Note 4. Inventories

The components of inventories are as follows:


	December 31, 2011		March 31, 2011
	(in $000’s)
Raw materials and supplies	$	3,386	$	2,784
Work-in-progress		3,719		3,689
Finished goods		2,583		1,032

	$	9,688	$	7,505

The Company’s inventories relate to its circulatory care product lines, primarily the Impella, AB5000 and BVS 5000. Finished goods and work-in-process inventories consist of direct material, labor and overhead. During the nine months ended December 31, 2011 and 2010, the Company recorded $1.1 million and $2.4 million, respectively, in write downs of inventory, including excess quantities and obsolete inventory.

From time to time, the Company loans finished goods inventory on a short-term basis to customers for demonstration purposes and this inventory is generally amortized over a one to five year life. The Company had $0.5 million and $0.7 million in demo inventory at December 31, 2011 and March 31, 2011, respectively.