Product Warranty

12 Months Ended

Dec. 31, 2021

Guarantees and Product Warranties [Abstract]

Product Warranty

Note 12. Product Warranty

The Company has a stated two-year warranty policy for its golf clubs and certain Jack Wolfskin gear, as well as a limited lifetime warranty for its OGIO line of products. The Company’s policy is to accrue the estimated cost of satisfying future warranty claims at the time the sale is recorded. In estimating its future warranty obligations, the Company considers various relevant factors, including the Company’s stated warranty policies and practices, the historical frequency of claims, and the cost to replace or repair its products under warranty.

The Company’s estimates for calculating the warranty reserve are principally based on assumptions regarding the warranty costs of each product line over the expected warranty period. Where little or no claims experience may exist, the Company’s warranty obligation calculation is based upon long-term historical warranty rates of similar products until sufficient data is available. As actual model-specific rates become available, the Company’s estimates are modified to reflect the range of likely outcomes.

The warranty reserve is included in other current liabilities in the accompanying consolidated balance sheets as of December 31, 2021 and December 31, 2020. The following table provides a reconciliation of the activity related to the Company's warranty reserve (in thousands):

	Year Ended December 31,
	2021		2020		2019
Beginning balance	$	9,364	$	9,636	$	7,610
Provision	9,109		7,926		8,311
Provision liability assumed from acquisition	—		—		2,208
Claims paid/costs incurred	(7,486)		(8,198)		(8,493)
Ending balance	$	10,987	$	9,364	$	9,636