NOTE 3: INVENTORIES

The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. Interim LIFO calculations are based on actual inventory levels.

Inventories, at stated LIFO value, were classified at September 30, 2013 and December 31, 2012 as follows:


	September 30, 2013		December 31, 2012
	(In millions)
In process and finished products	$	702.8	$	741.5

If current cost had been used to value inventories, such inventories would have been $61 million and $34 million lower than reported at September 30, 2013 and December 31, 2012, respectively. Approximately 90% and 88% of inventories are accounted for under the LIFO method at September 30, 2013 and December 31, 2012, respectively. Non-LIFO inventories consist primarily of inventory at our foreign facilities using the weighted-average cost and the specific cost methods. Substantially all of our inventories consist of finished products.

The Company has consignment inventory at certain customer locations, which totaled $12.4 million and $11.3 million at September 30, 2013 and December 31, 2012, respectively.