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Note 4 - Inventories

3 Months Ended

Dec. 31, 2011

4. Inventories

Inventories consist of the following:

	December 31, 2011		September 30, 2011
	(Amounts in thousands)
Raw materials	$	1,103	$	886
Work-in-process		355		539
Finished goods		3,563		5,352
Total	$	5,021	$	6,777

Finished goods includes inventory that has been shipped, but for which all revenue recognition criteria has not been met of approximately $1.1 million and $3.4 million as of December 31, 2011 and September 30, 2011, respectively.

Total inventory balances in the table above are shown net of reserves for obsolescence of approximately $4.3 million and $4.3 million as of December 31, 2011 and September 30, 2011, respectively.

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

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