Design Within Reach (DWRI)

Inventory-in-transit

Total inventory includes inventory-in-transit that consists primarily of finished goods purchased from third-party manufacturers that are in-transit from the vendor to us when terms are FOB shipping point and estimated inbound freight costs. Inventory-in-transit also includes those goods that are in-transit from us to our customers. Inventory-in-transit is carried at cost. Inventory-in-transit was $3,203,000 and $5,306,000 as of January 3, 2009 and December 29, 2007, respectively.

Inventory-in-transit

Total inventory includes inventory-in-transit that consists primarily of finished goods purchased from third-party manufacturers that are in-transit from the vendor to us when terms are FOB shipping point and estimated inbound freight costs. Inventory-in-transit also includes those goods that are in-transit from us to our customers. Inventory-in-transit is carried at cost. Inventory-in-transit was $3,203,000 and $5,306,000 as of January 3, 2009 and December 29, 2007, respectively.

Note 3—Inventory-in-transit

Inventory-in-transit consists primarily of finished goods purchased from third-party manufacturers and represents those goods that are in-transit from certain vendors to the Company. Inventory-in-transit also includes those goods where title has passed to the Company that are in-transit from the Company to its customers. The following table presents the Company’s inventory-in-transit at the end of each fiscal year.