8. Maintenance Contracts

The Company offers maintenance contracts to its customers at the time they enter into a product license agreement and renews those contracts, at the customers’ option, generally on an annual basis thereafter. These maintenance contracts are priced as a percentage of the value of the related license agreement. The specific terms and conditions of these initial maintenance contracts and subsequent renewals vary depending upon the product licensed and the country in which the Company does business. Generally, maintenance contracts provide the customer with unspecified product maintenance updates and customer support services. Revenue from maintenance contracts is initially deferred and then recognized ratably over the term of the agreements.

Changes in the Company’s deferred maintenance revenue were as follows (in thousands):


		Three Months Ended
		July 31,
		2013		2012
Beginning balance	$	8,861	$	8,302
Revenue recognized during period		(3,544)		(3,683)
New maintenance contracts		2,262		2,534
Ending balance	$	7,579	$	7,153

Of the deferred maintenance revenue at July 31, 2013 and April 30, 2013, $0.7 million and $0.8 million, respectively, is long-term and is included in other long-term liabilities in the consolidated balance sheet.