INVENTORY

6 Months Ended

Jun. 30, 2023

Inventory Disclosure [Abstract]

INVENTORY

9. INVENTORY

The following table shows the composition of our inventory balances:

($ in millions)	At June 30, 2023		At December 31, 2022
Real estate inventory(1)	$	648	$	651
Other	12		9
	$	660	$	660
(1)Represents completed inventory that is registered for sale as VOIs and vacation ownership inventory expected to be reacquired pursuant to estimated future defaults on originated vacation ownership notes receivable.

We value vacation ownership products at the lower of cost or fair market value less costs to sell, in accordance with applicable accounting guidance, and we record operating supplies at the lower of cost (using the first-in, first-out method) or net realizable value. Product cost true-up activity relating to vacation ownership products increased carrying values of inventory by $15 million during the first half of 2023 and $10 million during the first half of 2022.

In addition to the above, at June 30, 2023 and December 31, 2022, we had $377 million and $428 million, respectively, of completed vacation ownership units which are classified as a component of Property and equipment, net until the time at which they are available and legally registered for sale as vacation ownership products.