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From what I recall from their story, the "incident" had to do with a homecoming float (or some such item) designed by one of the classes. It featured a headless opponent (head removed by giant talon). The figure had brown gloves, and was perceived by some to be African American. The people involved deny it had racial overtones (including the class sponsor). The principal feels that there must be deeper issues at play here, since folks feel that way about it, hence the meeting to discuss it.