DELPHI 2015 Annual Report Download - page 109

Download and view the complete annual report

Please find page 109 of the 2015 DELPHI annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 172

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172

Table of Contents
87
8. LIABILITIES
Accrued liabilities consisted of the following:
December 31,
2015
December 31,
2014
(in millions)
Payroll-related obligations.......................................................................................................... $ 221 $ 243
Employee benefits, including current pension obligations......................................................... 90 127
Income and other taxes payable.................................................................................................. 222 259
Warranty obligations (Note 9) .................................................................................................... 69 64
Restructuring (Note 10) .............................................................................................................. 85 80
Customer deposits....................................................................................................................... 36 34
Deferred income taxes (Note 14)................................................................................................ — 8
Derivative financial instruments (Note 17) ................................................................................ 108 64
Accrued interest .......................................................................................................................... 39 30
Other ........................................................................................................................................... 334 312
Total ....................................................................................................................................... $ 1,204 $ 1,221
Other long-term liabilities consisted of the following:
December 31,
2015
December 31,
2014
(in millions)
Environmental (Note 13) ............................................................................................................ $ 3 $ 4
Extended disability benefits........................................................................................................ 8 11
Warranty obligations (Note 9) .................................................................................................... 62 82
Restructuring (Note 10) .............................................................................................................. 46 17
Payroll-related obligations.......................................................................................................... 9 10
Accrued income taxes................................................................................................................. 31 29
Deferred income taxes (Note 14)................................................................................................ 252 162
Derivative financial instruments (Note 17) ................................................................................ 21 40
Other ........................................................................................................................................... 71 35
Total ....................................................................................................................................... $ 503 $ 390
9. WARRANTY OBLIGATIONS
Expected warranty costs for products sold are recognized principally at the time of sale of the product based on an
estimate of the amount that will eventually be required to settle such obligations. These accruals are based on factors such as
past experience, production changes, industry developments and various other considerations. The estimated costs related to
product recalls based on a formal campaign soliciting return of that product are accrued at the time an obligation becomes
probable and can be reasonably estimated. These estimates are adjusted from time to time based on facts and circumstances that
impact the status of existing claims. Delphi has recognized its best estimate for its total aggregate warranty reserves, including
product recall costs, across all of its operating segments as of December 31, 2015. The estimated reasonably possible amount to
ultimately resolve all matters are not materially different from the recorded reserves as of December 31, 2015.