Effective January 1, 2017, Culp International Holdings, Ltd. (“Culp International”), a wholly-owned subsidiary of the company, entered into a joint venture agreement pursuant to which Culp International owned fifty percent of Class International Holdings, Ltd. (“CIH”). CIH produces cut and sewn mattress covers in an 80,000 square foot facility located in a modern industrial park on the northeastern border of Haiti, which borders the Dominican Republic. CIH complements our mattress fabric operations with a reactive platform that enhances our ability to meet customer demand while adding a lower cost operation to our platform.

On December 20, 2019, CIH entered into an agreement to construct an additional plant facility totaling 40,000 square feet, which was completed during September 2020. This new plant facility is near our existing operations and provides additional capacity that enhances our ability to produce sewn covers. This agreement required payments totaling $1.2 million, of which $600,000 was paid in February 2020, $180,000 was paid in May 2020, and $420,000 was paid in September 2020.

CIH reported net income totaling $62,000 for the nine-month period ending January 31, 2021, and a net loss of $120,000 for the nine-month period ending February 2, 2020. Our equity interest in CIH’s net income was $31,000 for the nine-month period ending January 31, 2021. Our equity interest in CIH’s net loss was $59,000 for the nine-month period ending February 2, 2020.

The following table summarizes information on assets, liabilities, and members’ equity of our equity method investment in CIH:

(dollars in thousands)	January 31, 2021		February 2, 2020		May 3, 2020
Total assets	$	3,652	$	3,502	$	3,338
Total liabilities	$	205	$	167	$	133
Total members’ equity	$	3,447	$	3,335	$	3,205

As of January 31, 2021, February 2, 2020, and May 3, 2020, our investment in CIH totaled $1.7 million, $1.7 million, and $1.6 million, respectively, which represents the company’s fifty percent ownership interest in CIH.

Effective February 1, 2021, Culp International entered into a Share Purchase Agreement in which Culp International acquired the remaining fifty percent ownership interest in CIH. The purchase price for the remaining fifty percent interest in CIH was $948,000, subject to certain working capital adjustments as defined in the Share Purchase Agreement. Pursuant to this transaction, Culp International is now the sole owner with full control over this Haiti operation. We believe having sole ownership of this operation increases our flexibility and enhances our capacity to meet the growing customer demand for cut and sewn mattress covers. Additionally, CIH entered into a supply agreement with its former joint venture partner to provide cut and sewn mattress covers pursuant to terms under this agreement.