Inventories

12 Months Ended

Feb. 28, 2022

Inventories

Note 2. Inventories

Inventories consisted of the following (in thousands):

	February 28, 2022		February 28, 2021
Raw materials	$	2,037	$	2,888
Work-in-process		846		1,166
Finished goods		459		771
		3,342		4,825
Reserves for obsolescence		—		(798	)
	$	3,342	$	4,027

The following is a roll forward of the inventory reserves (in thousands):

Description	Balance at Beginning of Period		Additions: Charged to Costs and Expenses		Deductions			Balance at End of Period
February 28, 2022	$	798	$	30	$	(828	)		—
February 28, 2021	$	796	$	94	$	(92	)	$	798

The Company has maintained inventory on hand to support discontinued products and has made purchases to have product available for its customers while they transitioned to newer technologies. Products the Company maintains lasts many years and the timeframe for possible replacement has been difficult to estimate. As a result, the Company has historically recorded an inventory reserve to offset any obsolescence or slow moving inventory concerns related to CRT inventory and component parts for legacy products. Although management believes that the inventory may be sold in the future, a reserve has been historically recorded due to the uniqueness and age of the related inventory. In fiscal 2022, management continued to challenge the valuation and salability of its inventory while considering current market conditions and recent sales activity and made the determination to write off the inventory reserve against the related inventory as the associated inventory realizable value was deemed nominal. Also, due to depressed sales and the market trends for certain products, an additional $889 thousand inventory charge was recorded to cost of goods sold. These adjustments were required in order to properly state the inventory value at the lower of cost or market at estimated realizable value.

During fiscal 2022 and 2021, the Company wrote off or disposed of inventories of $1.7 million and $0.1 million, respectively, of which $0.8 million was previously reserved for through inclusion in the inventory reserve in fiscal 2022 and $0.1 million in fiscal 2021.