WARRANTIES AND CONTINGENCIES (Notes)

6 Months Ended

Apr. 30, 2017

Commitments and Contingencies Disclosure [Abstract]

11. WARRANTIES AND CONTINGENCIES

Warranties

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 products are sold. The standard warranty accrual balances are held in other accrued and other long-term liabilities on our condensed consolidated balance sheet. Our standard warranty terms typically extend to one year from the date of delivery, depending on the product.

A summary of the standard warranty accrual activity is shown in the table below:



	Six Months Ended
	April 30,
	2017			2016
	(in millions)
Beginning balance as of November 1	$	35		$	31
Accruals for warranties including change in estimate	24			33
Settlements made during the period	(25		)	(27		)
Ending balance as of April 30,	$	34		$	37

Accruals for warranties due within one year	$	33		$	36
Accruals for warranties due after one year	1			1
Ending balance as of April 30,	$	34		$	37

Contingencies

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