Inventories

6 Months Ended

Jun. 30, 2012

Inventories

Inventories

5.             Inventories

A portion of inventories is valued under the LIFO method.  The valuation of LIFO inventory for interim periods is based on Occidental’s estimates of year-end inventory levels and costs.  Inventories as of June 30, 2012, and December 31, 2011, consisted of the following (in millions):

	2012			2011
Raw materials	$	65		$	69
Materials and supplies	534			443
Finished goods	998			655
	1,597			1,167
LIFO reserve	(98		)	(98		)
Total	$	1,499		$	1,069