position shoulder cases where hypotensive technique is used to control bleeding.
  • 99135: Controlled hypothermia utilized; adds 5 units. Rarely applicable to shoulder surgery.
  • 99140: Emergency conditions; adds 5 units. Applies to emergent shoulder fracture or dislocation requiring urgent operative intervention.

These are add-on codes and cannot be billed without a base anesthesia code such as 01630.

Add-on code 0887T: CPT 0887T (end-tidal control of inhaled anesthetic agents and oxygen to assist anesthesia care delivery, added 2024) is listed separately in addition to 01630 when utilized. Per CPT guidelines, 0887T is used in conjunction with codes 00100 through 01999 [3].

Separately reportable nerve blocks: An interscalene nerve block performed for postoperative pain management is separately billable when it is a distinct service from the surgical anesthesia, documented separately in the medical record, and not the primary anesthetic technique. If the interscalene block IS the primary anesthetic technique, billing both the nerve block and 01630 constitutes unbundling.

Global days: 01630 carries a global days indicator of XXX, meaning the global surgery concept does not apply to anesthesia codes. Preoperative and postoperative anesthesia evaluations on the day of surgery are included in the anesthesia service and are not separately billable [1].


Documentation Essentials

Pre-anesthesia evaluation: Must be performed and documented before the procedure begins, including patient history, relevant comorbidities, physical exam, airway assessment, and ASA physical status assignment with supporting clinical rationale. This is the basis for physical status modifier selection [1].

Intraoperative anesthesia record: Must document continuous monitoring data (blood pressure, heart rate, SpO2, EtCO2, temperature at appropriate intervals), all drugs administered with dose, route, and time, and specifically, documented anesthesia start and stop times in minutes. Patient positioning must also be recorded; for beach chair position cases, documentation of cerebral perfusion monitoring protocols is advisable.

Post-anesthesia evaluation: Must be completed before patient discharge from post-anesthesia care. Together with the preanesthesia evaluation, this frames the medical necessity documentation for the case.

Medical direction conditions: When billing QK or QY, the record must demonstrate all 7 CMS medical direction conditions were satisfied: preanesthesia examination and evaluation, prescription of the anesthesia plan, personal participation in the most demanding procedures including induction and emergence, monitoring of the case at frequent intervals, remaining immediately available, postanesthesia evaluation, and documentation of the conditions met [1]. OIG has identified medical direction compliance as a high-risk billing area.

Audit red flags specific to 01630:

  • Anesthesia start and end times are missing or recorded only as elapsed duration
  • Physical status modifier P3 or P4 without supporting comorbidity documentation in the preanesthesia evaluation
  • QK billing when concurrent case time overlaps cannot be reconciled with individual case durations
  • Qualifying circumstance codes (99100, 99116) without corresponding documentation in the anesthesia record
  • Interscalene block billed separately without a distinct, separately documented procedure note

Medicare, Commercial and Medicaid Payer Rules

Medicare

Anesthesia payment follows the formula: (Base Units + Time Units + Qualifying Circumstance Units) x Anesthesia Conversion Factor [1]. The 2025 anesthesia conversion factor is $21.1473 per unit, per the CY2025 MPFS Final Rule [4]. This is a separate, lower conversion factor than the general MPFS conversion factor of $32.3465.

There is no national coverage determination (NCD) specific to anesthesia for shoulder surgery. Coverage for 01630 derives from the coverage determination for the underlying surgical procedure; if the shoulder surgery is denied as not medically necessary, the anesthesia claim will be denied on the same basis.

CMS requires anesthesia time reported in minutes on the claim form (field 24G); the MAC converts to units. In states where the governor has opted out of the Medicare CRNA supervision requirement, CRNAs may bill independently using modifier QZ without physician direction.

Commercial Payers

Most commercial payers follow the base unit plus time formula but may diverge on physical status unit additions (P3 through P5 may carry payment units; verify per contract), conversion factor values (typically higher than the Medicare rate), and qualifying circumstance recognition (some payers bundle 99100 or do not separately recognize 99116). Prior authorization for the underlying surgical procedure transitively affects anesthesia coverage; confirm the surgical authorization covers the anesthesia service as well.


Common Denials and Prevention

Missing provider role modifier

Without AA, QK, QX, QY, QZ, AD, or GC, the claim is technically incomplete. Most payers auto-deny before clinical review. Prevention: build a hard edit in the charge capture or claim scrubbing system that flags 01630 without a provider role modifier before submission.

