We compute the 1-loop (alpha_s^2) correction to hard spectator scattering in non-leptonic B decay tree amplitudes. This forms part of the NNLO contribution to the QCD factorization formula for hadronic B decays, and introduces a new rescattering phase that corrects the leading-order result for direct CP asymmetries. Among the technical issues, we discuss the cancellation of infrared divergences, and the treatment of evanescent four-quark operators. The infrared finiteness of our result establishes factorization of spectator scattering at the 1-loop order. Depending on the values of hadronic input parameters, the new 1-loop correction may have a significant impact on tree-dominated decays such as B -> pi pi.Comment: 28 pages, 5 figures, LaTe

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