______________________________________________________________________ DRAFT TRANSCRIPT Annual Member Meeting Friday 25 February 2005 9.00am ______________________________________________________________________ PAUL WILSON Well, good morning. I think we can make a start. Thank you all for being here on time. This is the APNIC Member Meeting, the last day of the 19th APNIC Open Policy Meeting. This is the day where we come together to discuss issues of import to APNIC members. We'll be hearing some reports from APNIC Secretariat and others as well as we'll be hearing about the results from the Open Policy Meeting, which has been going on for the last few days here in Kyoto. My name is Paul Wilson, the director-general. I'd like to say thanks firstly to the sponsors of today's meeting. Silver sponsors are CNNIC, TWNIC and KRNIC. Thank you very much to all three of these organisations. Your support is very important and very much appreciated in helping to make today's meeting a success. So thanks very much for that support. Today in the morning we'll be looking at a number of reports, firstly from the APNIC staff, the APNIC annual report. Akinori Maemura, the chair of the APNIC EC, will be presenting the EC report for the past year and then I will be presenting the forward plan and budget for the current year just beginning, 2005. We've got more reports after the coffee break. We'll be welcoming our colleagues from the other RIRs, looking at reports from ARIN, LACNIC, RIPE NCC and AfriNIC as well as a combined joint statistics report of RIR activities. We'll be trying to leave as much time for open discussion as possible today and the meeting is one which works best, I think, if we've got as much contribution from the audience as possible. So please, whether you're an APNIC member or otherwise, feel very free at any time to raise hands, ask questions, make suggestions or comments or inputs of any kind. Please feel free to do that. Today being not only the APNIC Members' Meeting but also the Annual Member Meeting for 2005, we'll be undertaking one special activity, which is the election for the APNIC EC for the coming year. As we do at this meeting in most cases, we will be preparing for the voting before lunch with an explanation of the voting procedures and so on, so that APNIC members who are voting today will be able to deliberate on this important discussion over lunch and hand in the papers after lunch for counting for the announcement in the afternoon. So just briefly the afternoon will see the reports from the SIGs and BoFs this week as well as some update on the Address Council, the ICANN, NRO, WSIS issues. More time for open mic and an election result announcement and we hope to be closing the meeting around 5pm or soon after. OK, are there any questions or suggestions about our agenda today? TOSHIYUKI HOSAKA I will be reporting on the IPv6 SIG, but there is no IPv6 SIG on the agenda. PAUL WILSON Sorry. Certainly, the IPv6 SIG will be reported as well. Thanks for the correction. OK, any more agenda bashing? OK. Thank you. What I'd like to do now is move on to present to you the APNIC annual report for 2004. In previous years, I think, you've got used to the sound of my voice going on and on through this presentation and this year we're changing the format a little bit. We'll be hearing from individual APNIC managers responsible for the different areas. So I'd like to introduce Son Tran, the Resource Services Manager, who will introduce the first part of the APNIC annual report. SON TRAN Good morning, everyone. I would like to give a brief update on the member status. Looking at the membership in 2004, you can see that - if you look carefully, you can see we have many growths in the very small members. This is the area where we had our members receiving assignments up to a /22. Looking into detail of where is the membership growth, we can see that we also recorded closing quite a lot of members due to mergers and also non-renewal of membership but overall we have a net positive growth in our membership in 2004. Looking at the member distribution through economies not including the NIR, we can see that Australia is holding the largest, followed by Hong Kong and India but it's very interesting to see that there are more members in Pakistan and Bangladesh region. If we look at membership distribution across the region we can see that Oceania, including Australia, hold the highest, then followed by the East, which covers China, Taiwan, Korea and so on. We continued to consume quite a lot of IPv4 address in 2004 as well compared to previous year, as you can see from the graph. Looking at the distribution across the economy, we can see that Japan is still holding the highest, followed by China. You look at the previous - a few years ago, China was sort of ranking fifth or sixth in the region. But in 2004, they are sort of in second. Looking into the regional area, most IP address that we distribute mainly to the East, which is China, Korea, Taiwan and then followed by South-East and Oceania. IPv6 allocations - we started allocating IPv6 in August 1999 and we continued right into 2004. There was a bit of growth, but not that