Inventories

Inventories, net of reserves, consisted of the following:



	As of December 31,
	2015		2014
Current:
Raw materials	$	2,735	$	3,056
Finished goods	10,712		9,710
	$	13,447	$	12,766
Long-term:
Raw materials	$	375	$	59
Finished goods	1,643		817
	$	2,018	$	876

Long-term inventory represents inventory held in excess of our current (next 12 months) requirements based on our recent sales and forecasted level of sales. We have developed programs to reduce the inventory to normal operating levels in the near future. We expect to sell the above inventory, net of reserves, at or above the stated cost and believe that no loss will be incurred on its sale.

Current finished goods do not include distributor channel inventories in the amounts of approximately $1,628 and $1,698 as of December 31, 2015 and 2014, respectively. Distributor channel inventories represent inventory at distributors and other customers where revenue recognition criteria have not been achieved.

The losses incurred on valuation of inventory at the lower of cost or market value and write-off of obsolete inventory amounted to $496 and $946 during the years ended December 31, 2015 and 2014, respectively.