Inventories at December 31, 2015 and 2014 were as follows:



In millions	2015			2014
Raw material	$	415		$	458
Work-in-process	130			133
Finished goods	622			677
LIFO reserve	(81		)	(88		)
	$	1,086		$	1,180

Inventories are stated at the lower of cost or net realizable value and include material, labor and factory overhead. The last-in, first-out ("LIFO") method is used to determine the cost of the inventories at certain U.S. businesses. The first-in, first-out ("FIFO") method, which approximates current cost, is used for all other inventories. Inventories priced at LIFO were approximately 22% of total inventories as of both December 31, 2015 and 2014. If the FIFO method was used for all inventories, total inventories would have been approximately $81 million and $88 million higher than reported at December 31, 2015 and 2014, respectively.