Warranty Reserve

6 Months Ended

Jun. 30, 2023

Commitments and Contingencies Disclosure [Abstract]

Some of our salvage mechanical products are sold with a standard six month warranty against defects. Additionally, some of our remanufactured engines are sold with a standard three or four year warranty against defects. We also provide a limited lifetime warranty for certain of our aftermarket products.

The changes in the warranty reserve are as follows (in millions):


	Warranty Reserve
Balance as of December 31, 2022	$	32
Warranty expense	43
Warranty claims	(41)


Balance as of June 30, 2023	$	34