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Product-Related Liabilities
9 Months Ended
Sep. 30, 2015
Product-Related Liabilities

9 Product-Related Liabilities

The Company has reserves for product risks. Such reserves are related to product performance issues including recall, product liability and warranty issues. For further explanation, see Note 12 Contingent Liabilities below.

The table below summarizes the change in the balance sheet position of the product-related liabilities. The provisions for the three months ended September 30, 2015 mainly relate to warranty related issues. The provisions for the nine months ended September 30, 2015 mainly relate to recall related issues. The cash paid for the three months ended September 30, 2015 mainly relate to warranty related issues. The cash paid for the nine months ended September 30, 2015 mainly relate to recall related issues. The provisions for the three and nine months ended September 30, 2014 mainly relate to recall related issues. The cash paid for the three and nine months ended September 30, 2014 mainly relate to warranty related issues.

 

     Three months ended      Nine months ended  
     September 30,
2015
     September 30,
2014
     September 30,
2015
     September 30,
2014
 

Reserve at beginning of the period

   $ 62.9       $ 47.7       $ 51.3       $ 36.4   

Change in reserve

     7.9         11.3         32.8         27.9   

Cash payments

     (6.7      (6.8      (18.9      (12.2

Translation difference

     (0.5      (0.9      (1.6      (0.8
  

 

 

    

 

 

    

 

 

    

 

 

 

Reserve at end of the period

   $ 63.6       $ 51.3       $ 63.6       $ 51.3