Note 12 - Guarantees

3 Months Ended

Apr. 01, 2023

Notes to Financial Statements

Guarantees [Text Block]

12. Guarantees

Product Warranty

Our products are generally sold with warranty periods that range from 12 to 36 months following sale or acceptance. The product warranty promises customers that delivered products are as specified in the contract (an “assurance-type warranty”). Therefore, we account for such product warranties under ASC 460, and not as a separate performance obligation. Parts and labor are covered under the terms of the warranty agreement. The warranty provision is based on historical and projected experience by product and configuration.

Changes in accrued warranty were as follows (in thousands):

	Three Months Ended
	April 1,			March 26,
	2023			2022
Balance at beginning of period	$	6,214		$	7,691
Warranty expense accruals		1,980			2,047
Warranty payments		(2,146	)		(2,891	)
Liability acquired		67			-
Balance at end of period	$	6,115		$	6,847

Accrued warranty amounts expected to be incurred after one year are included in noncurrent other accrued liabilities in the condensed consolidated balance sheet. These amounts totaled $0.6 million at both April 1, 2023 and December 31, 2022.