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Windows Operating Systems Software The Almighty Buck

Amazon US Refunds Windows License Fee, Too 284

rrohbeck writes "Today Amazon credited my card with $65.45. After ordering an Eee PC 1005 HA from amazon.com, I asked them for a refund for the cost of Windows XP via the 'Contact us' form. At first they told me to cancel any items on my order that I wanted a refund for, but after I explained that XP was pre-installed on the machine they got it. They asked what the cost of the OS was, and I answered that I had no idea but that Amazon UK refunded £40.00. Within a few hours I got a response saying 'I've requested a refund of $65.45 to your Visa card.' Somehow I doubt that Amazon will charge Asus or even Microsoft, but maybe they will one day if more people do this. Oh, and peeling off the 'Designed for Microsoft Windows XP' sticker is easy, too."
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Amazon US Refunds Windows License Fee, Too

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  • by Anonymous Coward on Friday July 31, 2009 @08:33AM (#28895217)

    The news about the death of customer service are greatly exaggerated.

    • by Anonymous Coward on Friday July 31, 2009 @08:46AM (#28895393)
      Newegg still has awesome customer service. They have bent over backwards for me due to my being a repeat customer.
    • Re: (Score:3, Funny)

      by moosesocks ( 264553 )

      Story time.

      4 months ago, my Maxtor hard drive died after about a year of use. Sometimes these things happen.

      I requested a RMA, and sent the drive off, and didn't hear anything for a few weeks. Eventually, I began to get suspicious, and contacted support, who told me (after a delay of several days) that they'd received the drive, but somehow lost it. I informed them that I would be moving in a few days, and to send the repaired drive to my new address, given the egregious delay.

      I received a series of baff

  • Keep the sticker (Score:5, Insightful)

    by HalifaxRage ( 640242 ) on Friday July 31, 2009 @08:34AM (#28895223) Journal
    They may require you to send it back along with any manuals or repair disks.
    • Re: (Score:3, Funny)

      by emj ( 15659 )
      No! All stickers go off, if they don't they will peel off and leave awfull unstained areas.
    • by NeverVotedBush ( 1041088 ) on Friday July 31, 2009 @08:43AM (#28895355)
      It's more fun to stick them on office trash cans!
    • I just bought a 1005HA for my wife. It has a built in "return to default" feature that restores the original XP image by pressing Fn+F9 a bunch of times. This is because there's no optical drive on the machine. I assume the feature uses a hidden HDD partition to hold the image. Unless you wipe this hidden partition, you're keeping the XP image for no cost. Seems of dubious moral ground to me.
      • by xaxa ( 988988 )

        My Acer Aspire One (Linux version, since it is easily available in the UK) came with the customised version of Linux on the recovery partition (it lasted about two days before I installed Kuki Linux -- a customisation of Ubuntu -- from a USB stick and wiped the whole drive).

    • by Minwee ( 522556 )

      manuals or repair disks

      I see it has been quite a while since you bought a new computer.

  • by madman101 ( 571954 ) on Friday July 31, 2009 @08:36AM (#28895261)
    they will just raise the price for everyone else.
    • by guyfawkes-11-5 ( 1583613 ) on Friday July 31, 2009 @08:39AM (#28895297) Homepage

      they will just raise the price for everyone else.

      You are correct. It should increase everyone elses price. If its not something he is going to use, why should he subsidize others?

      • by akc ( 207721 )

        they will just raise the price for everyone else.

        You are correct. It should increase everyone elses price. If its not something he is going to use, why should he subsidize others?

        Surely it will lower the price.

        In a monopoly the price is set by the maximum the market can bear, not the total cost of shipping the millions of licences.

        This has shown the first (one of the first) chink that the market can't bear quite as much

    • by AlexBirch ( 1137019 ) on Friday July 31, 2009 @08:39AM (#28895313) Homepage
      This would be a good thing because then the netbooks with Chrome OS or linux on them would be significantly cheaper.
    • Maybe, maybe not. Amazon may have enough buying power to extract a refund from ASUS. But that could backfire on them ... or it could work in their favour. A lot depends on how many more people ask Amazon for a refund for an unwanted Windows license!!
      • Re: (Score:3, Insightful)

        by krelian ( 525362 )

        A lot depends on how many more people ask Amazon for a refund for an unwanted Windows license!!

