I caught this piece on WebProNews that should have all of us worried.
Google seems to be deliberately ditching local listings. I highly recommend if you are involved in SEO (and SEM) that you pay attention to this and let your people and their people know about this. Google is flexing its muscle in more ways than one. If we thought that Microsoft was the evil empire - then we have to accept that Google is far from benign.
Cheers
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