3. Inventories

Inventories as of June 30, 2015 and December 31, 2014 consist of the following:


	June 30, 2015			December 31, 2014
Finished goods	$	36,602		$	40,404
Semi-finished goods and work-in-process		55,428			68,153
Raw materials		8,195			7,520
Materials in-transit and other		2,936			6,745
Less: inventory reserve		(31,361	)		(47,488	)

Inventories, net	$	71,800		$	75,334


	Three Months Ended			Six Months Ended			Three Months Ended			Six Months Ended
	June 30, 2015						June 30, 2014
Beginning balance	$	(41,818	)	$	(47,488	)	$	(70,265	)	$	(72,400	)
Change in reserve		(4,977	)		(5,864	)		(562	)		(3,326	)
Write off		14,912			21,240			8,839			12,760
Translation adjustments		522			751			(3,682	)		(2,704	)

Ending balance	$	(31,361	)	$	(31,361	)	$	(65,670	)	$	(65,670	)

Inventory reserve represents the Company’s best estimate in value lost due to excessive inventory level, physical deterioration, obsolescence, changes in price levels, or other causes based on individual facts and circumstances. Inventory reserve relates to inventory items including finished goods, semi-finished goods and work-in-process. Write off of this reserve is recognized only when the related inventory has been disposed or scrapped.