        The moment people will find out that they can both keep the license and get a refund.

        • Re: (Score:3, Interesting)

          by rrohbeck ( 944847 )

          Why would I want yet another XP license? Sell it? I'd rather tell people to install Ubuntu; they'll be grateful in the end. Especially XP Home with the latest WGA - I have several old XP Pro licenses from laptops that I converted. Anybody who has been around for a while must have XP licenses coming out their ears.
          I'd be happy if Amazon set up a process where you have to return the license sticker for the refund.

          • Re: (Score:3, Interesting)

            by krelian ( 525362 )

            Most people are perfectly comfortable with Windows.

            If the word gets out that you can take off $65 of the laptop price by calling Amazon and asking for a refund without anyone actually checking that you are not using your Windows license, more people will start doing exactly that. That is when Amazon will come up with a better process for handling Windows refunds.

  • by inject_hotmail.com ( 843637 ) on Friday July 31, 2009 @08:37AM (#28895279)
    Instead of a ~$65 refund, I bet you could peel the sticker off and sell the COA to someone for $100. MS may not like it, but it'll activate on another computer and won't ever fail WGA. You end up with an extra $35 in your pocket, and your friend will have slightly cheaper oem COA. This is especially handy because one cannot buy XP retail anymore.
    • Personally it would be funnier to leave the 'Designed for Windows XP' sticker alone and place a 'But running a real OS instead' sticker next to it.

      Thinkgeek.com should start selling some of those (in the small metallic glossy format typical of such things).

    • Re: (Score:2, Insightful)

      by Anonymous Coward

      but it'll activate on another computer and won't ever fail WGA.

      Maybe, maybe not. It could be a manufacturer specific key. [iexbeta.com]

    • by Anonymous Coward on Friday July 31, 2009 @09:14AM (#28895717)

      It will not activate.

      For quite some time now, all major OEMs have been printing "dummy keys" to the COAs. The official method of recovery (a recovery CD or a recovery partition) never asks for the key as the OS is pre-activated. This official recovery method obviously won't install to anything other than the hardware it was shipped with. Usually it is tied to a specific custom BIOS. If you try to install a standard OEM disc with the key found on the COA, you'll find that the installer won't reject it outright (it will allow you to complete the installation) but when you try to activate, it will instruct you to contact Microsoft by phone.

      I haven't had experiences with laptops but in cases of desktops you can get MS to issue you a new working key by stating that the PC was repaired and this required a motherboard replacement (hence, you had to use a replacement media and this issue came up). For laptops, not sure what would make MS give you a new key - the license is tied to the piece of hardware it was sold with. You are most likely out of luck and have to contact the manufacturer of the hardware. You could try to bluff the droid on the phone by stating the same thing (motherboard was replaced due to fault) and assume that the key doesn't tell if it was bundled with a laptop.

      Before MS and OEMs started doing this, people just wrote down keys off publicly accessible computers and used those to activate standard OEM disc installations. I never quite got the original idea why it was smart to print the valuable product key on a sticker where anyone could snap a picture or write it down, but this was MS we're talking about...

    • Re: (Score:2, Informative)

      by thoi412 ( 1604933 )
      You can still buy XP from Newegg. XP Home [newegg.com] and XP Professional [newegg.com] are there as well as Media Center Edition.
    • by King_TJ ( 85913 )

      Yeah - but not only does MS "not like it" ... They actively spend money on lawyers to harass and threaten anyone they catch attempting to do it (despite "right of first sale" law seeming to be on the side of the consumer on this one).

      I tried selling unopened OEM copies of Windows 2000 Professional, years back, with original COA certificates still shrink-wrapped with the media - and the Microsoft legal team got my eBay auctions canceled promptly, and sent me legal threats in email.

      Another attempt on Craigsli

    • one cannot buy XP retail anymore

      Note true. Not only are retail versions of XP SP2 still available [newegg.com], it's very [ewiz.com] trivial [ewiz.com] to find legal OEM licenses of Windows XP Pro SP3 available for purchase. I know, I recently bought two OEM licenses of Windows XP in Spanish; they were out of stock so I had to wait a couple of months until Microsoft printed up some more.

