Note 6 - Inventories

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Inventory Disclosure [Text Block]

6. Inventories

Inventories are valued at the lower of cost or net realizable value and consisted of the following:

	June 30,			December 31,
	2022			2021
Inventories carried at LIFO:
Finished goods(a)	$	68.2		$	54.0
Raw materials and work-in-process		50.5			42.4
Excess of FIFO over LIFO cost(b)		(49.0	)		(43.0	)
Total LIFO inventories	$	69.7		$	53.4
Inventories carried at FIFO:
Finished goods(a)	$	58.8		$	53.8
Raw materials and work-in-process		60.1			53.4
Total FIFO inventories	$	118.9		$	107.2
Total inventories	$	188.6		$	160.6

(a)	Finished goods include machines, parts and consumables and component parts that are used in our products.
(b)	The difference between replacement cost and the stated LIFO inventory value is not materially different from the reserve for the LIFO valuation method.

We are currently operating in a more volatile inflationary environment and we experienced higher product cost inflation in most categories during the second quarter of 2022. Our LIFO charge for the three and six months ended June 30, 2022 was $4.9 million and $6.0 million, respectively, compared to $2.4 million and $2.2 million in the three and six months ended June 30, 2021, respectively. The increase in each period was attributable to the broad effects of inflation on materials.