Non-statistical basis refers to cus

Non-statistical basis refers to customer program accruals where specific identification of sold product with a customer claim is reasonably certain and thus can be transparently tracked to determine when a liability is incurred. Statistical basis refers to programs where specific sold product cannot be readily tracked to specific customer claims; instead, management uses actual historical claims trends to estimate what the liability should be at year-end. Note that in the current year management determined based on assessing various sources of information to appropriately reflect the accrual at 12/31/21, an adjustment of $5M was recorded for EMEA and North America as part of their financial close process related to their special bid program accrual.