Inventories	12 Months Ended
Dec. 31, 2015
Inventories
Inventories	Note 4. Inventories Our inventories are primarily stated on the last‑in, first‑out (“LIFO”) method, which is not in excess of market. We use the LIFO method of inventory valuation because it results in a better matching of costs and revenues. As of December 31, 2015 cost on the first‑in, first‑out (“FIFO”) method was lower than the LIFO value of inventories by $26.1 million. As of December 31, 2014, cost on the FIFO method exceeded the LIFO value of inventories by $143.1 million. Inventories of $304.6 million and $305.9 million as of December 31, 2015 and 2014, respectively, were stated on the FIFO method, which is not in excess of realizable value. Due to a significant decline in metals pricing that resulted in our LIFO inventory valuation exceeding current replacement cost, we recorded a lower of cost or market charge of $69.1 million related to our inventories measured using the LIFO method in 2015. Cost decreases in 2015 and 2013 for the majority of our products were the primary cause of the $186.1 million and $50.2 million reductions in the LIFO valuation reserve, respectively, which decreased cost of sales. The 2015 amount, however, was net of the impact of inventory quantity reductions, which resulted in a liquidation of LIFO inventory quantities carried at higher costs prevailing in prior years as compared with the cost of 2015 purchases, the effect of which increased cost of sales by approximately $38.7 million in 2015. Cost increases in 2014 for the majority of our products were the primary cause of the $54.5 million increase in the LIFO valuation reserve, which increased cost of sales. There were insignificant liquidations of LIFO inventory quantities in 2014 and 2013.

Inventories

12 Months Ended

Dec. 31, 2015

Note 4. Inventories

Our inventories are primarily stated on the last‑in, first‑out (“LIFO”) method, which is not in excess of market. We use the LIFO method of inventory valuation because it results in a better matching of costs and revenues. As of December 31, 2015 cost on the first‑in, first‑out (“FIFO”) method was lower than the LIFO value of inventories by $26.1 million. As of December 31, 2014, cost on the FIFO method exceeded the LIFO value of inventories by $143.1 million. Inventories of $304.6 million and $305.9 million as of December 31, 2015 and 2014, respectively, were stated on the FIFO method, which is not in excess of realizable value. Due to a significant decline in metals pricing that resulted in our LIFO inventory valuation exceeding current replacement cost, we recorded a lower of cost or market charge of $69.1 million related to our inventories measured using the LIFO method in 2015.

Cost decreases in 2015 and 2013 for the majority of our products were the primary cause of the $186.1 million and $50.2 million reductions in the LIFO valuation reserve, respectively, which decreased cost of sales. The 2015 amount, however, was net of the impact of inventory quantity reductions, which resulted in a liquidation of LIFO inventory quantities carried at higher costs prevailing in prior years as compared with the cost of 2015 purchases, the effect of which increased cost of sales by approximately $38.7 million in 2015. Cost increases in 2014 for the majority of our products were the primary cause of the $54.5 million increase in the LIFO valuation reserve, which increased cost of sales. There were insignificant liquidations of LIFO inventory quantities in 2014 and 2013.