much. Breaking it down to the economies, we see that Japan is still holding the most allocations, followed by Korea and Taiwan. But you can see that there are a few economies that start using IPv6, especially like Vietnam and India and Philippines. AS that we distributed - not as much as the IPv4 but there's a small increase in consumption in this region. Distribution by economy (refers to slide) - there is no direct relationship between AS distribution and IPv4 because, as you probably remember, China holding the second largest allocation in the region but in terms of AS distribution they only received 191. AS allocated to Australia, Korea and Japan. Member services helpdesk continued receiving quite a lot of phone calls, because our service is getting more popular. And we try to provide as much as possible service to our members by attending other meetings in the region, for example SANOG. To provide better services for our members, we try recruiting staff that speak multiple languages for our region. In 2004, we recruited people who speak Lao and Thai. Are also very busy to implement a lot of policies that we have to implement in 2004. We also start new service to support NIRs in providing telephone conference for each of the NIRs. We also receive a few NIR hostmasters coming to APNIC office for training, so we're looking forward to 2005 as well. In terms of policy development, the EC have endorsed quite a lot of policies from APNIC 17, which include reduce the minimum allocation of IPv4 down to a /21 and other policies we have highlighted here. One of the other global policies that IANA to RIR IPv4 allocations procedure. And EC also endorsed a few policies for APNIC 18 as well, which we have highlighted over here (refers to slide) and also one of the global policies of IANA to RIR IPv6 allocation. And that's the finish of the Members Services report. I welcome any comments or questions from the audience. PAUL WILSON OK, next we'll move on to the report on training services. Thank you very much, Son Tran. John H'ng, the training manager, will present the next few slides. Thank you, John. JOHN H'NG Thank you, Paul. Good morning, all. Let me show you a few of the training activities for the past year. We have two streams, one in the core stream that caters for Internet resource management and so forth and the second stream would be the special workshops and tutorials and you can see from here in this slide that the special courses are beginning to increase in number. This is in response to members' requests. In the past year, we've done a lot of collaboration with a number of institutes and NIRs, especially at the open policy meetings. We have very successfully conducted a number of training with APJII, with CNNIC, TWNIC and VNNIC at their open policy meeting and we will be continuing this as there's very good feedback coming back to us that this training does help their members in the region. We have also have, in the past year, very successfully collaborated with universities and other technical institutes, primarily in the South-East Asian region, where we have done quite a fair bit of enrichment courses with them for the undergraduates and also for the Masters program in the IT information technology courses. SOI Asia being a special project of WIDE University, we have been working very closely with them in the past year, trying to put our training courses in their library to be made available for a number of their partners and I am very happy to report that, in this particular APNIC 19 meeting, we have very successfully launched that and the two tutorials on Monday and Tuesday this week were webcast and broadcast to 10 of the partners around the Asia Pacific region. So this is a very successful collaborative effort between SOI and ourselves in this area. We would like to step very quickly to a couple of trials to give you an idea of some of the training that we have conducted and some numbers. This chart that you see on the screen shows the number of core courses that we have conducted in the year 2004. They are quite high spikes, especially for Malaysia and Vietnam. If you notice that those spikes are the sum total of two courses that we have run per year there. We try to maintain a class of around about 50 or so to be effective in the distribution - in the delivery of training. So 50 is a very comfortable number but, where there is a need for a larger class, we probably might, and usually will, arrange for a second session. For the IRR course, these, as you can see from here, we did five last year and this is on a request - on a needs basis. We have not had very - we conducted this widely for the general public. We will continue to do that. DNS workshops - we did eight last year across the region and you can see from here, from this chart, that the numbers are much less than the IRR courses for obvious reasons because being a hands-on workshop, effective delivery of training has to be considered here. For a hands-on class we can't have 100 people doing a workshop. It's not really very effective training that way so, as you can see, the numbers are very much controlled. Now, from these three charts, if you feel that we are very