INVENTORIES

9 Months Ended

Sep. 30, 2021

Inventories consisted of the following:


September 30, 2021
(in millions)	Titled Inventory		Inventory Intermediation Agreements		Total
Crude oil and feedstocks	$	1,277.7	$	—	$	1,277.7
Refined products and blendstocks	1,059.0		355.5		1,414.5
Warehouse stock and other	139.2		—		139.2
	$	2,475.9	$	355.5	$	2,831.4
Lower of cost or market adjustment	—		—		—
Total inventories	$	2,475.9	$	355.5	$	2,831.4


December 31, 2020
(in millions)	Titled Inventory		Inventory Intermediation Agreements		Total
Crude oil and feedstocks	$	1,018.9	$	—	$	1,018.9
Refined products and blendstocks	933.7		266.5		1,200.2
Warehouse stock and other	136.7		—		136.7
	$	2,089.3	$	266.5	$	2,355.8
Lower of cost or market adjustment	(572.4)		(97.2)		(669.6)
Total inventories	$	1,516.9	$	169.3	$	1,686.2

Inventory under the amended and restated inventory intermediation agreements with J. Aron & Company, a subsidiary of The Goldman Sachs Group, Inc. (“J. Aron”) (as amended and restated from time to time, the “Inventory Intermediation Agreements”), includes crude oil, intermediate and certain finished products (the “J. Aron Products”) purchased or produced by the Paulsboro and Delaware City refineries, and sold to counterparties in connection with such agreements. As of September 30, 2021, this inventory is held in the Company’s storage tanks at the Delaware City and Paulsboro refineries and at a PBFX storage facility (collectively, the “J. Aron Storage Tanks”).

At September 30, 2021 the replacement value of inventories exceeded the last-in, first-out carrying value. During the nine months ended September 30, 2021, the Company recorded an adjustment to value its inventories to the lower of cost or market which increased income from operations by $669.6 million, reflecting no lower of cost or market (“LCM”) inventory reserve at September 30, 2021 in comparison with an LCM inventory reserve of $669.6 million at December 31, 2020.

During the three months ended September 30, 2020, the Company recorded an adjustment to value its inventories to the lower of cost or market which increased income from operations by $9.9 million, reflecting the net change in the LCM inventory reserve from $1,103.0 million at June 30, 2020 to $1,093.1 million at September 30, 2020. During the nine months ended September 30, 2020, the Company recorded an adjustment to value its inventories to the lower of cost or market which decreased income from operations by $691.5 million, reflecting the net change in the LCM inventory reserve from $401.6 million at December 31, 2019 to $1,093.1 million at September 30, 2020.