Warranty Reserves

6 Months Ended

Oct. 26, 2019

Warranty Reserves

Warranty Reserves

7. Warranty Reserves

The Company accrues an estimate of its exposure to warranty claims based upon both current and historical product sales data and warranty costs incurred. The warranty reserve is included in other current liabilities. The related expense is included in cost of sales. Warranty reserve activity is summarized as follows for the three and six months ended October

26, 2019 and October 27, 2018, respectively (in thousands):

	Three Months Ended				Six Months Ended
	October 26,			October 27,	October 26,		October 27,
	2019		2018		2019		2018
Beginning balance	$	1,849	$	3,138	$	1,704	$	2,090
Warranty expense		534		(249)		1,219		361
Changes in estimates related to pre-existing warranties		(189)		(219)		(189)		493
Warranty costs settled		(319)		(239)		(859)		(513)
Ending balance	$	1,875	$	2,431	$	1,875	$	2,431

During the six months ended October 26, 2019, the Company revised its estimates based on the results of additional engineering studies to $302,000 related to the estimated costs to repair a component of certain small UAS that were delivered in prior periods. At October 26, 2019, the total remaining warranty reserve related to the estimated costs to repair the impacted UAS was not significant. As of October 26, 2019 a total of $288,000 of costs related to this warranty have been incurred.