<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:m="http://schemas.microsoft.com/office/2004/12/omml" xmlns="http://www.w3.org/TR/REC-html40">
<head>
<meta http-equiv="Content-Type" content="text/html; charset=utf-8">
<meta name="Generator" content="Microsoft Word 15 (filtered medium)">
<style><!--
/* Font Definitions */
@font-face
        {font-family:"Cambria Math";
        panose-1:2 4 5 3 5 4 6 3 2 4;}
@font-face
        {font-family:Calibri;
        panose-1:2 15 5 2 2 2 4 3 2 4;}
/* Style Definitions */
p.MsoNormal, li.MsoNormal, div.MsoNormal
        {margin:0in;
        margin-bottom:.0001pt;
        font-size:12.0pt;
        font-family:"Times New Roman",serif;}
a:link, span.MsoHyperlink
        {mso-style-priority:99;
        color:blue;
        text-decoration:underline;}
a:visited, span.MsoHyperlinkFollowed
        {mso-style-priority:99;
        color:purple;
        text-decoration:underline;}
p
        {mso-style-priority:99;
        mso-margin-top-alt:auto;
        margin-right:0in;
        mso-margin-bottom-alt:auto;
        margin-left:0in;
        font-size:12.0pt;
        font-family:"Times New Roman",serif;}
span.hoenzb
        {mso-style-name:hoenzb;}
span.EmailStyle19
        {mso-style-type:personal-reply;
        font-family:"Calibri",sans-serif;
        color:#1F497D;}
.MsoChpDefault
        {mso-style-type:export-only;
        font-size:10.0pt;
        font-family:"Calibri",sans-serif;}
@page WordSection1
        {size:8.5in 11.0in;
        margin:1.0in 1.0in 1.0in 1.0in;}
div.WordSection1
        {page:WordSection1;}
--></style><!--[if gte mso 9]><xml>
<o:shapedefaults v:ext="edit" spidmax="1026" />
</xml><![endif]--><!--[if gte mso 9]><xml>
<o:shapelayout v:ext="edit">
<o:idmap v:ext="edit" data="1" />
</o:shapelayout></xml><![endif]-->
</head>
<body lang="EN-US" link="blue" vlink="purple">
<div class="WordSection1">
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">Hello Eduardo:<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">Can you identify any objective reasons why we should be extremely concerned about the potential costs associated
 with separating out a department that consists of only 7 people (even less, if it’s only the “names-related part) with no heavy, specialized capital equipment?
<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D"><o:p>&nbsp;</o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">How would the cost of these legal formalities and minor asset reshufflings compare to the cost of sending ICANN’s
 CEO and assistants to the World Economic Forum for a week? How would it compare to the costs of running 42 conference calls for the CWG over the course of 8 months, with 3-5 staff members present on each call? Within those parameters, I would suggest that
 the term “not that significant” or “fairly minimal” is not so subjective or arbitrary.
<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D"><o:p>&nbsp;</o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">I am not arguing against Chuck’s suggestion that ICANN accounting develop an estimate (and it will be an estimate,
 not a measurement). More information can be useful. But we do have objective knowledge of the size of the IANA functions operation and in the greater scheme of things I think these costs are going to look pretty darn small once those estimates are developed.<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D"><o:p>&nbsp;</o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">Let’s also not forget the potential security advantages of separating IANA functions infrastructure from routine,
 unrelated ICANN stuff. There could be significant reductions of risk, and thus cost, there.
<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D"><o:p>&nbsp;</o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D">--MM<o:p></o:p></span></font></p>
<p class="MsoNormal"><font size="2" color="#1f497d" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;color:#1F497D"><o:p>&nbsp;</o:p></span></font></p>
<div style="border:none;border-left:solid blue 1.5pt;padding:0in 0in 0in 4.0pt">
<div>
<div>
<p class="MsoNormal"><b><font size="2" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif;font-weight:bold">From:</span></font></b><font size="2" face="Calibri"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,sans-serif"> cwg-stewardship-bounces@icann.org
 [mailto:cwg-stewardship-bounces@icann.org] <b><span style="font-weight:bold">On Behalf Of
</span></b>Eduardo Diaz<br>
<br>
</span></font><o:p></o:p></p>
</div>
<div>
<p class="MsoNormal"><font size="3" face="Times New Roman"><span style="font-size:12.0pt">I am not suggesting that we do not accept counsel's advice but to adjust what I consider subjective statements.
<i><span style="font-style:italic">&quot;fairly minimal </span></i>and<i><span style="font-style:italic"> not be significant&quot;</span></i> need to be defined to make them objective. Based on my business experience also cost is always impredecible especially when you
 do not have all the details.<o:p></o:p></span></font></p>
</div>
<div>
<p class="MsoNormal"><font size="3" face="Times New Roman"><span style="font-size:12.0pt"><o:p>&nbsp;</o:p></span></font></p>
</div>
<div>
<p class="MsoNormal"><font size="3" face="Times New Roman"><span style="font-size:12.0pt">-ed<o:p></o:p></span></font></p>
</div>
<div>
<p class="MsoNormal"><font size="3" face="Times New Roman"><span style="font-size:12.0pt"><o:p>&nbsp;</o:p></span></font></p>
</div>
</div>
</div>
</div>
</body>
</html>