NOTE 4. INVENTORIES

Inventories consist principally of raw materials purchased for the manufacture of our products. We have limited finished goods inventory since all products are custom, made-to-order and usually ship upon completion. Finished goods inventory, and work-in-progress costs include direct materials, direct labor, and overhead. All inventories are stated at the lower of cost (first-in, first-out method) or net realizable value. Inventories consisted of the following:


	June 30,		December 30,
	2018		2017
	(in thousands)
Raw materials	$	32,811	$	30,139
Work-in-progress		2,515		2,506
Finished goods		—		5,171

	$	35,326	$	37,816