Note 2 - Inventories

8 Months Ended

Jul. 08, 2016

Note 2 - Inventories:

Inventories are comprised of the following at the respective period ends:

	(unaudited) July 8 , 2016		October 30, 2015
Meat, ingredients and supplies	$	5,942	$	5,268
Work in progress		1,904		1,125
Finished goods		13,729		13,584
	$	21,575	$	19,977

Inventories are valued at the lower of cost (which approximates actual cost on a first-in, first-out basis) or market. Costs related to warehousing, transportation and distribution to customers are considered when computing market value. Inventories include the cost of ingredients, labor and manufacturing overhead. We regularly review inventory quantities on hand and write down any excess or obsolete inventories to estimated net realizable value. An inventory reserve is created when potentially slow-moving or obsolete inventories are identified in order to reflect the appropriate inventory value. Changes in economic conditions, production requirements, and lower than expected customer demand could result in additional obsolete or slow-moving inventory that cannot be sold or may need to be sold at reduced prices and could result in additional reserve provisions.