Table 32 shows that, as of 30 June 1959, 37.2 percent of the value

of the distributed portion of the supply system inventories were classified as Peacetime Operating; 28.0 percent Mobilization Reserve; 15.3 percent Economic and Contingency Retention; 17.4 percent Excess; and 2.1 percent Claimant Stocks.

Major differences in the percentage distribution of inventories and that of the previous year were a reduction of 6.2 percent in Excess stocks and increases in Peacetime Operating and Claimant stocks of 4.3 percent and 1.2 percent respectively.

3. Army Supply System Inventories

The data in the summary table (Table 33) representing Army inventories cover all depot inventories and all significant-sized station inventories (all stations with financial inventory accounting). More than one third of Army's over-all total was in the Ordnance Corps categories of ammunition, guided missiles, and related parts. Other large categories, each with inventories of over a billion dollars were: (1) Vehicle Parts; (2) Tanks; (3) Quartermaster Clothing and Textile Materiel (wholesale single manager stocks); and (4) Signal Corps items.

The total reduction in inventories of $1.6 billion during fiscal year 1959 was accounted for by a decrease of $0.6 billion in Stock Fund inventories and a decrease of $1.0 billion in Appropriated Fund inventories.

As of 30 June 1959, 25.9 percent of the distributed portion of Army's supply system inventories were classified as Peacetime Operating stock; 40.6 percent Mobilization Reserve; 7.8 percent Economic Retention; 21.3

Table 32.--Supply System Inventories (including Stock Funds) by Inventory Strata and Military Service

as of 30 June 1959

$7,145,787
$4,703,326 $1,611,429
$11,530,412
$41,147,258 $15,306,335
17,530,662 4,532,391 7,121,635 1,379,293
875,413
4,135,400 3,365,752
11,007,735
200,725
779,207
1,361,623
263,818
11,247,238 6,437,819

$ 849,969

3,728,578

768,765

1,537,360

1,051,452

42,358

77,831

ويلها

2,370,789

73,620

303,411
2,062,346

38,846

percent Excess; and 4.4 percent Claimant stocks. Chart 8 shows the Army supply system inventories by these major classifications.

Major differences in percentage distribution of inventories from that of the previous year were a reduction of nearly 10 percent in Excess stocks

and increases of 3.4 percent Mobilization Reserve, 3.0 percent Claimant, and 2.7 percent Peacetime Operating stock.

Army Stock Fund Inventories

Included in the $18.6 billion inven

tories shown in Table 33 are $5.5 billion carried in the Army Stock Fund. This $5.5 billion of stock fund inventories in the Army represented 29.6 percent of the total inventories reported by the Army in its supply system. About 41.9 percent of the Army Stock Fund inventories was in the Quartermaster Corps category, which includes the stocks of the single managers of subsistence, clothing and textiles. The Ordnance Corps

group of categories amounted to $1.9 billion representing 34.5 percent of the total Army Stock Fund.

Of the distributed portion of the Army Stock Fund inventories on 30 June 1959, 24.3 percent was classified as Peacetime Operating; 35.6 percent Mobilization Reserve; 9.1 percent Economic Retention; 27.5 percent Excess; and 3.5 percent Claimant stocks.

4. Navy Supply System Inventories (excluding Marine Corps)

For inclusion in this report, Navy's supply system inventories are grouped into 29 major categories. In addition, the inventories are stratified into six accounts, other than undistributed stocks, to indicate the broad retention groups into which the Navy inventories are

divided.

49199 O-60-10