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Bob,
Rolex limits the amount that dealers will discount watches from the retail price. Nowdays, about 10% is all you'll get. In the good old days, 25% or more was possible. One thing you can do is buy from a dealer that isn't an authorized Rolex dealer, but acts as a middle man between you and the authorized dealer. If you buy from one of these guys, you won't get the papers that come with the watch but that doesn't matter to some people. One I have used many times in the past is called Tarrytown Jewelers. They are out of New York and they have a website that should be pretty easy to find. Another benefit from buying out of state is that you'll usually not pay sales tax.
Happy hunting,
JR
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