Basis of Presentation (Tables)

6 Months Ended

Mar. 31, 2012

Inventories. Inventories consist of material, labor and overhead costs and are stated at the lower of cost or market, determined under the first-in, first-out accounting method. Inventories at March 31, 2012 and October 1, 2011 were as follows:

	March 31, 2012		October 1, 2011
	(expressed in thousands)
Customer projects in various stages of completion	$	24,369	$	19,026
Components, assemblies and parts		45,949		46,961
Total	$	70,318	$	65,987

Warranty liability

Warranty Obligations. Sales of the Company's products and systems are subject to limited warranty obligations that are included in customer contracts. For sales that include installation services, warranty obligations typically extend for a period of twelve to twenty-four months from the date of either shipment or acceptance. Product obligations typically extend for a period of twelve to twenty-four months from the date of purchase. Under the terms of these warranties, the Company is obligated to repair or replace any components or assemblies it deems defective due to workmanship or materials. The Company reserves the right to reject warranty claims where it determines that failure is due to normal wear, customer modifications, improper maintenance, or misuse. The Company records general warranty provisions based on an estimated warranty expense percentage applied to current period revenue. The percentage applied reflects historical warranty claims experience over the preceding twelve-month period. Both the experience percentage and the warranty liability are evaluated on an ongoing basis for adequacy. In addition, warranty provisions are also recognized for certain nonrecurring product claims that are individually significant. Warranty provisions and claims for the three and six-fiscal month periods ended March 31, 2012 and April 2, 2011 were as follows:

	Three Fiscal Months Ended						Six Fiscal Months Ended
	March 31,			April 2,			March 31,			April 2,
	2012			2011			2012			2011
	(expressed in thousands)
Beginning balance	$	4,595		$	6,735		$	5,290		$	7,505
Warranty provisions		1,094			1,073			1,483			1,586
Warranty claims		(1,565	)		(1,482	)		(2,583	)		(2,930	)
Adjustments to preexisting warranties		300			(100	)		300			139
Currency translation		44			145			(22	)		71
Ending balance	$	4,468		$	6,371		$	4,468		$	6,371