Wrong code in the 01630 family

Billing 01630 when the underlying procedure is a total shoulder replacement (correct code: 01638) is among the most common underpayment errors for shoulder anesthesia. Root cause: charge capture defaults to the NOS code without a procedure-specific lookup. Prevention: require the operative note to be reviewed against the full 01630 family before the anesthesia code is finalized; flag the combination of 01630 with total shoulder arthroplasty ICD diagnosis codes for manual review.

Undocumented or ambiguous anesthesia time

Time units calculated from a duration note ("case lasted 90 minutes") rather than specific start and stop times are subject to audit adjustment. Medicare specifically requires absolute start and stop times in the record [1]. Prevention: implement a required field for start time and end time (not elapsed time) in the electronic anesthesia record.

Medical direction conditions not documented

Billing QK or QY without evidence that all 7 CMS conditions were met; auditors specifically examine whether the anesthesiologist was present at induction and emergence and remained immediately available. Prevention: include a structured medical direction attestation in the anesthesia record for every concurrent case with specific time entries confirming presence at induction and emergence.

Qualifying circumstance billed without supporting documentation

Billing 99100 (extreme age) or 99116 (controlled hypotension) without corresponding documentation results in recoupment on audit. Prevention: add a structured field in the anesthesia record requiring free-text justification whenever a qualifying circumstance code is selected.


Coding Scenarios

Scenario: A 56-year-old female with controlled hypertension (ASA P2) undergoes elective arthroscopic rotator cuff repair with subacromial decompression. The anesthesiologist personally provides general anesthesia for 75 documented minutes.

Correct coding: 01630 with AA and P2

Why: The procedure is a surgical arthroscopic shoulder procedure within the NOS category; no more specific 01630-family code applies. AA reflects personal performance. At 2025 Medicare rates: (5 base + 5 time units) x $21.1473 = $211.47 allowed [4].

Scenario: A diagnostic shoulder arthroscopy is scheduled. Intraoperatively, the surgeon identifies and repairs a SLAP tear. The anesthesia record was pre-labeled for a diagnostic case.

Correct coding: 01630 with AA (not 01622)

Why: When a diagnostic arthroscopy converts to a surgical procedure, the surgical anesthesia code covers the entire case. The final nature of the procedure determines the code, regardless of the original surgical plan.

Scenario: A 74-year-old male with COPD (ASA P3) presents emergently with a proximal humerus fracture-dislocation requiring urgent open reduction and internal fixation. Anesthesia time is 120 minutes.

Correct coding: 01630 with AA, P3, 99100, and 99140

Why: The patient is over 70 (99100, adds 5 units) and the case is emergent (99140, adds 5 units). Under Medicare, P3 is informational and adds no units. Estimated Medicare allowable at 2025 rates: (5 base + 8 time units + 10 qualifying circumstance units) x $21.1473 = 23 x $21.1473 = $486.39 [4].

Scenario: An anesthesiologist is medically directing 3 CRNAs simultaneously, each performing anesthesia for a separate shoulder arthroscopy case. One CRNA handles an arthroscopic Bankart repair (01630).

Correct coding: Anesthesiologist bills 01630 with QK; CRNA bills 01630 with QX.

Why: Medical direction of 2 to 4 concurrent cases is reported with QK by the physician and QX by the CRNA. Each claim is paid at 50% of the allowed amount. The anesthesiologist's record must document all 7 CMS medical direction conditions for each concurrent case [1].


Related Codes

  • 01610: Anesthesia, procedures on nerves, muscles, tendons, fascia, and bursae of shoulder and axilla; for soft tissue procedures without joint entry
  • 01620: Anesthesia, closed procedures on shoulder joint complex; for manipulation under anesthesia without arthroscopy
  • 01622: Anesthesia, diagnostic arthroscopic procedures of shoulder joint; when no surgical intervention occurs
  • 01638: Anesthesia, total shoulder replacement; use instead of 01630 for any shoulder arthroplasty
  • 01634: Anesthesia, shoulder disarticulation; amputation at shoulder joint level
  • 01636: Anesthesia, interthoracoscapular forequarter amputation; radical shoulder girdle amputation
  • 99100: Qualifying circumstance, extreme age; commonly paired with shoulder fracture cases in elderly patients
  • 99116: Qualifying circumstance, controlled hypotension utilized; may apply in beach chair position cases
  • 99140: Qualifying circumstance, emergency conditions; for urgent shoulder fracture and dislocation cases
  • 0887T: End-tidal control of inhaled anesthetic agents; 2024 add-on code reportable in addition to 01630 when utilized

Sources

  1. CMS Internet-Only Manual, Pub. 100-04, Chapter 12, Section 50: Anesthesia payment formula, medical direction 7 conditions, modifier rules, and time reporting requirements.
  2. ASA Physical Status Classification System — American Society of Anesthesiologists: P1 through P5 definitions and clinical examples.
  3. AMA CPT Code Set, Annual Edition — American Medical Association: Official guidelines for anesthesia codes 00100 through 01999, including add-on code relationships for 0887T.
  4. CY2025 Medicare Physician Fee Schedule Final Rule: 2025 anesthesia conversion factor of $21.1473 per unit, published Federal Register November 29, 2024.
  5. ASA Relative Value Guide (RVG) — American Society of Anesthesiologists: Base unit values for CPT 01630; reported as 5 base units.

