PARKER ACRONYMS

3PLI AFE AIP A/P A/R APM APR ARO ASP ATC ATEX ATO ATR BET BP CAGR CAPEX CDA CEDAC COGS COPQ COS CSC CSO DAS DCF DD DNE DFMEA DOE DPP DSI DSO EBITDA ECN ECR ECV EHS EIS EOI EPEi ESS ETOP 3 Parker Lean Initiatives Authorization for Expenditure Annual Improvement Priorities Accounts Payable Accounts Receivable Art of Parker Management Area of Prime Responsibility After Receipt of Order Average Sell Price Applied Technical Center Atmospheric Explosive (Analysis of products subject to explosion in an atmospheric environment) Assemble to Order Authorization to Release Break Even Time (Winovation related also) Breakthrough Process Compounded Annual Growth Rate Capital Expenditure Confidential Disclosure Agreement Cause and Effect Diagram with the Addition of Cards Cost of Goods Sold Cost of Poor Quality Cost of Sales Customer Support-Commercial Customer Service Organization Customer Service- On Time Shipments Data Analysis System Discounted Cash Flow (Winovation related also) Due Diligence Division Net Earnings Design Failure Mode and Effects Analysis Division Operating Earnings Distributor Performance Plan Days Supply of Inventory Days Sales Outstanding Earnings before Interest, Taxes, Depreciation, Amortization Engineering Change Notice Executive Conference Report Expected commercial Value (Winovation related also) Environment, Health, and Safety Executive Information System Expression of Interest-letter stating intent to go forward with an acquisition pending further due diligence. This is sent before an LOI. Each Part, Every interval Employee Self Service Electronic Terminal Order Processing System

PARKER ACRONYMS
EVA FDM FG FGR FMEA FPSO FSVS FTE FX GAAP GLTA GPM GW Hipos HPD HTM IA IC IME IPT IPV IR & D IRR I/T ITB ITM JDE JOP LCC LEIP Lipos LMCP LOI LTA LTI M&A M& E MBO MAPI MDM MOH MROS MTO NBV NMM NNC Economic Value Added Fused Deposition Modeling Finished Goods Finished Goods Receipt Failure Mode and Effects Analysis Floating Production Storage and Offloading (Offshore Oil Drilling Platform) Future State Value Stream Full Time Equivalent Foreign Exchange Generally Accepted Accounting Principles General Ledger Download (Name of a Program) Gross Profit Margin Good Will High Potential Candidate Hose Products Div Hydraulic Territory Manager Industrial Analyzer Intercompany Improvement, Modification, or Extension Integrated Product Team Incremental Portfolio Value (Winovation related for sure) Internal Research and Development Internal Rate of Return (Winovation related also) Information & Technology Inside the Box Instrumentation Territory Manager JD Edwards (European Software) Jumping off Point Low Cost Country Leading Edge Innovative Product Low Potential Candidate Leading and Managing Change at Parker Letter of Intent, sent after an EOI with a dollar value tendered Long Term Agreements Long Term Incentives Mergers and Acquisitions Manufacturing and Equipment Management by Objective Manufacturers Alliance for Productivity and Innovation Market Driven Management Months (Material?) on Hand Marginal Return on Sales Made to Order Net Book Value Net Manufacturing Margin Notice of Non-Conformance

PARKER ACRONYMS
NPA NPC NPV NPTLA NRE NTW NVA OCR OEE OIL OJT OOC OPT OTB OTD PBF P-Card PCI PDCA PDI PDP PED PFD PFEP PFMEA PI PICS PIP PKR PLI P&L POL POP PPAP PP & E PPE PPM PPP PPV PSC PSM PSO PSOT QDC RAA RAE Network Procurement Agreement New Product Commercialization Net Present Value (Winovation related also) Network Procurement Long Term Agreement Non-recoverable Engineering New to the World Non Value Added Operating Comparison Report Overall Equipment Effectiveness (Availability, Performance, Quality) Optimum Inventory Level On the Job Training Other Operating Costs Options Pricing Theory (WInovation related also) Outside the Box On Time Delivery Portfolio Balance Factor (Winovation related for sure) Procurement Card Process Continuous Improvement Planned Due Check Actual Product Development Institute (Winovation related also) Product Delivery Process (Winovation related also) Pressure Equipment Directive Process Flow Diagram Plan for Every Part Potential Failure Mode and Effects Analysis Productivity Index (Winovation related also) Parker Innovation and Commercialization System-formerly Accolade Product Innovation Process (Winovation related for sure) Part Kill Roadmap Parker Lean Initiatives Profit and Loss Parker Online Parker Operating Protocol Pre Production Approval Process`1 Plant, Property, and Equipment Plant Property and Equipment Parts per Million Personal Performance Plan Purchase Price Variance Parker Service Center Product Sales Manager Parker Service Operation Parts Shipped on Time Quality, Delivery, Cost-standard business practice Return on Average Assets Return on Average Equity

PARKER ACRONYMS
RFP RFQ RIF RONA ROS RPPM RPR R&R SARS SC SD SG &A SHEL SMART SOPM SPE SPI SWOT TA TAKT Request for Proposal Request for Quote Reduction in Force Return on Net Assets Return on Sales Rejected Parts per Million Right Products Right (Winovation related also) Repeatability and Reproducability Stock Appreciation Rights or Sofware Action Request System Score Card Strategy Deployment Selling, General and Administrative Expense to Sales Safety, Health, Environment, Legal (Winovation related also) Specific, Measurable, Attainable, Relevant, Time-Bound Science of Parker Management Sales per Employee Sell Price Index Strengths, Weaknesses, Opportunities, Threats (Winovation related also) Trading Area German for the baton that an orchestra conductor uses to regulate the speed, beat or timing at which musicians play. LEAN production uses Takt Time as the rate or time that a completed product is finished. Taking Charge of Change Terminal Order Processing System Total Productive (Preventative) Maintenance Trading Subs North Trading Subs South Value Added Services Weighted Average Daily Payment Outstanding Workers Comp What Does Good Look Like Work in Progress World Wide

TCC TOPS TPM TSN TSS VAS WADPO W/C WDGLL WIP WW