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Archived Copies of Warranty Week
December 2002 to Today
New Home & RV Warranties:
When sales were falling, builders cut their warranty accruals. But, worried by claims payments that didn't fall as fast, they didn't cut accruals enough. So now some have built up excess levels of warranty reserves that may be in the multiple millions of dollars for at least 10 homebuilders.
January 5, 2012
Warranty Adjustments, Part 1:
When a company discovers it has more in its warranty reserve than is needed, it can withdraw the excess funds and add them to profits. Some of these financial adjustments can be huge, and can help dress up an otherwise disappointing financial report.
October 27, 2011
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