XML 49 R37.htm IDEA: XBRL DOCUMENT v3.4.0.3
Accrued Liabilities (Details) - USD ($)
$ in Thousands
6 Months Ended
Apr. 30, 2016
Oct. 31, 2015
Accrued Liabilities, Current [Abstract]    
Accrued payroll and employee benefits $ 3,797 $ 3,914
Reserve for product warranty costs [1] 713 964
Accrued material purchase [2] 11,780 7,568
Reserve for service agreement costs [3] 6,133 3,437
Accrued taxes, legal, professional and other 3,413 3,292
Accrued Liabilities, Current 25,836 19,175
Product Warranty Accrual, Warranties Issued 200  
Product Warranty Accrual, Payment and Adjustments 400  
Loss on Contracts 1,900  
loss reserve on service agreements 2,700 800
reserve for performance guarantees $ 3,400 $ 2,600
[1] Activity in the accrued product warranty costs for the six months ended April 30, 2016 included additions for estimates of future warranty obligations of $0.2 million on contracts in the warranty period and reductions related to actual warranty spend of $0.4 million as contracts progress through the warranty period or are beyond the warranty period.
[2] The Company acts as a procurement agent for POSCO Energy under an Integrated Global Supply Chain Agreement whereby the Company procures materials on POSCO's behalf for their Asian production facility. This liability represents amounts received for the purchase of materials on behalf of POSCO. Amounts due to vendors is recorded as Accounts payable.
[3] Activity in service agreement costs represents an increase in loss accruals on service contracts of $1.9 million from $0.8 million as of October 31, 2015 to $2.7 million as of April 30, 2016. The increase relates to renewals of legacy service contracts. The accruals for performance guarantees also increased from $2.6 million as of October 31, 2015 to $3.4 million at April 30, 2016 based on the minimum output falling below the contract requirements for certain contracts.