busy from the past year, I can assure you we were. This little map shows where we have been travelling across the region. We did 34 sessions in 25 locations last year and we will continue to that sort of training and deliver that sort of service to the members. And with that, I'll hand you back to the chair. PAUL WILSON Next, George Michaelson is going to present a few slides. GEORGE MICHAELSON Hello, everyone. I'd like to start by giving you a summary of activity in MyAPNIC. If you're using this feature, this facility, you will have noticed that we've got some new features. We've improved the reverse DNS delegation system. We've made some changes to take account of the public-private resource managements that come from the updated privacy changes in policy. We've been working on tools to provide efficient ways to do bulk upload and download of data. We included a Looking Glass facility. Many of you will be familiar with Looking Glass services available throughout the network but we thought it would be useful to provide it in MyAPNIC. We've got request tracking going on so you can understand what's going on with processes. And we simplified the IPv4 request form to make it a bit easier to lodge a request. In 2005, we're going to be looking at a low-bandwidth version. We've taken on board some criticism we got back from the community about use of MyAPNIC in lower bandwidth or long-delay circumstances and we're going to produce an interface that will allow for much more easy interaction and we're also going to do more work on the IP address request form. We've also been working on our certification authority. We've had liaison at this meeting and also previously in the year to explore RFC 3779, which is the description of how to issue certificates over number resources, IP addresses and ASN. We commissioned a hardware security module, which conforms with the FIPS 140 standard so we have a much stronger certification process. We're able to protect the keys that we use to generate the certificates that we give you more appropriately. To give you a heads up on infrastructure supporting the region, this is the map of the root server deployments that we've got. We continue to work with the root operators, principally F, I, K, and M, and we have some work in the progress in the region of Australia, and in Japan. We're looking into opportunities in India, Singapore, Cambodia, Pakistan, and China. We're still very interested in receiving expressions of interest from the community so, if you would like to discuss the opportunity to host a root server, please do get in touch with us. We also have three PoPs in Australia, Japan, and Hong Kong, and we're bringing online a collocation facility in Australia this year. You will know about the ERX transfer, the early registration transfers that happened. I'm pleased to report that we completed this activity with the transfers of the swamp 192/8 in December. We've got continuing communications in this activity so you will be hearing from us in connection with these resources in the year. There were policy outcomes last year that have affected these resources - protecting historical resource, non-member fee policy and lame DNS policy are now all connected with these resources. We implemented our lame DNS management in December. This has been integrated into our normal ticketing system. We still have an activity to contact some of the managers of DNS services who have very large numbers of lame DNS. We're currently doing this out of band in a different way. PAUL WILSON Next Anne Lord will provide a presentation. ANNE LORD Good morning, everybody. APNIC is very keen on working in partnership and collaboration with organisations in the region and last year we added to the staff in the regional liaison area, Kapil Chawla. He's looking after the needs of the South Asia region and will work with Save who looks after the South Pacific. In his short time at APNIC, Kapil facilitated the signing of MoUs within economies in his region. We look forward to working in partnership with those organisations in the coming year. Many of you will be familiar with the UNDP-APDIP project in online Internet governance and Kapil went to Malaysia to assist and also Sam Dickinson has been assisting as a portal editor. We've continued to work with SANOG. We've given assistance and support to the SANOG meetings by sending a number of staff to them. And of course I'm working closely with RIR colleagues and in particular with AfriNIC colleagues. They had their first actual member and policy meeting last year, so APNIC staff were present at that. This is just a snapshot of the outreach that was conducted in 2004. I think there were something like 11 events that were attended and you can download any of the presentations of those events from the URL at the bottom of the page. APNIC meetings continue to be a focal point for APNIC. APNIC 17 was in KL in conjunction with APRICOT and APNIC 18 was in Fiji and in each of these meetings, we continued to promote remote participation through the activities, providing the Jabber chat, the streaming video, and the live transcripts, and of course we have the onsite notice board for attendees