Note 3. Inventories

The components of inventories are summarized below (in thousands):


	September 30,		December 31,
	2019		2018
Inventories:
Raw materials	$	22,999	$	26,966
Work in process		22,624		28,217
Finished goods		3,448		3,388
	$	49,071	$	58,571

As of September 30, 2019 and December 31, 2018, carrying values of inventories were net of inventory reserves of $16.0 million and $14.8 million, respectively, for excess and obsolete inventory and $17,000 and $18,000, respectively, for lower of cost or net realizable value reserves. The reduction in raw materials is largely the result of the deconsolidation of our raw gallium company.