Pricing Names

Oracle Lease Management

Pricing Names in User Defined Streams

by Alvaro Montenegro An Oracle White Paper November, 2005


EXECUTIVE SUMMARY ................................................................................................ 2 OVERVIEW ......................................................................................................................... 3 DEFINITIONS.................................................................................................................... 3 SUGGESTED PRICING NAMES.................................................................................. 3


EXECUTIVE SUMMARY

Beginning with the 11i10 release (Minipack G), Oracle Lease Management (OLM) provides the ability for users to select which streams to retrieve from third party pricing engines. Users define this by associating the role the stream plays on the contract, known as Stream Purpose, to the Pricing Name provided by the third party application. Based on the standard utilization of the stream purposes in OLM and industry practices, specific Pricing Names for the Ivory pricing engine XTrump (SuperTRUMP server version) are suggested for association to selected stream purposes.

Oracle Lease Management Page 2

OVERVIEWThe features of User Defined Streams allow users to retrieve any External Pricing Engine stream of their choosing through the association of specific Pricing Names to OLMs stream purposes in the Stream Generation Template.

The Pricing Names associated to OLM purposes determine which streams are retrieved from the External Pricing Engine at contract booking and rebooking, and therefore critically impact amounts that are billed and accrued as well as other downstream processes.

Based on the utilization of the stream purpose in down stream processes and industry standards, OLM suggests the Stream Purpose-Pricing Names associations presented in this document when using SuperTRUMP pricing software.

Pricing Names are not required when using the internal stream generation option for OLM.

DEFINITIONS Stream A schedule of amounts and associated dates

Stream Purpose Through Stream Purposes, OLM identifies the role the stream plays in a contract.

Pricing Name The External Pricing Engine name of the stream as provided by Ivory Consulting. Pricing Names determine which streams are retrieved at contract booking.

SUGGESTED PRICING NAMES

Purpose Pricing Name Description

Accrued Fee Expense Single Periodic Expense Accrual

Expense Accrual for Fees

Accrued Fee Income Single Periodic Income Accrual

Income Accrual for Fees

Amortized Fee Expense Single Fee Accrual Expense Amortization for Fees

Amortized Fee Income Single Fee Accrual Income Amortization for Fees

Book Depreciation Book Depreciation GAAP Depreciation

Capital Reduction Capital Reduction Capitalized Down Payments

Down Payment Down Payments, Rent Non-Capitalized Down



Payments in Leases

Down Payment Down Payments, Loans Non-Capitalized Down Payments in Loans

Federal Depreciation Federal Depreciation US Tax Depreciation

Fee Payment Periodic Income Fees with recurring cash inflows

Fee Payment Fee Fees with a single cash inflow that require amortization.

Interest Income Single Lending Loan Accrual

Income Accrual for Loans

Interest Payment Lending Loans Interest Scheduled Interest Payments

Lease Income Single Asset Income Accrual

Income Accrual for Direct Finance Leases

Loan Payment Lending Loans Debt Service

Scheduled Loan Payments

Principal Balance Lending Loans Balance Principal Balance of Loans

Principal Payment Lending Loans Principal Scheduled Principal Payments

Rent Rent without Down Payments

Rent excluding Down Payments

Rent Rent Rent including Down Payments

Rent Accrual Single Rent Accrual Income Accrual for Operating Leases

Security Deposit Security Deposits Security Deposits

State Depreciation State Depreciation State Income Tax Depreciation

Subsidy Income Single Subsidy Accrual Accrual for Subsidies

Termination Value Termination Value Expected Value at Termination

Unscheduled Principal Principal Paydowns Unscheduled Principal



Payment Paydown

Oracle Lease Management November, 2005 Author: Alvaro Montenegro Oracle Corporation World Headquarters 500 Oracle Parkway Redwood Shores, CA 94065 U.S.A. Worldwide Inquiries: Phone: +1.650.506.7000 Fax: +1.650.506.7200 www.oracle.com Oracle Corporation provides the software that powers the Internet. Oracle is a registered trademark of Oracle Corporation. Various product and service names referenced herein may be trademarks of Oracle Corporation. All other product and service names mentioned may be trademarks of their respective owners. Copyright 2003 Oracle Corporation All rights reserved.


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