Quarterly report pursuant to Section 13 or 15(d)

Inventories

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Inventories
6 Months Ended
Jun. 30, 2018
Inventories  
Inventories

5.Inventories

 

Inventories consist of the following:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

December 31,

 

 

2018

 

2017

 

 

 

 

 

 

 

Finished goods

  

$

45,836

  

$

35,547

Work-in-process

 

 

7,760

 

 

7,774

Raw material and supplies

 

 

31,037

 

 

28,203

 

 

$

84,633

 

$

71,524

 

 

The inventories in the table above do not include truck chassis inventory financed through a floor plan financing agreement. The Company takes title to truck chassis upon receipt of the inventory through its floor plan agreement and performs up-fitting service installations to the truck chassis inventory during the installation period.  The floor plan obligation is then assumed by the dealer customer upon delivery.  At June 30, 2018 and December 31, 2017, the Company had $3,658 and $7,711 of chassis inventory and related floor plan financing obligation, respectively.  The Company recognizes revenue associated with up-fitting and service installations net of the truck chassis.

 

Unlike the floor plan agreement, the Company does not record inventory related to the truck chassis acquired through the bailment pool agreement as these truck chassis are held on consignment.  Like the revenue recognized on floor plan arrangement, revenue recognized for up-fitting services on chassis acquired through the bailment agreement are also recognized net of the truck chassis.