3.INVENTORIES

Inventories consist of material, labor and manufacturing overhead and are recorded at the lower of cost, using the weighted average cost method, or net realizable value. Excess manufacturing overhead costs attributable to idle facility expenses, freight, handling costs and wasted material (spoilage) attributable to abnormally low production volumes (levels that materially differ from budgeted production plans due primarily to changes in customer demand) are excluded from inventory and recorded as an expense in the period incurred.

The components of inventories at June 30, 2015 and March 31, 2015 were as follows:

(In thousands)	June 30, 2015		March 31, 2015
Raw materials, completed sub-assemblies, and spare parts	$	18,430	$	20,334
Work-in-process	15,713		17,853
Finished goods	3,129		2,796

Total	$	37,272	$	40,983