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Registrars and ICANN have negotiated a reduction in the transaction fees paid for each domain name registration. It is the second such reduction in two years, which means a drop from US$0.25 to US$0.20 cents. Transaction fees, which are paid to ICANN for each domain name registered, were set at US$0.25 per year per registration. The fees were cut to US$0.22 last year and this reduction negotiated for the 2007-08 budget pegs it at US$0.20.