personally I would P2V (using Converter) the ML370 and retire it, you are more likely to loose that host than the modern G8. I would consider getting some more memory for the G8 to up it as that will be your limiting factor on the host as it stands now. you should even see an improvement in the performance of the Database server once you migrate it to VMware as it will be running on faster CPU, Faster Memory and Faster NICs.
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