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Yep, breaks both the jailbreak install on a vanilla (ie. unhacked) Kindle, *and* hacks install/uninstall on a previously jailbroken Kindle.
Can't say if it breaks the Fonts/SS hacks, since I haven't actually installed it yet, but since you won't be (easily) able to uninstall any hack, I'd recommend *not* doing this update on a hacked Kindle/if you care about being able to easily install/remove hacks.
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