Warranty Guarantees

9 Months Ended

Aug. 02, 2019

Product Warranties Disclosures [Abstract]

Warranty Guarantees

Warranty Guarantees

The company’s products are warranted to provide assurance that the product will function as expected and to ensure customer confidence in design, workmanship, and overall quality. Warranty coverage is generally provided for specified periods of time and on select products’ hours of usage, and generally covers parts, labor, and other expenses for non-maintenance repairs. Warranty coverage generally does not cover operator abuse or improper use. An authorized company distributor or dealer must perform warranty work. Distributors and dealers submit claims for warranty reimbursement and are credited for the cost of repairs, labor, and other expenses as long as the repairs meet the company's prescribed standards. Warranty expense is accrued at the time of sale based on the estimated number of products under warranty, historical average costs incurred to service warranty claims, the trend in the historical ratio of claims to sales, the historical length of time between the sale and resulting warranty claim, and other minor factors. Special warranty reserves are also accrued for major rework campaigns. Service support outside of the warranty period is provided by authorized distributors and dealers at the customer's expense. In addition to the standard warranties offered by the company on its products, the company also sells separately priced extended warranty coverage on select products for a prescribed period after the original warranty period expires. For additional information on the contract liabilities associated with the company's separately priced extended warranties, refer to Note 4, Revenue.

The changes in accrued warranties were as follows:

	Three Months Ended						Nine Months Ended
(Dollars in thousands)	August 2, 2019			August 3, 2018			August 2, 2019			August 3, 2018
Beginning balance	$	95,752		$	84,268		$	76,214		$	74,155
Provisions	14,232			12,038			42,734			39,827
Acquisitions	—			—			14,272			—
Claims	(17,514		)	(13,071		)	(39,685		)	(31,787		)
Changes in estimates	2,096			(40		)	1,031			1,000
Ending balance	$	94,566		$	83,195		$	94,566		$	83,195