4.	INVENTORIES

Inventories, at LIFO (last-in, first-out) value, consist of the following (in thousands):


	March 31, 2012			December 31, 2011
Finished goods	$	23,418		$	29,980
Raw materials		22,585			27,134

Total FIFO inventories		46,003			57,114
Reserve to adjust inventories to LIFO value		(27,338	)		(28,218	)

Total LIFO inventories	$	18,665		$	28,896

For the three months ended March 31, 2012, due to the liquidation of certain inventories, a portion of the Company's cost of sales is based on prior year costs rather than current year costs. As a result, the Company recognized a benefit of $0.9 million during the three months ended March 31, 2012.

An actual valuation of inventory under the LIFO method can be made only at the end of each year based on the inventory levels and costs at that time. Accordingly, interim LIFO calculations are based on management's estimates of expected year-end inventory levels and costs. Since inventory levels and costs are subject to factors beyond management's control, interim results are subject to the final year-end LIFO inventory valuation.