IN THE REGISTRY OPERATOR’S
PROPOSAL TEXT:
…………………….
D13.1.2.
Current business operations. Core capabilities, services offered, products
offered, duration of provision of services and products.
Internet-fr offers two main types of service to its corporate
customers mainly in France:
Critical
web hosting (shared and co-located servers);
Leased
lines for IP access.
Internet-fr is:
Active
member of AFNIC( dot fr TLD)
Local
registry for RIPE
ISO
9001
Microsoft Certified Solution Provider
WAS (Web Attached Storage) certified by
AUSPEX
Internet-fr benefits from numerous peering
agreements with, for example, BULL, Abovenet, COLT, Globix, Carrier1, Level 3,
PSINet, Belgacom,…
CSL is ISP (Internet Service
Provider) for companies only (no individual customers), restricted to the
region of Nordrhein Westfalen = nrw (in revenue the biggest of the16 states of
Germany, 18 million inhabitants)
CSL provides additionally services in Database applications
and statistical analysis.
From the list of customers to be mentioned:
·
Henkel
·
Ferrero
·
VDI ( German association
of engineers )
·
Weight Watchers
·
Madakom (
Standardization association for
retailers in Germany )
·
Detekom ( consultant
company of Deutsche Telekom )
·
Ericsson
·
E-plus ( 3rd
GSM provider in Germany )
·
Stadtwerke Düsseldorf (
civil services of town )
·
Ricoh
·
Grey
·
Last not least CORE (
Internet Council of Registrars )
END CONFIDENTIAL
D13.1.3. Past
business operations/entity history. History, date of formation, legal
status/type of entity, initial services, duration of provision of services and
products.
Founded in 1972, the company was transformed in a GmbH
in 1977, originally providing statistical analysis for market research
companies and departments. Database services were added in 1990, Internet
services in 1994.
CSL is used to run large database-applications as
examples:
BEGIN CONFIDENTIAL
On-line database for Weight Watchers in Germany, 1
million members with behavior.
For Madakom, a standardization body for manufacturers
and retailers, collecting 1 million records per week from 200 outlets of
barcode-marked products for statistical analysis. Online data for 2 years (=
104 weeks).
For Detekom, a Deutsche Telekom owned company, a
survey on 500,000 employees and former employees before the split of Deutsche
Telekom's predecessor.
CSL programmed and actually runs the registrar
environment for CORE ( Internet Council of Registrars ). CORE was chosen by
ICANN as one of 5 test-bed registrars back in April 1999. Originally, CORE
intended to run a registry for some TLDs. A software called SRS ( shared
registry system ) was developed to handle them. When CORE become a registrar,
the software was modified, thereby allowing CORE members to use it as a gateway
to the NSI registry. Almost 1 million domains were registered and maintained by
SRS. Unlike the software run by NSI as registry, this is a so called
heavy-registry-software, having almost all data stored at the registry level,
making it easier for the registrars.
Siegfried Langenbach was a cofounder and the first
head of the Supervisory Board of DENIC, the German registry, which is the 2nd
largest registry in the world after NSI.
Recognized as an expert, CSL is working together with
the EU commission to define the technical aspects of a TLD for the EU.
END CONFIDENTIAL
Internet-fr has built up a large customer base including well
known organizations and companies, such as :
BEGIN CONFIDENTIAL
Vivendi, Century 21, Argus de la Presse,
Green Peace, UNICEF,
St Gobain Emballages, MAN, Virgin Cola, Geophysique,
Oberthur, Cilas (CEA/Matra), Dassault Systems,Lufthansa,
Jean-Paul Gaultier, Kenzo, Salvatore Ferragamo, Christian Lacroix,
OCDE, INSEE, FIANET (Axa group), Abeille Assurances,…
D13.1.8.
Commercial general liability insurance. Address/include amount of insurance
policy, provider of policy, plans for obtaining additional insurance.
BEGIN CONFIDENTIAL
Netbay has subscribed several insurance policies
covering its business activities.
The most important ones concern :
-
Premises and operations liability insurance
("assurance responsabilité exploitation");
. the
limit of liabilities amounts to EUR 4.5 million,
. the insurance broker is Samcar located 24,
boulevard Princesse Charlotte – 98000 Monaco
. the
insurance company is Albingia located 109-111, rue Victor Hugo – 92532
Levallois-Perret Cedex.
