Contingencies And Commitments

12 Months Ended

Dec. 31, 2011

Contingencies And Commitments [Abstract]

Contingencies And Commitments

(11) Contingencies and Commitments

One of the Company's subsidiaries that it acquired in 2007 is subject to numerous claims filed in various jurisdictions relating to certain sub-fractional motors that were primarily manufactured through 2004 and that were included as components of residential and commercial ventilation units marketed by a third party. These claims generally allege that the ventilation units were the cause of fires. Based on the current facts, the Company does not believe these claims, individually or in the aggregate, will have a material effect on its results of operations or financial condition.

The Company is, from time to time, party to litigation that arises in the normal course of its business operations, including product warranty and liability claims, contract disputes and environmental, asbestos, employment and other litigation matters. The Company's products are used in a variety of industrial, commercial and residential applications that subject the Company to claims that the use of its products is alleged to have resulted in injury or other damage. The Company accrues for exposures in amounts that it believes are adequate, and the Company does not believe that the outcome of any such lawsuit individually or collectively will have a material effect on the Company's financial position or its results of operations.

The Company recognizes the cost associated with its standard warranty on its products at the time of sale. The amount recognized is based on historical experience. The following is a reconciliation of the changes in accrued warranty costs for 2011 and 2010 (in thousands):

	2011			2010
Balance, beginning of year	$	12,831		$	13,298
Payments		(18,152	)		(14,420	)
Provision		25,830			13,793
Acquisitions		3,897			—
Translation		(250	)		160
Balance, end of year	$	24,156		$	12,831

The accrued warranty costs for the year ended December 31, 2011 include an incremental $12.6 million provision due to a production flaw, which has been corrected, in certain standard motors produced in one of the Company's facilities during a limited period of 2011.