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:

	July 31,		August 1,		October 31,
(Dollars in thousands)	2015		2014		2014
Raw materials and work in process	$	102,580	$	88,140	$	95,144
Finished goods and service parts	315,110		270,996		246,954

Total FIFO value	417,690		359,136		342,098
Less: adjustment to LIFO value	67,496		65,375		67,495

Total	$	350,194	$	293,761	$	274,603