INVENTORIES

Inventories consist of the following:



June 30,	2017		2016
U.S. inventories at average cost	$	373,984	$	380,000
Foreign inventories at average cost	108,734		105,465
	482,718		485,465
Less: Excess of average cost over LIFO cost for U.S. inventories	137,573		147,244
Inventories on consolidated balance sheets	$	345,145	$	338,221

In fiscal 2017, reductions in U.S. inventories, primarily in the bearings pool which included the scrapping of approximately $6,000 of product, resulted in liquidation of LIFO inventory quantities carried at lower costs prevailing in prior years. The overall impact of LIFO layer liquidations increased gross profit by $9,414 and $2,100 in fiscal 2017 and fiscal 2016, respectively. There were no LIFO layer liquidations in fiscal 2015.