Inventories

Inventories are valued at the lower of cost or net realizable value, with cost determined by the last-in, first-out (“LIFO”) method for most inventories and first-in, first-out (“FIFO”) method for all other inventories. The company establishes a reserve for excess, slow-moving, and obsolete inventory that is equal to the difference between the cost and estimated net realizable value for that inventory. These reserves are based on a review and comparison of current inventory levels to the planned production, as well as planned and historical sales of the inventory.

Inventories were as follows:

	August 2,		August 3,		October 31,
(Dollars in thousands)	2013		2012		2012
Raw materials and work in process	$	80,176	$	83,649	$	91,465
Finished goods and service parts	242,560		212,142		223,459
Total FIFO value	322,736		295,791		314,924
Less: adjustment to LIFO value	63,807		61,001		63,807
Total	$	258,929	$	234,790	$	251,117