Accrued Warranties

3 Months Ended

Sep. 29, 2017

Product Warranties Disclosures [Abstract]

Accrued Warranties

Accrued Warranties

Changes in our liability for standard product warranties, which is included as a component of the “Other accrued items” and “Other long-term liabilities” line items in our Condensed Consolidated Balance Sheet (Unaudited), during the quarter ended September 29, 2017 were as follows:

	(In millions)
Balance at June 30, 2017	$	26
Warranty provision for sales	3
Settlements	(4		)
Balance at September 29, 2017	$	25

We also sell extended product warranties and recognize revenue from these arrangements over the warranty period. Costs of warranty services under these arrangements are recognized as incurred. Deferred revenue associated with extended product warranties was $21 million at September 29, 2017 and $23 million at June 30, 2017 and is included as a component of the “Advance payments and unearned income” and “Other long-term liabilities” line items in our Condensed Consolidated Balance Sheet (Unaudited).