Warranty

The Company engages in extensive product quality programs and processes, including actively monitoring and evaluating the quality of its suppliers. However, its warranty obligation is affected by product failure rates, the number of units affected by the failure and the expense involved in satisfactorily addressing the situation. The warranty reserve is established based on our best estimate of the amounts necessary to settle future and existing claims on products sold as of the balance sheet date. When evaluating the adequacy of the reserve for warranty costs, management takes into consideration the term of the warranty coverage, historical claim rates and costs of repair, knowledge of the type and volume of new products and economic trends. While we believe the warranty reserve is adequate and that the judgment applied is appropriate, such amounts estimated to be due and payable in the future could differ materially from what actually transpires. The following is a listing of the activity in the warranty reserve for the quarters ended

September 27, 2019

and

September 28, 2018:

	For the Quarter Ended
	September 27, 2019			September 28, 2018
Reserve balance, beginning of period	$	3,736		$	4,407
Current period expense and adjustments		5,448			1,286
Payments or credits to customers		(2,031	)		(1,020	)
Translation		(46	)		(6	)
Reserve balance, end of period	$	7,107		$	4,667

Included in the current fiscal quarter expense is a non-recurring warranty charge in the amount of

$3,889,

to accrue for estimated costs to resolve a unique product performance issue at certain installations.

The current portion of the warranty accrual (

$6,253

and

$4,139

as of

September 27, 2019

and

September 28, 2018,

respectively) is reflected in accrued liabilities, while the long-term portion (

$854

and

$528

as of

September 27, 2019

and

September 28, 2018,

respectively) is included in other long-term liabilities on the consolidated balance sheets.