Inventories

Inventories, net at June 30, 2015 and December 31, 2014 were comprised of:



	June 30,			December 31,
(in thousands)	2015			2014
Finished products	$	24,471		$	24,424
In-process	12,810			10,310
Raw materials	14,319			12,346
Fine and fabricated precious metals in various stages of completion	20,432			17,094
	72,032			64,174
LIFO reserve	(190		)	(245		)
Total	$	71,842		$	63,929

In order to produce certain of its products, H&H purchases, maintains and utilizes precious metal inventory. H&H records certain of its precious metal inventory at the lower of LIFO cost or market, with any adjustments recorded through cost of goods sold. Remaining precious metal inventory is accounted for primarily at fair value.

Certain customers and suppliers of H&H choose to do business on a "pool" basis and furnish precious metal to H&H for return in fabricated form or for purchase from or return to the supplier. When the customer metal is returned in fabricated form, the customer is charged a fabrication charge. The value of this customer metal is not included on the Company's consolidated balance sheet. To the extent H&H is able to utilize customer precious metal in its production processes, such customer metal replaces the need for H&H to purchase its own inventory. As of June 30, 2015, customer metal in H&H's custody consisted of 148,478 ounces of silver, 538 ounces of gold and 1,392 ounces of palladium.



Supplemental inventory information:	June 30,		December 31,
(in thousands, except per ounce)	2015		2014
Precious metals stated at LIFO cost	$	7,811	$	4,684
Precious metals stated under non-LIFO cost methods, primarily at fair value	$	12,431	$	12,165
Market value per ounce:
Silver	$	15.79	$	15.75
Gold	$	1,170.50	$	1,199.25
Palladium	$	676.00	$	798.00