PRODUCT WARRANTIES

6 Months Ended

Jun. 30, 2011

9.	PRODUCT WARRANTIES

The following table presents the changes in the product warranty accrual included in Other Accrued Liabilities (in thousands):

	2011			2010
Balance as of January 1	$	11,936		$	14,782
Provision for warranties issued in current year		1,545			702
Additional recovery of pre-existing warranties		-			(354	)
Payments		(1,136	)		(950	)
Balance as of June 30	$	12,345		$	14,180

The Company offers a limited warranty for its products. With respect to Company products manufactured prior to 2005, the limited warranty coverage period is five years. Beginning in 2005, the coverage period for DuraPlate® trailer panels was extended to ten years, with all other product components remaining at five years. The Company passes through component manufacturers’ warranties to our customers. The Company’s policy is to accrue the estimated cost of warranty coverage at the time of the sale.