Note 8. Warranties

A summary of activity in the Company’s warranty reserves follows:

	Three Months Ended						Nine Months Ended
	April 30,						April 30,
	2013			2012			2013			2012

Beginning balance	$	1,232,000		$	2,081,000		$	1,667,000		$	2,083,000
Provisions	479,000			748,000			1,182,000			2,528,000
Settlements	(634,000		)	(881,000		)	(1,772,000		)	(2,661,000		)
Foreign currency translation	—			1,000			—			(1,000		)
Ending balance	$	1,077,000		$	1,949,000		$	1,077,000		$	1,949,000

The warranty provisions and settlements for the three and nine months ended April 30, 2013 and 2012 relate principally to the Company’s endoscope reprocessing and water purification equipment. Warranty reserves are included in accrued expenses in the Condensed Consolidated Balance Sheets.