XML 54 R13.htm IDEA: XBRL DOCUMENT v2.4.0.6
Product Warranties
 9 Months Ended
Sep. 30, 2012
Product Warranties Disclosures [Abstract]  
Product Warranties
Product Warranties
The Company generally provides for the estimated costs of hardware warranties at the time the related revenue is recognized. Costs are estimated based on historical and projected product failure rates, historical and projected repair or replacement costs, and knowledge of specific product failures (if any). The specific hardware warranty includes parts and labor over a period generally ranging from one to three years. The Company provides no warranty for software. The Company regularly re-evaluates its estimates to assess the adequacy of the recorded warranty liabilities and adjust the amounts as necessary.
A reconciliation of the changes in the Company's warranty reserve is as follows:
 
Three months ended September 30,
 
Nine months ended September 30,
(in thousands)
2012
 
2011
 
2012
 
2011
Balance at the beginning of the period
$
776

 
$
724

 
$
983

 
$
605

Warranty expenses accrued
34

 
435

 
645

 
1,142

Warranty settlements made
(217
)
 
(369
)
 
(1,035
)
 
(957
)
Balance at the end of the period
$
593

 
$
790

 
$
593

 
$
790