-
Professional liability insurance ("assurance
responsabilité civile professionnelle");
. the
limit of liabilities amounts to EUR 1.5 million,
. the
insurance broker is Samcar located 24, boulevard Princesse Charlotte – 98000
Monaco
. the
insurance company is AIG Europe located Tour AIG – 92079 Paris La Défense Cedex
2.
Other policies have been also subscribed by Namebay.
They mainly concern multi peril insurance and legal employer's liability.
The documentation related to Netbay's policies is
shown in appendix D 13.4.5.
In the near future, if Netbay's registry operator
application is accepted by ICANN, higher limits of liability will be negotiated
with Netbay's insurance broker and companies.
It has to be recalled that Mr. et Mrs. Husson have an
extensive knowledge of the insurance sector being respectively the Chairman and
the Vice Chairman of an insurance brokerage group.
END CONFIDENTIAL
D 13.2.
Business plan for the proposed registry operations. This section should present
a comprehensive business plan for the proposed registry operations. In addition
to providing basic information concerning the viability of the proposed
operations, this section offers the registry operator an opportunity to
demonstrate that it has carefully analyzed the financial and operational
aspects of the proposal. At a minimum, factors that should be addressed are:
BEGIN CONFIDENTIAL
The business plan for the proposed registry operations
is included Appendix D13.1.
This appendix has been split into three parts
corresponding to the three demand confidence levels for registry services:
50 M : corresponds to the scenario in which the actual
level of demand has a 50 % probability of being above the level used in the
plan : “M” stands for “medium”;
10 H : corresponds to the scenario in which the actual
level of demand has a 10 % probability of being above the level used in the
plan : “H” stands for “high”;
90 L : corresponds to the scenario in which the actual
level of demand has a 90 % probability of being above the level used in the
plan : “L” stands for “low”.
Each of these scenarios is characterized by a set of
data consistent with the demand level assumption. For example, the staff and
related labor costs have been realistically correlated with the activity volume
of name registration and the expected number of registrars.
END CONFIDENTIAL
D13.2.6.
Resources required to meet demand. Provide a detailed estimate of all resources
(financial, technical, staff, physical plant, customer service, etc.) required
to meet the estimated demands, using at least the 10%, 50%, and 90% confidence
levels.
All the data related to this section are
displayed in appendixes D13.2.6 “Labor resources” and D13.2.8 “Staff”
The following section details the
requirements for the 50 M scenario. It is planned to reduce or increase
resources to adequate levels corresponding to the actual activity volume.
Technical/staff/customer
service
BEGIN
CONFIDENTIAL
1- Software development staff
·
1 day-shift , 4 persons
·
supervision of
test-system
·
programming and testing
·
2nd level
support
2- Operation staff (Day to day operation of
production):
·
3 shifts, 2 persons each,
additional 1 for vacation, sick leave ,
total of 7 persons
·
monitoring of production
environment
·
frontend, backend
·
nameservers
·
whois-server
·
special web-server for
search
·
supervising performance,
statistics, updates
·
reporting and documenting
bugs and problems
3- Registrar relation staff (Customer care) :
·
3 shifts, day-shift 2
persons, night-shifts 1 person each, total of 4 persons
·
supervision of registrar
test-phase (each registrar must perform a test before being connected with the
production environment)
·
administrative tasks
related to registrar
·
hot-line for registrars,
1st level support
4- National membership organizations related staff
(Customer care)
·
1 day-shift , total of 2
persons
·
relation to membership
organizations (a registrant must be member of one)
keeping records, clearing of disputes
5- Administrative staff
A staff of 4 people has been forecast for checking the
electronic copies of registrant documents sent by registrars and other
administrative tasks.
6- Others
One CEO, one CFO and one assistant to the CEO and the
CFO.
END CONFIDENTIAL
D13.2.13.
Capital requirements. Quantify capital requirements in amount and timing and
describe how the capital will be obtained. Specify in detail all sources of
capital and the cost of that capital (interest, etc.). Evidence of firm
commitment of projected capital needs will substantially increase the
credibility of the registry operator's proposal.
