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Inventories
9 Months Ended
Sep. 30, 2017
Inventory Disclosure [Abstract]  
Inventories
Inventories

Inventories are stated at the lower of cost (first-in, first-out method) or net realizable value. Manufactured inventory cost includes materials, labor, and manufacturing overhead. Purchased inventory cost also includes internal purchasing overhead costs.

Provisions are made to reduce excess and obsolete inventories to their estimated net realizable values. Inventory provisions are based on forecasted demand, past experience with specific customers, the age and nature of the inventory, and the ability to redistribute inventory to other programs or to rework into other consumable inventory.

The components of inventories, net are as follows (in millions): 
 
September 30,
2017
 
December 31,
2016
Raw material
$
111

 
$
111

Work in process
2

 
1

Finished goods
379

 
233

Total
$
492

 
$
345