actually at the meeting. Last year, APNIC conducted its third member and stakeholder survey. That was commissioned by the EC. The results of that survey were actually fed into APNIC's own internal strategic planning. It was conducted independently as before by KPMG and participants were actually asked to rate APNIC services and comment on potential future activities and a full report was presented at APNIC 17. If you're interested to read the report, you can visit the URL on this page (refers to slide). Apster is the quarterly newsletter that is produced for APNIC members and for the Internet community at large. Each version of Apster contains in-depth articles of interest and some of those articles are listed there. In particular, things like the Internet in Malaysia, IP addressing in China, ENUM and so forth. The latest issue, which I think is available in your meeting pack, is on Internet governance. If anyone is interested in contributing articles, we are always interested in receiving information. A number of brochures, reports and policy documents have been translated into the languages listed there (refers to slide) and you can visit that URL to look at what's been translated. And lastly, multimedia materials are produced in-house. Many of you will be familiar with the MyAPNIC demo. Late last year, we started work on a policy development flash to explain and encourage people to participate in the policy development process and those of you that were at the policy SIG yesterday would have seen that flash movie being demonstrated. So that was all produced in-house by APNIC and the range of materials will continue to expand in 2005 and that's it for my bit. (TEXT MISSING HERE) PAUL WILSON Perhaps I should mention for the benefit of anyone who might be tuning into this meeting on the webcast that using the jabber chat and also the fact that you have live transcripts available to you as well as the video we would welcome any question that might come from the online sources, they will be monitored and read out through the meeting. AKINORI MAEMURA Good morning, everyone. My name is Akinori Maemura, the chair of the APNIC executive council. I will read through the reports of the EC activity. I would like to introduce to you the members of the current executive council. The gentlemen from the Executive Council please stand up to let everyone see your face. EC members, please stand. The chair is myself. Yong Wan Ju already went back to Korea. Kuo-Wei Wu, treasurer, Che-Hoo Cheng, Ma Yan from China, Vinh Ngo has already left. Qian Hualin from China. The main functions of the EC is the oversight of the APNIC in the interest of the membership based on the by-laws of APNIC. Just look at the slide. We are having monthly regular EC telephone conferences, when we have an EC meeting - no, APNIC meeting we have the on site meeting. One of the very important roles of the EC is the endorsement of the policy features - which go to the consensus of the forum. We had several proposals to be endorsed. The proposal 005 v04 Internet Assigned Numbers Authority policy for allocation of IPv6 blocks to regional Internet registries. Proposal 021 v001, expansion of the initial allocation space for existing IPv6 address space holders. Then the other proposal is the proposal to abolish redundant charges in IPv6 allocations and proposal for IPv6 IRR service at APNIC. These proposals have been endorsed by the EC and it is now implemented by the Secretariat. Other important topic recently is the topics, are under ITN, NRO, WSIS, WGIG, the Internet governance activities. We had a very big paper for in half year. A new ICANN ASO MoU agreed in October 2004. Now NRO functions as ASO under this MoU. After that we had discussions (TEXT MISSING HERE) AKINORI MAEMURA If you have a comment later, please come up to me and I am very glad to talk with you. That's it. PAUL WILSON Thank you very much. AKINORI MAEMURA Thank you very much. PAUL WILSON Let's just recap where we are in the agenda. We've heard the first two items here, the APNIC annual report, the APNIC EC report. I would like to move on with a brief report to you of the current forward plan budget for the coming year before we have a coffee break, it's scheduled at 10.30 I think we'll have time for an open microphone. So get ready to ask some interesting or challenging questions from anyone you've heard from this morning. This forward plan, the work plan for 2005 has been derived from work at the secretariat and presented to the APNIC EC meeting earlier this week. As you've heard there is an ongoing cycle of what we call strategic planning within the secretariat, this is an internal staff activity of examining the priorities and activities that exist operationally within the organisation, taking into account feedback that comes from the APNIC member and stakeholder surveys and comments from the EC and the membership. This is quite an important planning activity and you're invited to participate by providing any comments that youd like to on the current plan. The idea of this planning process is that it's an ongoing cycle and a fairly rapid cycle that is completed at least every six months. We take an approach