3. INVENTORIES

Inventories consisted of the following at December 31, 2018 and 2017 (in thousands):



	2018		2017
Raw materials	$	139	$	573
Work-in-process		-		-
Finished goods		941		452
		1,080		1,025
Inventory reserves		(982)		-
		98		1,025

During the years ended December 31, 2018 and 2017, we recognized impairment charges to reduce our excess and obsolete inventories to their net realizable values. The following table provides a reconciliation of our inventory reserves for the years ended December 31, 2018 and 2017, respectively (in thousands):



	2018		2017
Inventory reserves at beginning of year	$	-	$	-
Impairment charges		1,134		125
Write down of impaired inventories		(152)		(125)
Inventory reserves at end of year	$	982	$	-