XML 152 R22.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Warranty Liability
 12 Months Ended
Dec. 31, 2019
Product Warranties Disclosures [Abstract]  
Warranty Liability Warranty Liability
Warranty terms vary from one year to lifetime on certain window and door components. Warranties are normally limited to servicing or replacing defective components for the original customer. Product defects arising within six months of sale are classified as manufacturing defects and are not included in the current period expense below. Some warranties are transferable to subsequent owners and are either limited to 10 years from the date of manufacture or require pro-rata payments from the customer. A provision for estimated warranty costs is recorded at the time of sale based on historical experience and is periodically adjusted to reflect actual experience.
An analysis of our warranty liability is as follows:
(amounts in thousands)
2019
 
2018
 
2017
Balance as of January 1
$
46,468

 
$
46,256

 
$
45,398

Current period expense
20,853

 
21,822

 
17,674

Liabilities assumed due to acquisition
2,104

 
1,550

 
95

Experience adjustments
1,890

 
1,227

 
(614
)
Payments
(21,818
)
 
(23,410
)
 
(17,255
)
Currency translation
219

 
(977
)
 
958

Balance at period end
49,716

 
46,468

 
46,256

Current portion
(21,054
)
 
(20,529
)
 
(19,547
)
Long-term portion
$
28,662

 
$
25,939

 
$
26,709


The most significant component of our warranty liability is in the North America segment, which totaled $44.3 million at December 31, 2019, after discounting future estimated cash flows at rates between 0.76% and 4.75%. Without discounting, the liability would have been higher by approximately $3.0 million.