of continual improvement to the operational activities in the Secretariat in terms of quality and efficiency of the services and activities that are undertaken. There are, in addition to operational activities there are certain project activities under way. Also there are quite a number of ongoing activities, you've heard about many of these so far during the report from the last year, are such things as technical projects and services, and importantly the implementation of policies. We have a number of these things ongoing. We do not at this time have major new projects under planning or anticipated. As I've mentioned the Secretariat operation is running at a balanced budget, fairly steady state status at the moment. What you will hear is much more emphasis on the ongoing processes and activities rather than any new project initiatives. The objectives during 2005 have been defined under a number of major headings. I will address each of these separately. They are, in summary, training and education, communications and outreach, member care, services quality, streamlining and simplifying the operation, integrity of the registry itself, support of resource policies, and support of Internet operations. Under the first heading training delivery is obviously a strong ongoing activity and we will continue training activities at least at the current level which is a goal of a minimum of 24 separate training locations in each year and we are managing to exceed that generally, we are likely to in this current year. We are expanding the range of training in response to demand from the trainee audiences covering DNS and advanced DNS workshops, an activity which has been so far very successful and well received. Congratulations to the training team so far. Special tutorials such as have been launched at this APRICOT particularly on spam and security, working collaboratively with groups around the APNIC region and elsewhere. Of course the ongoing regional cooperation in specific events.We attend SANOG now as a regular feature, running the APNIC helpdesk, providing APNIC training and general support to the SANOG meetings. This is consistent with what we've heard in the past about increasing APNIC meeting-type activity, not through more full AP-wide meetings but through submeetings such as SANOG. We also collocated the last APNIC Open Policy Meeting in Fiji with the Pacific Islands Telecommunications Association. The collaboration of APRICOT is ongoing also with other activity such as inTERlab, SOI-Asia, which John H'ng mentioned earlier. And I'll mention that SOI-Asia is an initiative aimed at developing countries that uses the Japanese AIII initiative, which is satellite based infrastructure to take as webcast not out onto the Internet, but through dedicated satellite channels to training centres in at least ten or so different countries in the region. When John mentioned the SOI-Asia broadcast here it was not simply a webcast on to the net but it was a direct delivery via satellite to the training centres. We had around 50 participants in those remote locations, in places like Myanmar, Thailand, Indonesia. That too is something that has huge potential for increasing the reach of our training and our meeting activities without enormous expense. One of the workshop developments in this year will be the routing workshops, something which has been under some discussion for some years. That is to do with the training and capacity-building within the engineering community to route Internet addresses in the best possible manner. The other area, of course, it is computer based training or e-learning that is something which will be under further development this year. Moving into the area of communications and outreach. The promotion of partnerships with stakeholders and others is quite important to APNIC, we're not in the business of building the APNIC Secretariat into an ever increasing organisation, trying to do everything from one office. As you've seen from a staffing trend we are not on a rapid growth, ongoing growth in staffing, so what that means is promoting partnership and collaboration with the organisations you've heard about and you've heard about quite a few of those. The outreach strategy community into those partners and potential partners is also an important part of that communications activity. I mentioned before the restructure and the new position of communications director. That's all about integrating the communications activities that we have. APNIC is very much a communications-driven sort of operation, so we have communications with members through the normal member services, we have communications through training, through events such as the Open Policy Meetings. All of these things need to be well integrated to run efficiently and to provide consistent and accurate messages and information. We have the opportunity to continue development with new media and tools, Internet-based tools, of course, such as the web site, such as the interactive features of our meetings. Translation is something which is potentially a large cost centre, but it's something which is ongoing and increasing, for instance, we will pick individual