Commitments and Contingencies

9 Months Ended

Sep. 30, 2017

Commitments and Contingencies Disclosure [Abstract]

Note 14: Commitments and Contingencies

Snap-on provides product warranties for specific product lines and accrues for estimated future warranty cost in the period in which the sale is recorded. Snap-on calculates its accrual requirements based on historic warranty loss experience that is periodically adjusted for recent actual experience, including the timing of claims during the warranty period and actual costs incurred. Snap-on’s product warranty accrual activity for the three and nine months ended September 30, 2017, and October 1, 2016, is as follows:


	Three Months Ended				Nine Months Ended
(Amounts in millions)	September 30, 2017		October 1, 2016		September 30, 2017		October 1, 2016
Warranty reserve:
Beginning of period	$	18.9	$	16.1	$	16.0	$	16.4
Additions		1.1		2.8		10.4		8.8
Usage		(2.2)		(3.3)		(8.6)		(9.6)

End of period	$	17.8	$	15.6	$	17.8	$	15.6

Snap-on is involved in various legal matters that are being litigated and/or settled in the ordinary course of business. The three months ended September 30, 2017, included a $15.0 million charge related to a judgement in an employment-related litigation matter brought by an individual that is being appealed. Although it is not possible to predict the outcome of these legal matters, management believes that the results of these legal matters will not have a material impact on Snap-on’s consolidated financial position, results of operations or cash flows.