BEGIN CONFIDENTIAL
The capital requirements for each scenario are
determined through three sets of appendixes :
Appendix D13.2.13.a “Sources and Uses of funds“
Appendix D13.2.13.b “Projected Balance sheet
structures“
Appendix D13.2.13.c “Projected Balance sheets“
In scenario M, at the beginning of year 1, the share
capital of the Registry Operator is raised to EUR 2,000,000 and additional
funds in the form of current accounts granted by the shareholders to the
company progressively reach an amount of EUR 2,000,000. These current accounts
are reimbursed in year 2 and year 3.
In scenario L, at the beginning of year 1,
the share capital of the Registry Operator is raised to EUR 2,000,000 and
additional funds in the form of current accounts granted by the shareholders to
the company progressively reach an amount of EUR 3,500,000. These current
accounts are reimbursed in year 2, year 3, year 4 and year 5.
In scenario H, at the beginning of year 1, the share
capital of the Registry Operator is raised to EUR 2,000,000 and additional
funds in the form of current accounts granted by the shareholders to the
company progressively reach an amount of EUR 1,600,000. These current accounts
are reimbursed in year 2.
In all these scenarios, the project is financed only
with shareholders’ funds. No external financing is required.
A letter from one of a Netbay shareholder banker
states that he easily has the capacity to cover with equity funds the capital
needs of the registry project, even in the L scenario (see Appendix D.13.2.13.
d).
END CONFIDENTIAL
D13.3. Pro‑forma
financial projections. Please provide detailed pro‑forma financial
projections, consistent with your business plan, for the demand scenarios that
you estimate under item D13.2.5. The pro‑formas should show revenue and
expense estimates broken down by detailed categories and should be broken down
into periods no longer than quarterly.
Pro-forma financial projections are stated in the
following appendixes :
BEGIN CONFIDENTIAL
Appendix D13.2.14 “
Profit and Loss Accounts“
Appendix D13.2.13.a
“Sources and Uses of funds“
Appendix D13.2.13.b
“Projected Balance sheet structures“
Appendix D13.2.13.c
“Projected Balance sheets“
END CONFIDENTIAL
D13.4.4.
Proof of capital. Provide evidence of existing capital or firm commitments of
capital. Demonstrated access to necessary capital will be carefully
scrutinized.
BEGIN CONFIDENTIAL
A letter from one of Netbay’s shareholders shows that
Netbay has the access to the capital needed to implement its registry project.
The commitment expressed in this letter is backed by an international bank.
(Please see Appendix D13.4.4).
END CONFIDENTIAL
D13.4.5. Proof
of insurance. Please provide proof of the insurance described in item D13.1.8.
BEGIN
CONFIDENTIAL
The documents concerning insurance policies
of Netbay, described in D 13.1.8, are shown in Appendix D13.4.5.
END CONFIDENTIAL
IN THE REGISTRY OPERATOR’S
PROPOSAL APPENDIXES:
VOLUME 1.
D 13.1. BUSINESS PLAN
D 13.2.5 MARKET/VOLUMES/PRICE
D 13.2.4 REGISTRARS
D 13.2.7a TECHNICAL
D 13.2.6 LABOR RESOURCE
D 13.2.11c OTHER
COSTS
D 13.2.11b SPONSORING
ORGANIZATION BUDGET
D
13.2.7b DEPRECIATION
D 13.2.11a SALARIES
COSTS
D 13.2.14 PROFIT
AND LOSS ACCOUNTS
D 13.2.13a SOURCES
AND USES OF FUNDS
D 13.2.13b PROJECTED BALANCE SHEET
STRUCTURE
D 13.2.13c PROJECTED
BALANCE SHEETS
D 13.2.3 MARKET
VOLUME
2.
VOL.2 D 13.2.13 NETBAY SHAREHOLDER S’ BANKER LETTER
VOL.2 D 13.4.4 FIRM COMMITMENT OF CAPITAL
VOLUME
3.
VOL.3 D 13.4.5 INSURANCE CONTRACTS
The material listed in F3.1 should not be disclosed except to ICANN members and representatives in charge of Netbay ‘s application appraisal and only for this purpose. These representatives will be bound by ICANN s’ own confidentiality agreement.
F3.3
Justification for why the material should be treated confidentially
Some
of the information listed in F3.1 is trade secret information of the applicant
present business operations.
Some of this information is restricted because it is related to the personal situation of the applicants.
The disclosure of the remaining information could be damaging to Netbay future activity in term of competition.
The applicants are open to review their position after appropriate discussions with ICANN representatives.