Here's a set based solution using CTEs. Please let us see the execution plans and performance statistics when you have tested them. Best of luck.

Bob

------------------------------------------------

-- CTE Solution

------------------------------------------------

;with cte1 as -- identify breaks

(select code,rowid

from #temptable t1

where t1.code <> (select top 1 code

from #temptable t2

where t2.rowID < t1.rowID

order by t2.rowID desc)

)

,cte2 as -- identify ranges for 'A' codes only

(select c1.code,c1.rowid as minRow,min(c1a.rowID) as maxRow

from cte1 c1

join cte1 c1a on c1a.code <> c1.code and c1a.rowID > c1.rowID

where c1.code = 'A'

group by c1.code,c1.rowID

)

,cte3 as -- identify duplicates in 'A' ranges

(select c.minrow,max(rowid) as dupID

from #temptable t

cross join cte2 c

where t.rowid >=minRow and t.rowID < maxRow

group by c.minRow,t.rowKey,t.locale,c.code

having count(*) > 1

)

,cte4 as -- just get the *first* duplicates

(select min(dupID) as rowID

from cte3

group by minRow

)

,cte5 as -- put the breaks and the first "A" dups together

(select rowID from cte1

union all

select rowID from cte4)

select t.*

from cte5 c

join #temptable t on t.rowID = c.rowID

order by c.rowID