Accrued Liabilities

6 Months Ended

Mar. 31, 2014

Accrued Liabilities

Accrued Liabilities

Note 14.  Accrued liabilities

	March 31,		September 30,
	2014		2013
Salaries and other member benefits	$	36,912	$	66,212
Warranties		16,418		15,224
Interest payable		11,951		11,437
Current portion of acquired performance obligations and unfavorable contracts (1)		23,622		23,977
Accrued retirement benefits		2,243		2,276
Deferred revenues		5,930		6,304
Taxes, other than income		9,205		6,504
Other		21,732		29,807
	$	128,013	$	161,741

(1) For more information about acquired performance obligations and unfavorable contracts, see Note 4, Business acquisitions.

Warranties

Provisions of Woodward’s sales agreements include product warranties customary to these types of agreements.  Accruals are established for specifically identified warranty issues that are probable to result in future costs.  Warranty costs are accrued on a non-specific basis whenever past experience indicates a normal and predictable pattern exists.  Changes in accrued product warrantieswere as follows:

	Six-Months Ended March 31,
		2014		2013
Warranties, beginning of period	$	15,224	$	15,742
Expense		5,333		4,785
Increases due to acquisition of Duarte Business		-		157
Reductions for settling warranties		(4,317)		(6,068)
Foreign currency exchange rate changes		178		(48)
Warranties, end of period	$	16,418	$	14,568