Related Codes

Official Description

Anesthesia for open or surgical arthroscopic procedures on humeral head and neck, sternoclavicular joint, acromioclavicular joint, and shoulder joint; not otherwise specified

© Copyright 2026 American Medical Association. All rights reserved.

Short Descr ANESTH SURGERY OF SHOULDER
Medium Descr ANES ARTHRS HUMERAL H/N STRNCLAV & SHOULDER NOS
Long Descr Anesthesia for open or surgical arthroscopic procedures on humeral head and neck, sternoclavicular joint, acromioclavicular joint, and shoulder joint; not otherwise specified
Status Code Anesthesia Service
Global Days XXX - Global Concept Does Not Apply
PC/TC Indicator (26, TC) 9 - Not Applicable
Multiple Procedures (51) 9 - Concept does not apply.
Bilateral Surgery (50) 9 - Concept does not apply.
Physician Supervisions 09 - Concept does not apply.
Assistant Surgeon (80, 82) 9 - Concept does not apply.
Co-Surgeons (62) 9 - Concept does not apply.
Team Surgery (66) 9 - Concept does not apply.
Diagnostic Imaging Family 99 - Concept Does Not Apply
APC Status Indicator Items and Services Packaged into APC Rates
Type of Service (TOS) 7 - Anesthesia
Berenson-Eggers TOS (BETOS) P0 - Anesthesia
MUE Not applicable/unspecified.
CCS Clinical Classification 232 - Anesthesia

This is a primary code that can be used with these additional add-on codes.

