Bob is correct that negative margins can amount to predatory pricing which would be a concern to govermental agencies that are concerned with anti-trust enforcement. Icann policy making should not be concerned about the effect on any registrars that operate under negative margin as this is anticompetitive. Margie -----Original Message----- From: Robert F. Connelly [mailto:rconnell@psi-japan.com] Sent: Wednesday, May 26, 2004 6:44 AM To: Registrars Constituency Subject: Re: [registrars] Regarding taxes At 01:58 AM 5/26/2004, Bruce Tonkin wrote: I don't disagree that the increase in ICANN fees will affect a small registrar, but it should be understood that the increase in transaction fee (from 18 cents to 25 cents) significantly affects large registrars that sell a large volume of names at a small or even negative margin. Dear Bruce: Negative margins are exactly what many of us are trying to oppose. It borders on or is in fact a case of "predatory_pricing", something very much of concern to the anti-trust departments of our respective governments. Regards, BobC