How did you represent the August end-of-month inventories for companies that had inventories damaged or destroyed as a result of Hurricane Katrina?

Companies report inventories based on their financial records. Any adjustments to reflect the effects of the hurricane (such as a write-down) will be included in our data when companies reflect it on their records. Our review of the data reported by companies for August shows no significant write-downs to end-of-month inventories.

Based on discussions with over 1,000 respondents, fewer than 2% of companies indicated that they had inventories damaged or destroyed by Hurricane Katrina. None of them reported any write-downs for August. Most expected a write-down would occur, but were uncertain as to when it would be reflected on their records.

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Companies report inventories based on their financial records. Any adjustments to reflect the effects of the hurricane (such as a write-down) will be included in our data when companies reflect it on their records. No significant write-downs to end-of-month inventories were reported by companies for September.

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