  • Nope (Score:5, Insightful)

    by binarylarry ( 1338699 ) on Friday July 31, 2009 @08:39AM (#28895299)

    They sure as hell won't be refunding $65 to everyone, when the OEM probably only paid $15 dollars for it or less.

    • by RobotRunAmok ( 595286 ) on Friday July 31, 2009 @09:15AM (#28895725)

      ...at least according to this article [sitepoint.com]. The author makes a convincing argument that MS took a bath with that price in order to keep Linux from gaining a toe-hold in the netbook/notebook market, and also credits the threat of Linux Netbook Popularity with the extension of XP to 2010 and modifications of specs on Windows 7. A good read.

    • by Locutus ( 9039 )
      but it really was $65 for the OEM, it's the $50 they got back for putting the "Designed for Windows" sticker on it that makes it financially look like it's $15.

      LoB
  • by i.r.id10t ( 595143 ) on Friday July 31, 2009 @08:41AM (#28895331)

    But the real question is, can you call 'em up today and order a XP license for the same $65?

    • Why is that the question? They give OEM's a discount, to prevent them from thinking along the lines of - hey, no bulk discount for an easily copied software so I'll just under-report how many I'm selling.

      The answer is No, they won't sell it to an individual for that cost. And as long as people see it as better than the previous offering (which is almost guaranteed, until they make a rock-solid OS to begin with), the next version will always cost more than (previous version + adjustment for inflation).

      The

    • But the real question is, can you call 'em up today and order a XP license for the same $65?

      Not an MS fan by a long stretch, but still: why would you expect to get a full retail price refund on a bundled item? If that were generally possible, you could make a living by buying composite items and getting refunds for their individual parts, the sum exceeding the original purchase price.

  • OK (Score:5, Funny)

    by Parker Lewis ( 999165 ) on Friday July 31, 2009 @08:43AM (#28895357)
    Now you can install your pirate Corporate Pro version.
    • by jerep ( 794296 )

      Or linux like I did on my laptop.
      Or reuse your existing vista license on a second machine.
      Maybe OSx86.

      Its not because you refund your OEM windows license that you're a pirate.

    • Re: (Score:2, Insightful)

      Or just use the license anyway, it's not like they'll cancel it and prevent it activating.
  • by mcnazar ( 1231382 ) on Friday July 31, 2009 @08:46AM (#28895385)

    I did the same with Dell last year when I ordered my XPS M1330. It came with Vista + MS Works (at the time they had no pretend Linux alternative - with lower specs and same price as a Vista laptop).

    I wrote to Dell for a refund and enclosed a printed out screenshot (via digital camera) of me ticking the "I reject license" on Vista bootup and another screenshot of Kubuntu running on the laptop.

    A month later I was refunded £120 + vat for both Vista and Works. Not bad considering the laptop cost £520 - minus M$ Tax = £400.

  • Not very scalable (Score:5, Insightful)

    by cdrguru ( 88047 ) on Friday July 31, 2009 @08:52AM (#28895465) Homepage

    First off, if 10 people do this, Amazon is going to find out what it really costs, and it isn't $65 or anything close to that.

    Secondly, they are't going to do this without some kind of verification. It sounds like someone asked for money and they gave it to them. Great customer service but hardly something they can operate a business on. So unless there is a verifiable way to determine that XP has been irrevocably uninstalled I don't see this happening too much more.

    • by imgod2u ( 812837 )

      I assume they have the activation key on hand and will request that Microsoft deactivate it.

    • by xgr3gx ( 1068984 ) on Friday July 31, 2009 @09:21AM (#28895817) Homepage Journal

      Maybe it'll prompt them to start offering 'blank' EEE versions.

      That would be nice, if you don't want a bundled OS, you should be able to buy the hardware that way minus the OS license cost.

      • by xaxa ( 988988 )

        Aren't Linux EEEPCs sold in the US? They're sold here, and since the license cost is $0 that's good enough for people not wanting an OS.

        • by bberens ( 965711 )
          Yes, but there's problems with it. In my experience you can't get the same exact specs with linux for cheaper than the MS counterpart. Sometimes they're the exact same, and sometimes they will toss in a slightly larger hard drive or something in the linux version. Also, since apparently no one really wanted linux the linux versions are getting harder and harder to find in a netbook. You can't get them at Best Buy anymore for sure.
          • Re: (Score:3, Informative)

            by jejones ( 115979 )

            In the case of the Eee 900A I bought from Best Buy, it looked as if it were designed to make sure no one really wanted Linux on it, as it was set up with a 4 GB SSD and Xandros Linux with UnionFS, so that as soon as it got an Internet connection it downloaded enough updates to fill the SSD and make it unusable.

