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I was told at the Apple Store when I purchased my 4S yesterday that they will no longer replace damaged phones at $199 but rather full retail. So your options are AppleCare+ for 99 and then 49 if you damage it, OR full retail.

Really? I was told $200 at our Apple store, about 2 weeks ago. Maybe this is because they don't have any refurb 4s's yet?
 
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