6. INVESTMENT IN JOINT VENTURES

6 Months Ended

Jun. 30, 2015

Equity Method Investments and Joint Ventures [Abstract]

INVESTMENT IN JOINT VENTURES

We have ten unconsolidated joint ventures where our ownership interests range from 35% to 50%. These joint ventures represent partnerships with hospitals, health systems or radiology practices and were formed for the purpose of owning and operating diagnostic imaging centers. Professional services at the joint venture diagnostic imaging centers are performed by contracted radiology practices or a radiology practice that participates in the joint venture. Our investment in these joint ventures is accounted for under the equity method.

The following table is a roll forward of our investment in joint ventures during the six months ended June 30, 2015 (in thousands):

Balance as of December 31, 2014	$	32,123
Equity in earnings in these joint ventures		4,309
Distribution of earnings		(6,195	)
Equity contributions in existing joint ventures		265
Balance as of June 30, 2015	$	30,502

We earned management service fees from the centers underlying these joint ventures of approximately $1.4 million and $2.2 million for the three months ended June 30, 2015 and 2014, respectively, and $3.8 million and $4.6 million for the six months ended June 30, 2015 and 2014, respectively. At the end of the period we eliminate from total fees recorded the uncollected portion of these fees that are associated with our ownership interests and offset this with an increase to our equity earnings.

The following table is a summary of key financial data for these joint ventures as of June 30, 2015 (in thousands) and for the six months ended June 30, 2015 and 2014 (in thousands):

Balance Sheet Data:	June 30, 2015
Current assets	$	18,987
Noncurrent assets		48,583
Current liabilities		(8,501	)
Noncurrent liabilities		(5,144	)
Total net assets	$	53,925
Book value of RadNet joint venture interests	$	25,532
Cost in excess of book value of acquired joint venture interests		4,970
Total value of Radnet joint venture interests	$	30,502
Total book value of other joint venture partner interests	$	28,393

Income statement data for the six months ended June 30,	2015		2014
Net revenue	$	56,639	$	48,835
Net income	$	9,476	$	5,738