Product Warranty

The Company provides warranties on some, but not all, of its products. The warranty terms are typically from one to three years. Provisions for estimated expenses related to product warranty are made at the time products are sold. These estimates are established using historical information about the nature, frequency and average cost of warranty claim settlements as well as product manufacturing and industry developments and recoveries from third parties. Management actively studies trends of warranty claims and takes action to improve product quality and minimize warranty claims. Management believes that the warranty accrual is appropriate; however, actual claims incurred could differ from the original estimates, requiring adjustments to the accrual.

The following table summarizes the activity in the product warranty accrual accounts:



(in millions)	2015			2014
Beginning balance, January 1	$	132.0		$	72.7
Provisions	6.3			5.0
Acquisition*	—			64.9
Payments	(8.2		)	(7.3		)
Translation adjustment	(19.3		)	—
Ending balance, March 31	$	110.8		$	135.3

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The 2014 acquisition relates to the Company's 2014 purchase of Gustav Wahler GmbH u. Co. KG and its general partner. In the fourth quarter of 2014, a measurement period adjustment of $42.1 million was made to increase the fair value of the warranty liability at the acquisition date, see Note 7 "Product Warranty" to the Company's Annual Report on Form 10-K for the year ended December 31, 2014 for additional details.

The product warranty liability is classified in the Condensed Consolidated Balance Sheets as follows:



	March 31,		December 31,
(in millions)	2015		2014
Accounts payable and accrued expenses	$	78.5	$	91.9
Other non-current liabilities	32.3		40.1
Total product warranty liability	$	110.8	$	132.0