            I knew enough to wipe Xandros and install Ubuntu Eee (later Easy Peasy)--but Joe Average would stomp back to Best Buy in a snit and ask for his money back or trade up to a different {net, note}book, a

    • Re: (Score:2, Insightful)

      by Subm ( 79417 )

      First off, if 10 people do this, Amazon is going to find out what it really costs, and it isn't $65 or anything close to that.

      Secondly, they are't going to do this without some kind of verification. ... So unless there is a verifiable way to determine that XP has been irrevocably uninstalled I don't see this happening too much more.

      Arlo Guthrie said something relevant on the matter:

      And the only reason I'm singing you this song now is cause you may know somebody in a similar situation,

      or you may be in a similar situation, and if your in a situation like that there's only one thing you can do and that's walk into the shrink wherever you are,

      just walk in say "Shrink, You can get anything you want, at Alice's restaurant.". And walk out.

      You know, if one person, just one person does it they may think he's really sick and they won't t

  • Dell's pricing (Score:2, Insightful)

    by dbet ( 1607261 )
    What's interesting is I recently picked up a Dell mini (10v) with Ubuntu pre-installed, and the price was the exact same as the one that came with XP pre-installed. In retrospect I probably should have just gotten the XP version, in case I ever need XP, since I put a fresh copy of Ubuntu on it anyway, that doesn't have all the Dell bundled nonsense.
    • Re:Dell's pricing (Score:4, Interesting)

      by Anonymous Coward on Friday July 31, 2009 @09:06AM (#28895629)

      What's interesting is I recently picked up a Dell mini (10v) with Ubuntu pre-installed, and the price was the exact same as the one that came with XP pre-installed.

      I just read somewhere that the average cost of a single customer support call to Dell and likes is higher than what they pay MS for OEM Windows. And when selling Linux to 'the masses', more people call support (why doesn't app/game/gadget work, etc). This is one of the main reasons why many vendors selling Linux netbooks stopped and switched to XP after high return and support rates, not some vast conspiracy, but economics.

      • Re:Dell's pricing (Score:4, Insightful)

        by mrjohnson ( 538567 ) on Friday July 31, 2009 @09:58AM (#28896317) Homepage
        Bah, then they should charge more for the Linux support. Simple. I would never call it, but I sure wouldn't mind if their prices were a bit higher to cover the unavoidable cost of supporting another OS. Or not offer software support at all, whatever.

        The reason people smell conspiracy is the sudden drop of all Linux, anywhere, as soon as Microsoft reacted to the growing Linux use. They didn't take the netbook market seriously at first, but then overnight you couldn't buy a Linux netbook at a brick and mortar store if you wanted to. That's the conspiracy.

        You can't tell me it's economics. There are plenty of ways they could have made money hands over fist. Instead, they let Microsoft kill the whole category.
  • Eee 1005HA for 220 euros? That's a bargain!
  • Or do you get the refund and the option to continue to use the OS? Surely Amazon isn't tied all the way back through ASUS to Microsoft's licensing servers.

    • by jonnyj ( 1011131 ) on Friday July 31, 2009 @09:08AM (#28895651)

      Or do you get the refund and the option to continue to use the OS? Surely Amazon isn't tied all the way back through ASUS to Microsoft's licensing servers.

      That's fine if you have no personal integrity. The rest of us might have a problem.

    • by 1s44c ( 552956 ) on Friday July 31, 2009 @09:09AM (#28895673)

      Or do you get the refund and the option to continue to use the OS? Surely Amazon isn't tied all the way back through ASUS to Microsoft's licensing servers.

      The point isn't to rob Microsoft. The point is to not pay for something you are not going to use.

      • The point isn't to rob Microsoft. The point is to not pay for something you are not going to use.

        Quite right. Robbing MS is just the added, sweet, bonus.

        Anyhow, I am going to at least try this, because the netbook in the submission is exactly what I was looking at buying.

