8. Inventory

Inventory consisted of the following (in thousands):


	March 31, 2017		December 31, 2016
Raw Materials	$	1,513	$	1,010
Work in Progress		—		71
	$	1,513	$	1,081

The Company’s inventory represents linaclotide API and drug product that is available for commercial sale. The Company evaluates inventory levels quarterly and any inventory that has a cost basis in excess of its expected net realizable value, inventory that becomes obsolete, inventory in excess of expected sales requirements, inventory that fails to meet commercial sale specifications or is otherwise impaired is written down with a corresponding charge to the statement of operations in the period that the impairment is first identified. No such impairments were recorded during the three months ended March 31, 2017 or 2016.