... are damaged inventory that require repair to make them suitable for sale (inventory) or is more economical to repair than to dispose of (operating materials and supplies). Inventory—excess, obsolete, ... longer needed due to changes in technology, laws, customs, or operations. • Unserviceable inventory that is damaged beyond economic repair. Excess, obsolete, and unserviceable inventory is reported ... translated into a $768 billion (37 percent) decrease in the Government’s “bottom line” net operating cost from $2.1 trillion in FY 2010 to $1.3 trillion in FY 2011. A Citizen's Guide to the...