12. COMMITMENTS AND CONTINGENCIES

Standard Warranty

Our standard warranty term for most of our products from the date of delivery is typically three years, which increased from one year in the second quarter of fiscal 2013. We accrue for standard warranty costs based on historical trends in warranty charges as a percentage of net product shipments. The accrual is reviewed regularly and periodically adjusted to reflect changes in warranty cost estimates. Estimated warranty charges are recorded within cost of products at the time related product revenue is recognized. Activity related to the standard warranty accrual, which is included in other accrued and other long-term liabilities in our condensed consolidated balance sheet, is as follows:



	Three Months Ended
	January 31,
	2015			2014
	(in millions)
Beginning balance as of November 1	$	51		$	38
Accruals for warranties including change in estimate	9			12
Settlements made during the period	(9		)	(8		)
Ending balance as of January 31	$	51		$	42

Accruals for warranties due within one year	$	36		$	24
Accruals for warranties due after one year	15			18
Ending balance as of January 31	$	51		$	42

Contingencies

We are involved in lawsuits, claims, investigations and proceedings, including, but not limited to, patent, commercial and environmental matters, which arise in the ordinary course of business. There are no matters pending that we currently believe are reasonably possible of having a material impact to our business, combined and consolidated financial condition, results of operations or cash flows.