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Events

* February 19 - Second Battle of Uji: Minamoto no Yoshinaka is defeated by his cousins, Yoshitsune and Yoritomo, for the control of Japan.
* June 15 - Battle of Fimreite: King Sverre of Norway defeats and kills his rival, Magnus Erlingsson, to take the throne.
* The city of Abbeville receives its commercial charter.
* Archbishop Absalon of Lund wins a naval victory over Bogislav, duke of Pomerania.
* The streets of Paris are paved by order of Philip Augustus.
* Abu Yusuf Ya'qub al-Mansur becomes the third Almohad Caliph.
* The Papal bull "Ad Aboldendam" is issued against several European heretical groups: the Cathars, the Waldensians, the Patarines and the Humiliati. It is created after a landmark meeting in Verona between the Holy Roman Empire under Frederick Barbarossa and the Roman Church under Pope Lucius III.

Births

* April 11 — William of Winchester, Lord of Lunenburg (d. 1213)
* Eleanor, Fair Maid of Brittany (approximate date; d. 1241)
* Saadi, Iranian poet (d. 1291)

Deaths

* February 16 — Richard of Dover, Archbishop of Canterbury
* March 27 — Giorgi III, king of Georgia
* June 15 — Magnus Erlingsson, king of Norway (b. 1156)
* July 29 — Yusuf I, Almohad Caliph

Heads of states

* England — Henry II Curt Mantle, King of England (reigned 1154–1189).
* France — Philippe II, Auguste King of France (reigned from 1180–1223).