0887T New Code for 2024 Add On Code MPFS Status: Carrier Priced APC N ASC N1 End-tidal control of inhaled anesthetic agents and oxygen to assist anesthesia care delivery (List separately in addition to code for primary procedure)
QX Crna service: with medical direction by a physician
QK Medical direction of two, three, or four concurrent anesthesia procedures involving qualified individuals
AA Anesthesia services performed personally by anesthesiologist
QZ Crna service: without medical direction by a physician
X4 Episodic/focused services: for reporting services by clinicians who provide focused care on particular types of treatment limited to a defined period and circumstance; the patient has a problem, acute or chronic, that will be treated with surgery, radiation, or some other type of generally time-limited intervention; reporting clinician service examples include but are not limited to, the orthopedic surgeon performing a knee replacement and seeing the patient through the postoperative period
P3 A patient with severe systemic disease
P2 A patient with mild systemic disease
QY Medical direction of one certified registered nurse anesthetist (crna) by an anesthesiologist
AD Medical supervision by a physician: more than four concurrent anesthesia procedures
GC This service has been performed in part by a resident under the direction of a teaching physician
QS Monitored anesthesia care service
P1 A normal healthy patient
X5 Diagnostic services requested by another clinician: for reporting services by a clinician who furnishes care to the patient only as requested by another clinician or subsequent and related services requested by another clinician; this modifier is reported for patient relationships that may not be adequately captured by the above alternative categories; reporting clinician service examples include but are not limited to, the radiologist's interpretation of an imaging study requested by another clinician
CR Catastrophe/disaster related
AQ Physician providing a service in an unlisted health professional shortage area (hpsa)
Q6 Service furnished under a fee-for-time compensation arrangement by a substitute physician or by a substitute physical therapist furnishing outpatient physical therapy services in a health professional shortage area, a medically underserved area, or a rural area
22 Increased procedural services: when the work required to provide a service is substantially greater than typically required, it may be identified by adding modifier 22 to the usual procedure code. documentation must support the substantial additional work and the reason for the additional work (ie, increased intensity, time, technical difficulty of procedure, severity of patient's condition, physical and mental effort required). note: this modifier should not be appended to an e/m service.
P4 A patient with severe systemic disease that is a constant threat to life
23 Unusual anesthesia: occasionally, a procedure, which usually requires either no anesthesia or local anesthesia, because of unusual circumstances must be done under general anesthesia. this circumstance may be reported by adding modifier 23 to the procedure code of the basic service.
52 Reduced services: under certain circumstances a service or procedure is partially reduced or eliminated at the discretion of the physician or other qualified health care professional. under these circumstances the service provided can be identified by its usual procedure number and the addition of modifier 52, signifying that the service is reduced. this provides a means of reporting reduced services without disturbing the identification of the basic service. note: for hospital outpatient reporting of a previously scheduled procedure/service that is partially reduced or cancelled as a result of extenuating circumstances or those that threaten the well-being of the patient prior to or after administration of anesthesia, see modifiers 73 and 74 (see modifiers approved for asc hospital outpatient use).
53 Discontinued procedure: under certain circumstances, the physician or other qualified health care professional may elect to terminate a surgical or diagnostic procedure. due to extenuating circumstances or those that threaten the well being of the patient, it may be necessary to indicate that a surgical or diagnostic procedure was started but discontinued. this circumstance may be reported by adding modifier 53 to the code reported by the individual for the discontinued procedure. note: this modifier is not used to report the elective cancellation of a procedure prior to the patient's anesthesia induction and/or surgical preparation in the operating suite. for outpatient hospital/ambulatory surgery center (asc) reporting of a previously scheduled procedure/service that is partially reduced or cancelled as a result of extenuating circumstances or those that threaten the well being of the patient prior to or after administration of anesthesia, see modifiers 73 and 74 (see modifiers approved for asc hospital outpatient use).
59 Distinct procedural service: under certain circumstances, it may be necessary to indicate that a procedure or service was distinct or independent from other non-e/m services performed on the same day. modifier 59 is used to identify procedures/services, other than e/m services, that are not normally reported together, but are appropriate under the circumstances. documentation must support a different session, different procedure or surgery, different site or organ system, separate incision/excision, separate lesion, or separate injury (or area of injury in extensive injuries) not ordinarily encountered or performed on the same day by the same individual. however, when another already established modifier is appropriate it should be used rather than modifier 59. only if no more descriptive modifier is available, and the use of modifier 59 best explains the circumstances, should modifier 59 be used. note: modifier 59 should not be appended to an e/m service. to report a separate and distinct e/m service with a non-e/m service performed on the same date, see modifier 25.
74 Discontinued out-patient hospital/ambulatory surgery center (asc) procedure after administration of anesthesia: due to extenuating circumstances or those that threaten the well being of the patient, the physician may terminate a surgical or diagnostic procedure after the administration of anesthesia (local, regional block(s), general) or after the procedure was started (incision made, intubation started, scope inserted, etc). under these circumstances, the procedure started but terminated can be reported by its usual procedure number and the addition of modifier 74. note: the elective cancellation of a service prior to the administration of anesthesia and/or surgical preparation of the patient should not be reported. for physician reporting of a discontinued procedure, see modifier 53.
76 Repeat procedure or service by same physician or other qualified health care professional: it may be necessary to indicate that a procedure or service was repeated by the same physician or other qualified health care professional subsequent to the original procedure or service. this circumstance may be reported by adding modifier 76 to the repeated procedure or service. note: this modifier should not be appended to an e/m service.
77 Repeat procedure by another physician or other qualified health care professional: it may be necessary to indicate that a basic procedure or service was repeated by another physician or other qualified health care professional subsequent to the original procedure or service. this circumstance may be reported by adding modifier 77 to the repeated procedure or service. note: this modifier should not be appended to an e/m service.
99 Multiple modifiers: under certain circumstances 2 or more modifiers may be necessary to completely delineate a service. in such situations modifier 99 should be added to the basic procedure, and other applicable modifiers may be listed as part of the description of the service.
G9 Monitored anesthesia care for patient who has history of severe cardio-pulmonary condition
GA Waiver of liability statement issued as required by payer policy, individual case
GV Attending physician not employed or paid under arrangement by the patient's hospice provider
GW Service not related to the hospice patient's terminal condition
LT Left side (used to identify procedures performed on the left side of the body)
P5 A moribund patient who is not expected to survive without the operation
PO Excepted service provided at an off-campus, outpatient, provider-based department of a hospital
Q1 Routine clinical service provided in a clinical research study that is in an approved clinical research study
QJ Services/items provided to a prisoner or patient in state or local custody, however the state or local government, as applicable, meets the requirements in 42 cfr 411.4 (b)
RT Right side (used to identify procedures performed on the right side of the body)
U1 Medicaid level of care 1, as defined by each state
XE Separate encounter, a service that is distinct because it occurred during a separate encounter
XS Separate structure, a service that is distinct because it was performed on a separate organ/structure
XU Unusual non-overlapping service, the use of a service that is distinct because it does not overlap usual components of the main service
Date
Action
Notes
2013-01-01 Changed Medium Descriptor changed.
2011-01-01 Changed Short description changed.
2003-01-01 Changed Code description changed.
Pre-1990 Added Code added.
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