diff --git a/java/java-impl/src/com/intellij/codeInsight/ExternalAnnotationsManagerImpl.java b/java/java-impl/src/com/intellij/codeInsight/ExternalAnnotationsManagerImpl.java
index 230f54bf99bd..416fc4299113 100644
--- a/java/java-impl/src/com/intellij/codeInsight/ExternalAnnotationsManagerImpl.java
+++ b/java/java-impl/src/com/intellij/codeInsight/ExternalAnnotationsManagerImpl.java
@@ -202,7 +202,6 @@ public class ExternalAnnotationsManagerImpl extends ReadableExternalAnnotationsM
         }
         annotateExternally(listOwner, annotationFQName, annotationsXml, fromFile, value, externalName);
       }
-      ;
     });
     return true;
   }
@@ -681,7 +680,7 @@ public class ExternalAnnotationsManagerImpl extends ReadableExternalAnnotationsM
   @Nullable
   @VisibleForTesting
   public static XmlFile createAnnotationsXml(@NotNull VirtualFile root, @NonNls @NotNull String packageName, PsiManager manager) {
-    final String[] dirs = packageName.split("[\\.]");
+    final String[] dirs = packageName.split("\\.");
     for (String dir : dirs) {
       if (dir.isEmpty()) break;
       VirtualFile subdir = root.findChild(dir);
@@ -734,6 +733,11 @@ public class ExternalAnnotationsManagerImpl extends ReadableExternalAnnotationsM
 
   public static boolean areExternalAnnotationsApplicable(@NotNull PsiModifierListOwner owner) {
     if (!owner.isPhysical()) return false;
+    if (owner instanceof PsiLocalVariable) return false;
+    if (owner instanceof PsiParameter) {
+      PsiElement parent = owner.getParent();
+      if (parent == null || !(parent.getParent() instanceof PsiMethod)) return false;
+    }
     if (!owner.getManager().isInProject(owner)) return true;
     return JavaCodeStyleSettings.getInstance(owner.getContainingFile()).USE_EXTERNAL_ANNOTATIONS;
   }
diff --git a/java/java-impl/src/com/intellij/codeInsight/MakeAnnotationExternal.java b/java/java-impl/src/com/intellij/codeInsight/MakeAnnotationExternal.java
index 1eba98b7d5d6..2a0f55dd764d 100644
--- a/java/java-impl/src/com/intellij/codeInsight/MakeAnnotationExternal.java
+++ b/java/java-impl/src/com/intellij/codeInsight/MakeAnnotationExternal.java
@@ -24,7 +24,6 @@ import com.intellij.psi.PsiAnnotation;
 import com.intellij.psi.PsiElement;
 import com.intellij.psi.PsiFile;
 import com.intellij.psi.PsiModifierListOwner;
-import com.intellij.psi.codeStyle.CodeStyleSettingsManager;
 import com.intellij.psi.codeStyle.JavaCodeStyleSettings;
 import com.intellij.psi.util.PsiTreeUtil;
 import com.intellij.psi.util.PsiUtilCore;
@@ -48,7 +47,7 @@ public class MakeAnnotationExternal extends BaseIntentionAction {
     if (annotation != null && annotation.getQualifiedName() != null &&
         annotation.getManager().isInProject(annotation)) {
       PsiModifierListOwner modifierListOwner = PsiTreeUtil.getParentOfType(annotation, PsiModifierListOwner.class);
-      if (modifierListOwner != null) {
+      if (modifierListOwner != null && ExternalAnnotationsManagerImpl.areExternalAnnotationsApplicable(modifierListOwner)) {
         VirtualFile virtualFile = PsiUtilCore.getVirtualFile(modifierListOwner);
         if (JavaCodeStyleSettings.getInstance(file).USE_EXTERNAL_ANNOTATIONS ||
             virtualFile != null && ExternalAnnotationsManager.getInstance(project).hasAnnotationRootsForFile(virtualFile)) {
@@ -82,7 +81,7 @@ public class MakeAnnotationExternal extends BaseIntentionAction {
       return;
     }
 
-    WriteAction.run(() -> annotation.delete());
+    WriteAction.run(annotation::delete);
   }
 
   @Override