Vendor's Out Of Stock Count Incorrect

Head scratcher here…

Vendor has 40 products, all of which he is tracking inventory for.

All items are one of a kind, so his inventory for each is just 1.

All items appear normally in store, can be added to cart, etc. - but in his dashboard he gets an out of stock count of 35!

Our low inventory threshold is set to 0.

Ideas?

(MVE 4.02)

It is required to debug the issue. PM me temporary FTP access so that we can check it