Inventories, Net

12 Months Ended

Jun. 30, 2011

NOTE 5. INVENTORIES, NET

Inventories, net at June 30 were comprised of the following:


	2011			2010
Finished goods	$	315		$	274
Raw materials and packaging		104			92
Work in process		3			4
LIFO allowances		(29	)		(28	)
Allowances for obsolescence		(11	)		(10	)
Total	$	382		$	332

The last-in, first-out (LIFO) method was used to value approximately 37% and 39% of inventories at June 30, 2011 and 2010, respectively. The carrying values for all other inventories, including inventories of all international businesses, are determined on the first-in, first-out (FIFO) method. The effect on earnings of the liquidation of LIFO layers was $1, $3 and $1 for the fiscal years ended June 30, 2011, 2010 and 2009, respectively.

During fiscal years 2011, 2010 and 2009, the Company's inventory obsolescence expense was $15, $11 and $12, respectively.

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

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