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(Capcom's primary storyline)
This village was an impoverished and isolated Mountain community in the Caucasus region of the Russian Federation. Located three kilometers away from Umbrella Russia's Caucasus facility, its population was later suspected by Chris Redfield of working for Umbrella Russia in maintaining an off-site underground B.O.W. storage facility, with Anna's father being its liaison. The village's name may be "Matsed" (Russian: Мацэд), though only part of the sign has been seen.
In February 2003 it suffered a biological outbreak caused by a containment failure releasing a mutated wolf to the surface. Chris and Jill Valentine responded to the wolf's capture two days after the outbreak by investigating the surrounding area. In that time the village had suffered from a t-Virus infestation initially reported as a series of continuous, bizarre murderer cases. Unaware of its similarities to the "cannibal disease" during the 1998 murders in the Arklay Mountains, the surviving inhabitants associated the killings with the revival of "Armas", a monster in their folklore.
During their investigation of a flour silo, the two operatives discovered that Albert Wesker was investigating the area, looking for data Umbrella was hiding. Heading over to Anna's home, he used her pendant on a safe, believing her father to have hidden the all-important data within it. However, it was revealed to have been a trap, and the safe was full of explosives. While the safe's contents were lost, Wesker succeeded in obtaining plans for Sergei Vladimir's laboratory.