Accrued Warranties

3 Months Ended

Sep. 28, 2018

Product Warranties Disclosures [Abstract]

Accrued Warranties

Note J — Accrued Warranties

Changes in our liability for standard 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 28, 2018 were as follows:

	(In millions)
Balance at June 29, 2018	$	24
Warranty provision for sales	3
Settlements	(2		)
Balance at September 28, 2018	$	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 $16 million at September 28, 2018 and June 29, 2018, and is included as a component of the “Contract liabilities” and “Other long-term liabilities” line items in our Condensed Consolidated Balance Sheet (Unaudited).