INVENTORIES

Inventories consisted of the following:



	December 31,
(In millions)	2015			2014
Raw materials	$	149.9		$	196.6
Work in process	114.8			166.1
Finished goods	723.4			849.9
	988.1			1,212.6
LIFO and valuation adjustments	(243.5		)	(191.4		)
Inventory, net	$	744.6		$	1,021.2

Historically, we have held quantities of inventory in our Surface Technologies segment necessary to react to fast-paced changes in customer demand, particularly in the North American market. As a result of the decline in crude oil prices and its effect on demand for products and services in the oilfield services industry as well as changes in the pattern of demand for certain types of inventory, we recorded $41.1 million of inventory valuation reserves in our Surface Technologies segment during the year ended December 31, 2015.

Net inventories accounted for under the LIFO method totaled $253.6 million and $370.8 million at December 31, 2015 and 2014, respectively. The current replacement costs of LIFO inventories exceeded their recorded values by $90.2 million and $94.6 million at December 31, 2015 and 2014, respectively. In 2015 and 2013 there were reductions in certain LIFO inventories which were carried at costs lower than current replacement costs. The result was a decrease in the cost of sales by $2.3 million and $0.1 million for 2015 and 2013, respectively. There was no reduction to the base LIFO inventory in 2014.