Schedule II - Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2013

HARDINGE INC. AND SUBSIDIARIES

ITEM 15(a) Schedule II—Valuation and Qualifying Accounts

			Additions Charged to:

	Balance at Beginning of Period		Costs & Expenses		Other Accounts			Deductions			Balance at End of Period
	(in thousands)
Year ended December 31, 2013:
Allowance for bad debts	$	2,281	$	101	$	125	⁽¹⁾	$	1,345	⁽²⁾	$	1,162
Allowance for excess and obsolete inventory		21,535		3,502		1,506	⁽¹⁾		4,510			22,033
Valuation allowance for deferred taxes		57,698		472		1,794			10,667			49,297


Total	$	81,514	$	4,075	$	3,425		$	16,522		$	72,492




Year ended December 31, 2012:
Allowance for bad debts	$	2,750	$	198	$	28	⁽¹⁾	$	695	⁽²⁾	$	2,281
Allowance for excess and obsolete inventory		20,431		3,597		495	⁽¹⁾		2,988			21,535
Valuation allowance for deferred taxes		62,995		922		2,904			9,123			57,698


Total	$	86,176	$	4,717	$	3,427		$	12,806		$	81,514




Year ended December 31, 2011:
Allowance for bad debts	$	3,957	$	364	$	64	⁽¹⁾	$	1,635	⁽²⁾	$	2,750
Allowance for excess and obsolete inventory		25,834		2,789		188	⁽¹⁾		8,380			20,431
Valuation allowance for deferred taxes		53,533		2,773		6,689			—			62,995


Total	$	83,324	$	5,926	$	6,941		$	10,015		$	86,176

⁽¹⁾: Currency translation impact on balances recorded in foreign currencies.
⁽²⁾: Uncollectable accounts written off, net of recoveries.