Inventories

12 Months Ended

Dec. 31, 2022

Inventory Disclosure [Abstract]

Inventories

Inventories:

The following table provides a breakdown of inventories at December 31, 2022 and 2021 (in thousands):

	December 31,
	2022		2021
Finished goods	$	1,679,473	$	459,536
Raw materials and work in process(a)	296,998		259,221
Stores, supplies and other	99,560		79,863
Total	$	2,076,031	$	798,620

(a)Included $133.2 million and $149.4 million at December 31, 2022 and 2021, respectively, of work in process in our Lithium segment.

Approximately 3% and 6% of our inventories are valued using the last-in, first-out (“LIFO”) method at December 31, 2022 and 2021, respectively. The portion of our domestic inventories stated on the LIFO basis amounted to $52.9 million and $51.2 million at December 31, 2022 and 2021, respectively, which are below replacement cost by approximately $57.9 million and $45.3 million, respectively.

Effective in 2022 the Company began recording the balance of deferred profits on sales from its equity method investments to the Company to Inventories, specifically finished goods. Historically this balance was recorded in Investments in the consolidated balance sheets. As a result, the historical balances have been reclassified to reflect the current period presentation. This change in presentation was made to better align the location of these deferred profits with their respective inventory balances until they are sold to a third party. Deferred profits from equity method investments totaled $332.3 million and $14.3 million at December 31, 2022 and 2021, respectively, with the increase primarily driven by increased pricing and volume of sales from the Talison joint venture. There was no impact to the statements of income, comprehensive (loss) income, changes in equity or cash flows for any period as a result of this change in presentation. In addition, the Company does not believe this change in presentation is material to the consolidated financial statements for any prior period.