  • by Murdoch5 ( 1563847 ) on Friday July 31, 2009 @09:07AM (#28895631) Homepage
    Charging a customer because they have an OS installed on a computer / notebook is completely wrong. Lately I've been trying to pick up a notebook for school and I've been getting a run around. I've called Dell, Asus and shopped at the all the major Ontario computers stores, all of them come back with the same answer, you need to buy an OS with the notebook. It doesn't matter if I don't want Windows because I don't get a choice, personally I think forcing a customer to buy an OS is horrible idea.

    As a Linux user I don't understand why I'd pay someone to hit next 4 times and partitioning a drive which a 5 year old could do. Even when I talked to Dell they only offered to install the "Big" Linux names.

    If I'm going to buy a notebook then I want to make sure it comes unbundled and with a clean HDD so I can put what I need onto it. The problem is I can't seem to get any one to send me a blank notebook that I can install a proper OS to, if I spend the 100 dollar software package bundle then I'll wipe the notebook when I get it wasting the 100 dollars, but when I tell the computer store / company I'm going to wipe it so don't sell me the bundle they tell me they can't.

    Does anyone else have this problem?
    • These stores will start to get the message when they find that enough people are willing to waste their time as they try to waste our time. Their vulnerability is they pay their staff usually by the hour and they pay rent.

      We need to just keep refusing to pay for what we don't want in their bundles. The more time we waste the more the message gets through. Short answer: We don't want your garbage. Where do I recycle?

    • by fl!ptop ( 902193 )

      It doesn't matter if I don't want Windows because I don't get a choice, personally I think forcing a customer to buy an OS is horrible idea....Does anyone else have this problem?

      i buy and sell laptops w/o an o/s, if that's what the customer wants. i would guess the biggest problem for an oem like dell is, when you sell a laptop w/ no o/s, you still have to take the step of actually installing something to verify all the hardware works properly. then there's more work involved in swapping the hd w/ an empt

    • Geez, instead of running around, let your fingers do the walking and use Google to find a notebook with Linux pre-install or God forbid, no OS. It really isn't hard to get.
    • Re: (Score:3, Informative)

      by jmorris42 ( 1458 ) *

      > As a Linux user I don't understand why I'd pay someone to hit next 4 times and partitioning a drive which a 5 year
      > old could do. Even when I talked to Dell they only offered to install the "Big" Linux names.

      Just try it kid. I double dog dare you. The preloads ARE worth it. Just bought three HP Minis and looked at just wiping their over customized Linux off and putting Ubuntu Netbook Remix on. No fracking way, the wired port didn't work, two battery applets would appear at random, the internal s

  • Still not progress (Score:5, Insightful)

    by elashish14 ( 1302231 ) <[moc.liamg] [ta] [4clacforp]> on Friday July 31, 2009 @09:21AM (#28895815)

    Amazon is just the retailer, but as long as the OEM is still cashing in from the license sale, it's no real progress. It doesn't make a difference if the retailer is giving you the refund, the money is still going to the OEM and as a result, Microsoft. And as long as this happens, they'll still enter corrupt bargaining deals and shut out Linux from mainstream offerings. We need OEMs to give the refund, not the retailer.

    So maybe eventually, Amazon will ask the OEMs for a refund for the license. What will the OEMs say? Probably no. Then what will happen? Amazon will probably start refusing the refund as well too. Back at square one, going back to buy my computers from system76, itwasfunwhileitlasted, etc.

    In any case, if I were Microsoft, I'd change the wording of the EULA to something like "By purchasing this computer, you consent to pay for all software preinstalled, whatever" to bar these refunds. I don't think it's unenforceable.

  • It's good to get the refund, but IMO FOSS types should boycott ASUS. I own an EEE-701, which was the original category-killer. Linux propelled netbooks to fame, and then ASUS weasled out with their "itsbetterwithwindows" campaign.

    There are plenty of companies willing to sell netbooks with Linux pre-loaded (Acer makes a very nice model) and we should patronize them.

