WARRANTY, COMMITMENTS AND CONTINGENCIES

3 Months Ended

Jan. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

WARRANTIES, COMMITMENTS AND CONTINGENCIES

Standard Warranty

Our warranties on products sold through direct sales channels are primarily for one year. Warranties for products sold through distribution channels are primarily for three years. We accrue for standard warranty costs based on historical trends in warranty charges. 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,
	2020			2019
	(in millions)
Beginning balance	$	38		$	45
Accruals for warranties including change in estimate	5			8
Settlements made during the period	(8		)	(9		)
Ending balance	$	35		$	44

Accruals for warranties due within one year	$	22		$	25
Accruals for warranties due after one year	13			19
Ending balance	$	35		$	44

Commitments

During the three months ended January 31, 2020, there were no material changes to our contractual commitments reported in the company’s 2019 Annual Report on Form 10-K.

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, consolidated financial condition, results of operations or cash flows.