Investment in Nonconsolidated Affiliates

The Company maintains investments in several nonconsolidated affiliates, which are primarily located in China, Korea, Turkey, and the U.S. The Company generally equates control to ownership percentage whereby investments more than 50% owned are consolidated.

As of December 31, 2018 and 2017, the Company’s investment in affiliates was $544 million and $2 million, respectively.

The Company’s ownership interests in affiliates, not including the acquisition of Federal-Mogul, accounted for under the equity method is as follows:



	Year Ended December 31
	2018		2017		2016
Futaba Tenneco U.K. Ltd. (UK)	—	%	—	%	49.0	%
Montagewerk Abgastechnik Emden GmbH (Germany)	50.0	%	50.0	%	50.0	%

The Company sold its share of Futaba Tenneco U.K. Limited on April 28, 2017. Additionally, the Company acquired the following ownership interests accounted for under the equity method as a result of the acquisition of Federal-Mogul:



	Year Ended December 31
	2018
Anqing TP Goetze Piston Ring Company Limited (China)	35.7	%
Anqing TP Powder Metallurgy Co., Ltd (China)	20.0	%
Dongsuh Federal-Mogul Industrial Co. Ltd. (Korea)	50.0	%
Farloc Argentina SAIC Y F (Argentina)	23.9	%
Federal-Mogul Powertrain Otomotiv A.S. (Turkey)	50.0	%
Federal-Mogul TP Liner Europe Otomotiv Ltd. Sti. (Turkey)	25.0	%
Federal-Mogul TP Liners, Inc. (USA)	46.0	%
Frenos Hidraulicos Automotrices, S.A. de C.V. (Mexico)	49.0	%
JURID do Brasil Sistemas Automotivos Ltda. (Brazil)	19.9	%
KB Autosys Co., Ltd. (Korea)	33.6	%

The following table represents amounts reflected in the Company’s consolidated financial statements related to nonconsolidated affiliates:



	Year Ended December 31
	2018		2017			2016
	(Millions)
Equity earnings (losses) of nonconsolidated affiliates, net of tax	$	18	$	(1	)	$	—
Cash dividends received from nonconsolidated affiliates	$	2	$	—		$	—

At December 31, 2018, the carrying amount of the Company's investments in nonconsolidated affiliates accounted for under the equity method exceeded its share of the underlying net assets by $207 million. This is based on the preliminary estimate of the fair value performed as part of the Acquisition and is subject to allocation between identifiable tangible, intangible assets, and goodwill. This amount is subject to change as part of finalizing purchase accounting related to the Acquisition.

The following tables present summarized aggregated financial information of the Company’s nonconsolidated affiliates as of and for the period ended December 31, 2018:



Statements of Income	Otomotiv A.S.		Anqing TP Goetze		Other		Total
	(Millions)
Sales	$	92	$	41	$	137	$	270
Gross profit	$	23	$	13	$	33	$	69
Income from continuing operations	$	26	$	13	$	10	$	49
Net income	$	22	$	12	$	8	$	42



Balance Sheets	Otomotiv A.S.		Anqing TP Goetze		Other		Total
	(Millions)
Current assets	$	129	$	164	$	249	$	542
Noncurrent assets	$	300	$	132	$	200	$	632
Current liabilities	$	70	$	40	$	131	$	241
Noncurrent liabilities	$	82	$	—	$	11	$	93

See Note 21, Related Party Transactions for additional information on balances and transactions with equity method investments.