special interest articles and documents in addition to the standard reports and provide those in translated format as the need arises. We've heard a little bit of interest at this meeting during the SIG sessions in the publication of statistics and APNIC will keep developing the mechanisms for dissemination of statistical and analytical information in relation to IP address resources. I think that becomes more and more important with a broadening interest in the activities of APNIC and the RIRs within the context of WSIS, the World Summit on Information Society and so forth. We have more communications challenges and activities to undertake in order to make sure those messages, whether it's analysis and statistical, sort of hard data, or other promotional or educational documents, to make sure that these things are properly disseminated into the communities that need the information. Member care is a strategy or a priority area that is targeted specifically at the major primary stakeholders in APNIC, that is the membership body. The body of customers is a little more broad than that, because we do have non-member customers of APNIC, so we have an ongoing continual improvement approach again to service quality. In particular, and this is something that came from the membership and stakeholder survey last year, in streamlining and simplifying the procedures that need to be undertaken by members and customers for access to services. APNIC is seen by some as a rather bureaucratic sort of organisation and we obviously need to take a systematic approach to the provision of services and the provision of the critical services of IP address allocation but we can also be focused on continually streamlining that process through systems such as MyAPNIC, some of the developments you've heard about such as the improvements to the IP address request form and so forth to make sure the services are easily accessible. There are new hostmaster services being discussed and planned. We've been continually extending the helpdesk hours, in particular to cover the western part of the Asia Pacific region, South Asia in particular. We hope to keep on doing that. We do have a telephone helpdesk available which requires an international call at present to reach the APNIC office from outside of Australia. Of course VoIP is a technology which can be used and will be deployed in coming months to allow access to the telephone helpdesk from any part of the region without that international call cost. Another specific project under way is to allocate or set aside an area on the APNIC web site for specific organised ISP support materials. We find through the training activities, through the types of issues that get raised during the IP address requests that there are many ISPs particularly in developing parts of the region that are still lacking some of the access to information about how to run their operations, how and where to find information to help them with their technical and business activities. That's something which is an ongoing development project. We've undertaken a special service to NIRs, recently in recognition of some of the special needs they have and that is a monthly video conference which is able to be scheduled with any of the NIRs that wish to take that opportunity. That so far has been very successful. Resource policy support is the area within APNIC's priorities of making sure that the policy development process is working efficiently, openly in line with its general objectives. So we of course are involved with implementation of policy changes. You've heard a number of those. Some have been ongoing activities. The liaison activities we have under way within some of the network operator group meetings, ISP associations. There was a lot of educational and informational activity here that relates to the policy process and encouraging participation but also in the case of some of these operator groups and particularly NIR meetings there is an opportunity and a need to integrate their processes with APNIC processes in a mutual bi-directional way so we can make best use of the unique NIR structure in APNIC, to help with the policy process to make sure that NIRs, and other member communities are able to be influential as appropriate and to participate meaningfully within the overall regional policy process. The registry at APNIC, that is the database set of records which relates to the allocations of IP addresses - this is obviously a critical activity. We find that over the years there has been an ongoing need and a progressive need to improve the integrity and accuracy of that database. The APNIC registry is the authoritative source of information about where IP addresses have been used, we're finding that the critical authoritative nature of that database is more and more important and it is in fact one of APNIC's key and primary responsibilities to make sure that that database is continually improved in line with its importance. You've heard about a number of developments on internal systems. One that will be ongoing this year is a re-architecture of the internal registry databases to unify some of the various sources of information, the