Product Warranties (Notes)

9 Months Ended

Sep. 30, 2016

Product Warranties Disclosures [Abstract]

Product Warranty Disclosure [Text Block]

Product Warranties

The Company provides product warranties with varying terms and durations for the majority of its products. The Company estimates its warranty reserve by considering historical and projected warranty claims, historical and projected cost-per-claim and knowledge of specific product issues that are outside its typical experience. The Company records warranty expense in cost of sales. Product warranty claims not expected to occur within one year are recorded in the long-term portion of the warranty reserve in the condensed consolidated balance sheets.

During the third quarter of 2016, the Company recovered for breaches of representations and warranties primarily related to warranty costs for certain product lines acquired in the 2012 acquisition of AirSep Corporation (“AirSep”) under the related representation and warranty insurance. For the three and nine months ended September 30, 2016, this reduced our BioMedical segment’s cost of sales by $15,145. Warranty expense for 2016 in the table below does not include the impact of this recovery.

The following table represents changes in the Company’s consolidated warranty reserve:

Balance at December 31, 2015	$	20,975
Warranty expense	5,764
Warranty usage	(9,484		)
Balance at September 30, 2016	$	17,255