Product Warranties

12 Months Ended

Dec. 31, 2020

Product Warranties [Abstract]

Product Warranties

Note 10 – Product Warranties

Warranty terms are based on the negotiated railcar sales contracts. The Company generally warrants that new railcars produced by it will be free from defects in material and workmanship under normal use and service identified for a period of up to five years from the time of sale. The changes in the warranty reserve for the years ended December 31, 2020 and 2019, are as follows:

		December 31,
		2020		2019
Balance at the beginning of the year	$	8,388	$	9,309
Current year provision		451		1,416
Reductions for payments, costs of repairs and other		(1,756)		(363)
Adjustments to prior warranties		(1,867)		(1,974)
Balance at the end of the year	$	5,216	$	8,388

Adjustments to prior warranties includes changes in the warranty reserve for warranties issued in prior periods due to expiration of the warranty period, revised warranty cost estimates and other factors.