1. To Do List Pricing Manager & lockdowns Eliminate price pointers (5.22) Eliminate discounts (5.27) Eliminate fixed customer contracts Establish EDLP programs Quarterly LPM review Quarterly customer review

2. Daily Pricing Tasks EOD email 01-175 contracts with cost change EOD email 01-181 products with cost change EOD email 01-125 new products transmission EOD email 01-155 customer with no LPM Event Notification 35.19.4 price overrides Event Notification 35.19.2 price hold Event Notification 35.19.3 sold below cost JEN Price bulletins

3. Weekly/Monthly Pricing Tasks JEN upcoming price changes 5.23 FT into folder and review, delete programs that have expired 5.35 FT into folder, review & save have company meeting and discuss pricing set goals to reduce the number of overrides

4. Quarterly/Yearly Pricing Tasks Customer review by salesman Review customer classes Review programs Review List Price Multipliers Review all customers with programs

5. Ron Stogsdill is helping prioritize & test jobs in St. Louis stores Jobs are being added to U2008.1 or weekly upgrades during 2008 Pricing Development

6. Pricing – cleanup products/programs DELETE 5.3 records WITH NO A.PROD.NO DELETE 5.15 records WITH PVCTG "P" AND WITH NO A.PROD.NO AND WITH PROD.NO # “ALL” DELETE 5.15 records WITH CP “C” AND WITH NO A.CUST.NO MENU-5.20.8. List of Unused Pricing Programs MENU PROGRAM A.PROD.NO 5.3 CD1.1-2007 L96-865 5.3 CD1.1-2007 L96-866 5.15 HVAC S88-502 5.15 HVAC S88-503

7. Pricing – EOD.XREF 01-175

8. Pricing – PB from stock status Menu-12.10 – COSTS = N PB (price buckets from stock status or Menu- 5.12)

9. Pricing – add #INV to 11.4.11

10. Pricing – Programs by Customer Class

11. Customer Classes

12. Menu-5.4. Contract Bulk Menu 1. Menu-5.3 Only Menu-5.20.4 for 5.15 copies - Copy by contract or customer 2. Deletes off both 5.3 & 5.15 – prompt for Remove from CUST.MAST (Y/N) 3. Menu-5.3 Only Menu-5.20.4 for 5.15 copy & then 5.4.2 to delete 4. Will be changed with tonight’s upgrade to change both 5.3 & 5.15 eff/exp dates

13. Corporate price transmissions  Flyer Pricing  Beginning in March, 2008  Five Regional Flyers  List Price does not change during flyer months  Store Specific strans - Menu-32.20 / Auto EOD 1. Clear all store specific branch & direct costs 2. Post all pricing from the EOM ftp directory (which is the full catalog on March 31 st and April 30 th ) 3. Post all the individual STRANS from the EOM ftp directory (for store specific branch & direct costs) 4. Post all pricing from the current PTRANS (which comes from the company 01 STRANS) 5. Post all pricing from the individual STRANS (for store specific branch & direct costs)

14. List Less Pricing  Menu-5.20.7. Convert Programs from Cost plus to List less  Margins can change dramatically, if the List Price changes at a different percentage than the Cost changes. Conversion to cost plus is an option.  Menu-5.36. List Less Matrix Pricing – selects all 5.15 list less pricing by product. Columns include sell price, branch/direct costs & gp%.  New Orleans has been storing the list price for all items for a 40-60 day time period and then running a comparison report to identify items where the list price has changed at a different percentage from the costs.

15. Questions & Answers ?????? CONTRACTS LIST PRICING MATRIX

16. Controlling Prices on Cost plus 5.15 pricing matrix Catalog Items EOD.XREF 01-175 Menu-35.10.4. List of Contract Prices with Cost Changes = Y Menu-5.3 Contract Prices with cost changes Menu-5.15 Contract Prices with cost changes Non-catalog Items ATCO-1 ATM -3 20.00 ATCO-2 ATM -3 24.00 Request Manufacturer to send price changes in excel format Menu-5.20.1 to upload new costs Sales staff need to give input on the “street” prices to decide if adjustments are needed to the cost plus margins

17. Non-stock pricing example Cost 0 - $2 Cost $2.01 - $10 Cost $10.01 - $100 Cost $100.01 - $300 Rebuilt compressors Cost $300.01 - $500 Cost $500.01 plus

18. Fixed pricing – lockdown period Same Program in 5.3 & 5.15 Lockdown prices with an expiration date in 5.3 Set your general matrix in Menu-5.15 Active 5.3 fixed program prices takes priority over 5.15 price matrix Once 5.3 expires, general matrix kicks in EDLP – Menu-5.3 Set effective date Set expiration date Set Sell Price