Inventories

Inventories are valued at the lower of cost or net realizable value, with cost determined by the last-in, first-out (“LIFO”) method for a majority of the company's inventories and the first-in, first-out (“FIFO”) method for all other inventories. The company establishes a reserve for excess, slow-moving, and obsolete inventory that is equal to the difference between the cost and estimated net realizable value for that inventory. These reserves are based on a review and comparison of current inventory levels to the planned production, as well as planned and historical sales of the inventory.

Inventories were as follows:



(Dollars in thousands)	February 2, 2018		February 3, 2017		October 31, 2017
Raw materials and work in process	$	114,150	$	107,170	$	100,077
Finished goods and service parts	391,994		353,290		295,716
Total FIFO value	506,144		460,460		395,793
Less: adjustment to LIFO value	66,801		58,357		66,801
Total inventories, net	$	439,343	$	402,103	$	328,992