Note J – Warranty

The Company estimates warranty expense using quantitative measures based on historical warranty claim experience and evaluation of specific Customer warranty issues. Following is a reconciliation of warranty reserves for the three months ended October 31, 2014 and 2013 (thousands of dollars):


	October 31,
	2014	2013
Beginning balance	$ 9,029	$ 10,526
Accruals for warranties issued during the reporting period	859	1,096
Accruals related to pre-existing warranties (including changes in estimates)	(542)	230
Less settlements made during the period	(1,290)	(1,640)
Ending balance	$ 8,056	$ 10,212

There were no significant specific warranty matters accrued for in the periods ended October 31, 2014 or 2013. The Company’s warranty matters are not expected to have a material impact on its results of operations, liquidity, or financial position.