WARRANTY LIABILITY

The Company records a liability for its standard limited warranties at the time of sale for the estimated costs that may be incurred. The liability for standard warranties is included in accrued and other current liabilities and other non-current liabilities in the Condensed Consolidated Statements of Financial Position.

Changes in the Company's liabilities for standard limited warranties are presented in the following table for the periods indicated.



	Three Months Ended						Nine Months Ended
	October 28, 2016			October 30, 2015			October 28, 2016			October 30, 2015
	(in millions)
Warranty liability:
Warranty liability at beginning of period	$	565		$	653		$	574		$	679
Warranty liability assumed through EMC merger transaction	125			—			125			—
Costs accrued for new warranty contracts and changes in estimates for pre-existing warranties (a) (b)	196			189			578			592
Service obligations honored	(248		)	(226		)	(639		)	(655		)
Warranty liability at end of period	$	638		$	616		$	638		$	616
Current portion	$	425		$	408		$	425		$	408
Non-current portion	$	213		$	208		$	213		$	208

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(a)	Changes in cost estimates related to pre-existing warranties are aggregated with accruals for new standard warranty contracts. The Company's warranty liability process does not differentiate between estimates made for pre-existing warranties and new warranty obligations.


(b)	Includes the impact of foreign currency exchange rate fluctuations.