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Am I mistaken to believe that given the information, this is an easy reraise? As I read through the post and came upon hero's decision, I actually said "reraise" out loud.

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This was my intial thought as well. Given the actual result of the hand, I began to wonder though!

Perhaps I should point out something: the SB was a woman. Dunno if this is sexist, but her strange bet out seemed pretty scary.