

4.	INVENTORIES:

Inventories consisted of the following (in thousands):



	December 31,
	2015		2014
Raw materials	$	6,539	$	7,696
Work-in-process	1,064		4,419
Finished goods	5,145		24,994
	$	12,748	$	37,109

Inventories included none and $1.0 million of inventory consigned to customers at December 31, 2015 and 2014, respectively. During the year ended December 31, 2015, 2014 and 2013, the Company recorded write-downs of inventories of $33.0 million, $3.9 million, and none, respectively. The write-down for the 2015 period consisted of $22.9 million of work-in-process and $10.1 million of finished goods inventory. During the second quarter of 2015, the Company experienced a faster-than-anticipated decline in host material sales and based on the most recent sales forecast, the Company determined that there were likely to be significantly lower sales of existing host material. Sales forecasts tend to be volatile, but because of the deterioration in both actual and forecasted sales demand, a write-down in net realizable value primarily to host inventory was required. The write-down for the 2014 period, which occurred in the fourth quarter, was comprised solely of finished goods inventory.