internal allocation data which is maintained primarily by the APNIC hostmaster staff, along with the whois database with the DNS records and so on and so forth. Although, I think the immediate benefit of that project may not be apparent to the membership community or general public, the idea is to make sure that we have under our control an absolutely authoritative and accurate set of data, which reflects the importance of the resources being trained. We're looking at some issues which will be a little more obvious such as the presentation of global whois information, the CRISP project, of course George Michaelson is a co-chair and on which he reported earlier in this meeting. There is also the CA certification authority project which is going to be seeing increasing activity through 2005. As you may recall APNIC implemented this CA back in 1999, I think was the first activity here and it's been used primarily as a mechanism for accessing in a secure and authorised manner APNIC online resources through MyAPNIC, but at the same time I think we were anticipating that the issuance of certificates in connection with IP address allocations was something that would only take some time to eventuate. That is happening now within the PKIX working group, the RP routing protocol security working groups at IETF. There is, as George mentioned before, an RFC now, which defines how IP address and ASN allocation information can be carried in digital certificates, and we will be proceeding to implement compliance with that RFC during the coming year. Internet oprational suport - APNIC has been, I think, somewhat unique among the RIRs in having an explicit role in our charter for promoting and assisting with development of the Internet in our region. That obviously is a very wide-ranging mission and it's not something that could be undertaken in a comprehensive manner. But using the resources and the opportunities that APNIC has in the course of its activities, I think there are many useful activities we can undertake. So you've heard about the APNIC PoPs and the rootserver deployment, which are directly in support of ISP operation in the region. So far they're successful as ongoing activities. The ISP support website and increased training are also operational and important to the ISP communities on the Internet. The publication of statistics is also one of those areas that we believe fall under this general priority. OK, so that's a report of the coming 2005 work plan. It's structured, as you've seen, according to the strategic planning approach that we've taken. I hope that it's been useful to present it in that format but, if you have any questions about specific activities under way then please feel free to ask. One thing that hasn't been mentioned here but will come later in the meeting is that, as you know, we have been heavily engaged for some time in activities around the World Summit on the Information Society in relation to the ICANN. These have been presented so far this report. The work plan is to do with operational activities of APNIC as the RIR and those other activities will be covered in a separate report later in this meeting. The budget for 2005, I'd like to give you a rundown now. In summary, the APNIC budget is affected by a number of factors, which I mentioned earlier. Some of these are quite unpredictable and the best that we can do is to project forward based on past performance. So, for instance, the number of new and renewing members of APNIC, the income which we receive from various sources, member fees, allocation fees, non-member fees, interest income and so forth. We have with reasonable success been able to project these forward in a linear fashion on a linear basis from past years and the budget, which you will see now has been established on the same basis. There are less predictable factors, particularly in the financial environment, as I've mentioned, the foreign exchange rate with the US dollar and interest and inflation rates. These things are somewhat less linear and more inclined to vary during the year. What we traditionally do during the course of the year, as you heard from Maemura-san, the APNIC EC will monitor the financial performance of the organisation on a monthly basis and, generally, review the budget at about mid-year. So, at the coming APNIC 20, APNIC Open Policy Meeting, during the meeting you may also hear an update on the budget situation as the year progresses. But, at this stage, the projected revenues of the organisation are set at just over US$5.2 million and that is an increase of 5% to 7% over the previous year, basically, as I've said, a linear projection on what we've seen in the past year or more. The expenses have been set on the basis of a balanced budget at approximately the same level - US$5.2 million. Again, generally, this is a linear projection on previous performance with certain outstanding or exceptional factors taken into account. For instance, the ICANN fees for the current year are expected to be substantially higher, at about US$222,000 for the year. And that's one that we can well predict. There are quite a number of aspects of this budget which are substantially discretionary