INVESTMENTS IN UNCONSOLIDATED COMPANIES

6 Months Ended

Jun. 29, 2014

INVESTMENTS IN UNCONSOLIDATED COMPANIES

INVESTMENTS IN UNCONSOLIDATED COMPANIES

3.  INVESTMENTS IN UNCONSOLIDATED COMPANIES

The carrying value of investments in unconsolidated companies consisted of the following:

(in thousands)	% Ownership	June 29,		December 29,
Company	Interest	2014		2013
CareerBuilder, LLC	15.0	$	223,065	$	214,579
Classified Ventures, LLC	25.6	80,458		73,692
Seattle Times Company (C-Corporation)	49.5	—		—
Ponderay (general partnership)	27.0	9,470		8,443
Other	Various	2,488		3,855
		$	315,481	$	300,569

On April 1, 2014, Classified Ventures, LLC consummated the sale of its Apartments.com business for $585 million. Accordingly, during the quarter ending June 29, 2014, we recorded our share of the net gain of approximately $144.2 million, before taxes, as gains related to equity investments in condensed consolidated statements of operations. On April 1, 2014, we received a cash distribution of approximately $146.9 million from Classified Ventures, LLC, which is equal to our share of the net proceeds from the sale.

On May 7, 2014, we transferred our partnership interest in MCT to TCA for cash and future newswire content. Concurrently, we entered into a contributor agreement with MCT pursuant to which we both continue to be a contributor of newswire content to MCT for an agreed upon rate and we will receive newswire content from MCT or its successor at no cost for approximately 10 years. We recognized a $3.1 million intangible asset in the condensed consolidated balance sheets with respect to the content we will receive from MCT at no cost under these agreements and a $1.7 million gain on sale of the equity investment in the gains related to equity investments in the condensed consolidated statements of operations.

On August 5, 2014, we, along with the remaining partners in Classified Ventures, LLC, have entered into a definitive agreement to sell all of the ownership interests in Classified Ventures, LLC to Gannett Co., Inc. for a price that values Classified Ventures, LLC at $2.5 billion. See Note 8, Subsequent Event for further discussion.

During the quarter ended June 29, 2014, our proportionate share of net income from certain investments listed in the table above was greater than 20% of our condensed consolidated net income (loss) before taxes.  Summarized condensed financial information, as provided to us by these certain investees, is as follows:

	Six Months Ended
	June 29,		June 30,
(in thousands)	2014		2013
Net revenues	$	666,164	$	648,958
Gross profit	563,861		543,490
Operating income	89,524		103,543
Net income	650,720		103,955