Note 13. Accrued liabilities



	March 31,		September 30,
	2013		2012
Salaries and other member benefits	$	27,896	$	64,416
Current portion of restructuring and other charges		630		1,101
Warranties		14,568		15,742
Interest payable		11,408		11,362
Current portion of acquired performance obligations and unfavorable contracts (1)		18,932		-
Accrued retirement benefits		2,675		2,702
Deferred revenues		7,848		7,232
Taxes, other than income		8,933		8,833
Other		22,388		20,796
	$	115,278	$	132,184

(1)	For more information about acquired performance obligations and unfavorable contracts, see Note 4, Business acquisitions.

Warranties

Provisions of Woodward’s sales agreements include product warranties customary to these types of agreements. Accruals are established for specifically identified warranty issues that are probable to result in future costs. Warranty costs are accrued on a non-specific basis whenever past experience indicates a normal and predictable pattern exists. Changes in accrued product warranties were as follows:



Warranties, September 30, 2012	$	15,742
Net increase in accruals related to warranties during the period		335
Increases due to acquisition of Duarte Business		157
Settlements of amounts accrued		(1,618)
Foreign currency exchange rate changes		(48)
Warranties, March 31, 2013	$	14,568

Restructuring and other charges

The main components of accrued non-acquisition related restructuring charges, which were recognized in fiscal 2009, include workforce management costs associated with the early retirement and the involuntary separation of employees in connection with a strategic realignment of global workforce capacity. Restructuring charges related to fiscal 2009 business acquisitions include a number of items such as those associated with integrating similar operations, workforce management, vacating certain facilities, and the cancellation of some contracts.

The summary of the activity in accrued restructuring charges during the three and six-months ended March 31, 2013 is as follows:



	Three-Months Ended
	March 31, 2013
	Restructuring Charges		Business Acquisitions		Total
Accrued restructuring charges, December 31, 2012	$	95	$	1,809	$	1,904
Payments		(17)		(66)		(83)
Non-cash adjustments		10		(452)		(442)
Foreign currency exchange rates		(1)		-		(1)
Accrued restructuring charges, March 31, 2013	$	87	$	1,291	$	1,378



	Six-Months Ended
	March 31, 2013
	Restructuring Charges		Business Acquisitions		Total
Accrued restructuring charges, September 30, 2012	$	130	$	1,848	$	1,978
Payments		(52)		(66)		(118)
Non-cash adjustments		10		(491)		(481)
Foreign currency exchange rates		(1)		-		(1)
Accrued restructuring charges, March 31, 2013	$	87	$	1,291	$	1,378

Other liabilities included $748 and $877 of accrued restructuring charges not expected to be settled within twelve months as of March 31, 2013 and September 30, 2012, respectively.