Inventories

9 Months Ended

Sep. 30, 2021

Inventory Disclosure [Abstract]

Inventories

NOTE 4 - INVENTORIES

Finished goods primarily represent oil, which is carried at the lower of weighted-average cost or net realizable value, and caustic soda and chlorine, which are valued under the last in first out (LIFO) method. Inventories consisted of the following:

millions	September 30, 2021		December 31, 2020
Raw materials	$	75	$	70
Materials and supplies	843		848
Commodity inventory and finished goods	884		1,009
	1,802		1,927
Revaluation to LIFO	(29)		(29)
Total	$	1,773	$	1,898

During the nine months ended September 30, 2020, Occidental recognized an impairment of $54 million due to obsolete material and supplies inventory, and an impairment of $76 million due to lower-than-cost or net-realizable value adjustments primarily related to commodity inventories.