NOTE 10: ACCRUED WARRANTIES
Changes in our liability for standard product warranties, which is included as a component of the “Other accrued items” and “Other long-term liabilities” line items in our Consolidated Balance Sheet, during fiscal 2013 and 2012, were as follows:
2013 | 2012 | |||||
(In millions) | ||||||
Balance at beginning of the fiscal year | $ | 40.4 | $ | 52.8 | ||
Balance reclassified to discontinued operations | ― | (9.3) | ||||
Warranty provision for sales made during the fiscal year | 17.4 | 14.0 | ||||
Settlements made during the fiscal year | (16.0) | (16.2) | ||||
Other adjustments to the warranty liability, including those for acquisitions and foreign | ||||||
currency translation, during the fiscal year | (1.9) | (0.9) | ||||
Balance at end of the fiscal year | $ | 39.9 | $ | 40.4 |
We also sell extended warranties and recognize revenue from these arrangements over the warranty period. Costs of warranty services under these arrangements are recognized as incurred. Deferred revenue associated with extended warranties at June 28, 2013 and June 29, 2012 was $34.6 million and $27.7 million, respectively, and is included as components of the “Advance payments and unearned income” and “Other long-term liabilities” line items in our Consolidate Balance Sheet.