Investments

Investments in Joint Ventures

As of December 31, 2017, our investment in joint ventures of $1.7 million consisted of a 40% equity ownership interest in Madison Paper Industries (“Madison”), a partnership that previously operated a supercalendered paper mill in Maine. In the fourth quarter of 2017, we sold our 49% equity interest in Donohue Malbaie Inc. (“Malbaie”), a Canadian newsprint company, for $20 million Canadian dollar ($15.6 million USD). In the third quarter of 2017, we sold our 30% ownership in Women in the World Media, LLC, a live event conference business, for a nominal amount.

These investments are accounted for under the equity method, and are recorded in “Investments in joint ventures” in our Consolidated Balance Sheets. Our proportionate shares of the operating results of our investments are recorded in “Gain/(loss) from joint ventures” in our Consolidated Statements of Operations.

In 2017, we had a gain from joint ventures of $18.6 million compared with a loss of $36.3 million in 2016. The gain was primarily due to the sale of the remaining assets of the paper mill previously operated by Madison, partially offset by our proportionate share of the loss recognized by Madison resulting from Madison’s settlement of pension obligations, as well as the sale of our investment in Malbaie.

In 2016, we had a loss from joint ventures of $36.3 million compared with a loss of $0.8 million in 2015. The increase was primarily due to losses related to the shutdown of the paper mill previously operated by Madison, as described below, partially offset by increased income from our investment in Malbaie, which benefited from higher newsprint prices and the impact of a significantly weakened Canadian dollar.

Madison

The Company and UPM-Kymmene Corporation (“UPM”), a Finnish paper manufacturing company, are partners through subsidiary companies in Madison. The Company’s 40% ownership of Madison is through an 80%-owned consolidated subsidiary that owns 50% of Madison. UPM owns 60% of Madison, including a 10% interest through a 20% noncontrolling interest in the consolidated subsidiary of the Company. In 2016, the paper mill closed and we recognized $41.4 million in losses from joint ventures related to the closure. The Company’s proportionate share of the loss was $20.1 million after tax and net of noncontrolling interest. As a result of the mill closure, we wrote our investment down to zero.

The Company’s joint venture in Madison is currently being liquidated. In the fourth quarter of 2016, Madison sold certain assets at the mill site and we recognized a gain of $3.9 million related to the sale. In 2017 we recognized a gain of $20.8 million, primarily related to the sale of the remaining assets, partially offset by the loss related to our proportionate share of Madison’s settlement of certain pension obligations. The Company’s proportionate share of the gain was $11.6 million after tax and net of noncontrolling interest. We expect to receive our proportionate share of a cash distribution from the wind down of our Madison investment in 2018.

The following table presents summarized unaudited balance sheet information for Madison, which follows a calendar year:



(In thousands)	December 31, 2017		December 31, 2016
Current assets	$	35,764	$	3,766
Noncurrent assets	9,640		8,944
Total assets	45,404		12,710
Current liabilities	137		1,373
Noncurrent liabilities	4,070		29,386
Total liabilities	4,207		30,759
Total equity	$	41,197	$	(18,049	)

The following table presents summarized unaudited income statement information for Madison, which follows a calendar year:



	For the Twelve Months Ended
(In thousands)	December 31, 2017			December 31, 2016			December 31, 2015
Revenues	$	—		$	40,523		$	133,319
Income/(Expenses):
Cost of sales ⁽¹⁾	(13,396		)	(63,439		)	(126,292		)
General and administrative income/(expense) and other ⁽²⁾	55,058			(62,759		)	(13,550		)
Total income/(expense)	41,662			(126,198		)	(139,842		)
Operating income/(loss)	41,662			(85,675		)	(6,523		)
Other income/(expense)	18			2			689
Net income/(loss)	$	41,680		$	(85,673	)	$	(5,834	)

⁽¹⁾ Primarily represents Madison’s settlement of its pension obligations in 2017.

⁽²⁾ Primarily represents gains/(losses) from the sale of assets and closure of Madison in 2017 and 2016.

We received no distributions from Madison in 2017, 2016, or 2015.

Malbaie

We had a 49% equity interest in Malbaie, which we sold during the fourth quarter of 2017 for $20 million Canadian dollars ($15.6 million USD). We recognized a loss of $6.4 million before tax as a result of the sale. The other 51% equity interest was owned by Resolute FP Canada Inc., a subsidiary of Resolute Forest Products Inc. (“Resolute”), a Delaware corporation. Resolute is a large global manufacturer of paper, market pulp and wood products.

Other than from the sale of our equity interest in 2017, we received no distributions from Malbaie in 2017, 2016 or 2015.

Other

We purchased newsprint from Malbaie, and previously purchased supercalendered paper from Madison, at competitive prices. These purchases totaled approximately $11 million in 2017, $14 million in 2016 and $12 million in 2015.

Cost Method Investments

The aggregate carrying amount of cost method investments included in “Miscellaneous assets’’ in our Consolidated Balance Sheets were $13.6 million for December 31, 2017 and December 25, 2016.