and which can be wound back if necessary during the course of the year, particularly as we reach that second budget cycle prior to the next meeting. But the projected operating service at US$7,797 for the year. The other aspect of the budget is to look at the cashflow of the organisation and as I mentioned for the budget policy for financial stability of the organisation is to maintain 100% of the anticipated coming year - that is 2006 - operating expenses in the capital reserve in order to ensure the stability of the organisation in case of unforeseen changes in circumstances. And the analysis here shows at the beginning capital reserve at US$6.2 million and then, based on receipts and disbursement through the year, an ending cash balance just slightly higher. That is around 105% of a projection for 2006, which is based on a 15% increase for that year. So these, again, are projected figures. For instance, a 15% increase in 2006 over 2005, are at this stage best guesses of what we will be seeing and all we can do is watch the situation within the industry, within the financial sector as the year goes on and monitor the performance of the organisation. And that is the conclusion of the report on the work plan and budget for the coming year, for 2005. Once again, I would welcome any questions. If it helps, I'll declare the mic open and anyone who would like to make any comments or question on any matter at all can do so right now. OK, well we're running a little early so what we'll do is just take the opportunity to bring one of the next set of reports forward and we'll hear from Son Tran again, who will present on the joint statistics. This is a report across all the RIRs of the allocation IP resource status. SON TRAN Thank you, Paul. So, for the introduction, I will show an update. As you all know, in IPv4, we have 256 /8 and some of them have been reserved for special use like experimental, multicast, private use and so on. So the rest are available for distribution. But if you look at here at the total allocation so far, 94 have been distributed through the central registry and since RIR started, APNIC allocated 13 /8, ARIN - 19, LACNIC - 2 and RIPE NCC - 16. So we have 78 so far /8 available at this stage. This is the data up to the 31st of December 2004. Looking at the distribution from RIRs to LIRs through all of the region, you can see that APNIC's trend is to have a sort of linear growth on the last few years but, if you look at 2002, 2003, and 2004, you can see that APNIC allocated more IPv4 addresses than other RIRs. In percentage terms, seen until December 2004, APNIC allocated a bit more than ARIN, but the highest in the four RIRs at this stage. AS numbers - we don't consume that many ASes in our region. You can see from the grey there (refers to slide) that we allocate much less, compared to IPv4. Percentage-wise, we also use a very small amount compared to RIPE and ARIN. IPv6 allocations in terms of /23s - this is the number of /23 we allocated. So we have APNIC in sort of second up there with the rest of the RIRs. RIPE have the most, which is 34 allocations. And the trend then is that RIPE also are in the most allocations. In terms of percentage in terms of all the RIRs, RIPE have the most with APNIC second and then ARIN. Looking at the top 10 IPv6 - top 10 economies around the world that receive IPv6 allocations from the RIRs, you can see that the US have the largest, 104, and for Japan, we see 78 and then Germany 72, Netherlands 45, UK 44, Korea 31, and Italy, France, Switzerland - Sweden, sorry - and Switzerland. As you're probably aware, AfriNIC is an emerging RIR so we also separate - you can see from here is the distribution from the current existing RIR to AfriNIC's economies. Most of them are coming from ARIN and then RIPE. APNIC have only less than 1% of IPv4 to be allocated to AfriNIC's economies. Also similar in AS. In IPv6, two are from the RIPE NCC and six of them from ARIN. Five are from South America. If you wish to analyse the data in more detail, you can refer to the raw data that are available on several websites here (refers to slide). If you want to go to APNIC, you can find many APNIC data, ARIN data, RIPE and so on. And that's it. PAUL WILSON OK, thanks very much Son Tran. Well, I suppose at this stage, we can take a coffee break, which will be until 11:00 am and we will come back for reports, which are very welcome, from our colleagues at the other RIRs. We will have more time for vigorous open discussion. Please. And we will also undertake preparations for the EC election with an explanation of the voting procedures etc for lunch at 12:30. And just to recap on the afternoon agenda, we will be hearing from all of the SIGs and BoFs - including IPv6! - and that will take up the first half of the afternoon, followed by reports about the activities of the Address Council by Kenny, about the ICANN and NRO and WSIS-related issues by myself. More time for open discussion followed by the moment that everyone is waiting for - the EC election. And, last but not least, the announcement of the next meeting venue. So let's come back here at 11 o'clock for the next round of reports. Thank you very much.