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Well, the mp3 copy I have, she definitely says "прекрасном"...

прекрасный can also mean beautiful, and I think in this context is the best choice. I never heard of an "excellent city" without a qualifier, you would have something like: "excellent city for...

Well, OK, since it is so short! And since I like the song too.

This song is about the most beautiful city in the world. Moscow!

One, two, three!

Look!
Pioners are walking there
Singing...