  • "Oh, and peeling off the 'Designed for Microsoft Windows XP' sticker is easy, too." Not to mention VERY satisfying. ;)
  • by dominux ( 731134 ) on Friday July 31, 2009 @10:05AM (#28896435) Homepage
    there are still vendors colluding with Microsoft to disregard European Competition policy (page 26 of http://ec.europa.eu/competition/publications/rules_en.pdf [europa.eu])
    from http://www.theopensourcerer.com/2009/07/30/taxing-times-for-free-choice/ [theopensourcerer.com]:

    Dear x,
    Thank you for your response.
    I have been speaking to the Product Managers for the Software and Laptops and they have both advised that we would not issue a refund on the OS.
    You may return the product for a refund if you are within the time period of 28days after purchase but other then that we are not going to be issuing a refund on the OS.
    The Product Manager for the laptops has been speaking to the manufacture and they have come back with the below response regarding the matter:
    'It's a load of rubbish, I don't know where this rumor has come from J we started getting people asking for it on the EEE PC when we first produced the XP versions.
    We get the odd person phoning up saying this to us but no one gives the cost of XP back and I can understand why they think we would.
    I'm sorry we cannot help -- I have never heard of any manufacture or reseller giving the money back.'
    Kind Regards,
    y
    Ebuyer Customer Support Team

    isn't it remarkable that they started getting these requests when they did the XP eeePC! What an uncanny co-incidence.

    • Actually the EULA says to go back to the manufacturer for a refund on the software if you do not agree. In other words you should talk to Asus, if they don't agree, take it to small claims.

  • Not sure why (Score:3, Insightful)

    by lymond01 ( 314120 ) on Friday July 31, 2009 @10:08AM (#28896477)

    Not that I don't appreciate that Amazon will let customers sell them back the Microsoft Windows software, but I'm sort of wondering why. (Here comes the car analogy.) If I buy a Subaru WRX with a normal shifter but plan on putting in a short-throw shifter after-market, Subaru isn't going to buy back my normal shifter. They sell me what they have on the lot. In terms of Amazon, I'm buying what they're offering: a laptop running Windows. If I want a laptop running a different OS, I'd buy it somewhere else. If there are no vendors selling that laptop without Windows, then I eat the cost, or try to recoup my costs by reselling the license (which I don't think is transferable but in this case one could probably make an exception).

    • Re: (Score:3, Insightful)

      by novalis112 ( 1216168 )
      You are absolutely correct. Subaru will not buy back your original shifter. The dealer, however, may very well do so in order to keep your business.
  • Could be I'm completely off the mark here - if so, I hope that someone straightens me out without using the word moron more than fifteen times in the reply. When you order a computer without any operating system at all, you're really asking for an addition step during the assembly, not fewer steps, right? What I mean is, the computer is assembled, and then an operating system is installed, and some type of software is run on the machine to test the hardware, maybe perform a burn in period, that kind of th
  • by NReitzel ( 77941 ) on Friday July 31, 2009 @10:37AM (#28896911) Homepage

    I discovered that those colurful "Designed for Windows" stickers look positively marvelous on the white porcelain just above the flush lever on my toilet.

  • Comment removed based on user account deletion
  • refunds (Score:5, Insightful)

    by rpillala ( 583965 ) on Friday July 31, 2009 @10:44AM (#28897027)

    A number of people have pointed out that a few refunds for XP is not a sign that anything is changing. I believe these refunds only show that Amazon has not formed any kind of official policy for this situation. They are simply erring on the side of not pissing people off, because technical people are going to buy more computer products, either from Amazon or someone else who treats them better. I'm sure they are aware of the press.

    Sometime soon, I think we will see a more permanent resolution to this customer service issue. I can't say whether it will be progress or not.

  • by linebackn ( 131821 ) on Friday July 31, 2009 @11:02AM (#28897279)

    Oh, and peeling off the 'Designed for Microsoft Windows XP' sticker is easy, too."

    But how does one remove or replace the crash key^H^H^H^H^H^H^H^H^H Windows logo key from the keyboard? This is a laptop so it isn't as easy as switching a keyboard.

    It has always bothered me that keyboard hardware manufacturers brand their hardware with Microsoft's logo when a simple keyboard really should remain OS neutral. I'm sure they are getting paid by MS for this.

    - posted using a nice old AT style keyboard from before the Windows key insanity began.

  • by Runaway1956 ( 1322357 ) on Friday July 31, 2009 @01:43PM (#28899761) Homepage Journal

    I'd rather have a computer that is designed to work securely.

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