NOTE 5. INVENTORIES

Inventories, net, consisted of the following:



	First Quarter of		Fiscal Year End
As of	2013		2012
(Dollars in thousands)
Raw materials	$	98,001	$	89,016
Work-in-process	6,117		6,658
Finished goods	156,478		144,855
Total inventories, net	$	260,596	$	240,529

Deferred costs of sales for the short-term deferral of hardware and related products are included within finished goods and were $16.4 million as of the first quarter of fiscal 2013 and $16.2 million as of fiscal year end 2012.