Inventory

6 Months Ended

Jun. 30, 2012

Notes to Financial Statements

Note 3. Inventory

Inventory, consisting of materials, labor and manufacturing overhead, is stated at the lower of cost (first-in, first-out) or market and consisted of the following at:

	June 30, 2012			December 31, 2011
Raw Materials	$	4,303,000		$	4,431,000
Work In Progress		155,000			144,000
Finished Goods		618,000			644,000
Reserve for Obsolescence		(2,000,000	)		(1,183,000	)
Total	$	3,076,000		$	4,036,000

        Inventory write-offs were $76,000 and $179,000 for the six months ended June 30, 2012 and 2011, respectively.