Investment in Savoy (Savoy [Member])

3 Months Ended

Mar. 31, 2015

Savoy [Member]

(4)Equity Investment in Savoy

We currently own a 40% interest in Savoy Energy, L.P., a private company engaged in the oil and gas business primarily in the state of Michigan. Savoy uses the successful efforts method of accounting. Our 45% ownership was decreased to 40% on October 1, 2014 due to the exercise of options by Savoy’s management. We account for our interest using the equity method of accounting.

Below (in thousands) to the 100% is a condensed balance sheet at March 31, and a condensed statement of operations for the three months ended March 31, 2015 and 2014.



Condensed Balance Sheet

	2015

Current assets	$	11,698
Oil and gas properties, net		27,578
	$	39,276

Total liabilities	$	5,538
Partners' capital		33,738
	$	39,276



Condensed Statement of Operations

	2015		2014

Revenue	$	4,360	$	12,438
Expenses		(4,027)		(7,161)
Net income	$	333	$	5,277

- Definition

The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group.

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