Related Party Transactions (Tables)

9 Months Ended

Sep. 30, 2017

Company's investment balance in each of its equity method investees by entity

The following table presents combined summarized unaudited financial information of these investments for the three and nine months ended September 30, 2017 and 2016:



(in thousands)	Three months ended September 30,				Nine months ended September 30,
(in thousands)	2017		2016		2017		2016
Revenues	$	1,601,778	$	1,646,697	$	4,603,808	$	4,676,583
Gross profit	58,826		50,141		155,568		127,963
Income from continuing operations	9,501		18,965		15,507		1,428
Net income (loss)	7,918		17,217		14,878		(2,924		)
Net income (loss) attributable to companies	9,545		17,752		15,781		(1,347		)

The following table presents the Company’s investment balance in each of its equity method investees by entity:



(in thousands)	September 30, 2017		December 31, 2016		September 30, 2016
The Andersons Albion Ethanol LLC	$	42,302	$	38,972	$	36,661
The Andersons Clymers Ethanol LLC	17,837		19,739		21,340
The Andersons Marathon Ethanol LLC	12,390		22,069		23,812
Lansing Trade Group, LLC	89,541		89,050		91,573
Thompsons Limited (a)	50,399		46,184		47,494
Other	2,562		917		4,234
Total	$	215,031	$	216,931	$	225,114

(a) Thompsons Limited and related U.S. operating company held by joint ventures

Income (loss) earned from the Company's equity method investments by entity

The following table summarizes income (loss) earned from the Company’s equity method investments by entity:



		Three months ended September 30,						Nine months ended September 30,
(in thousands)	% Ownership at September 30, 2017	2017			2016			2017			2016
The Andersons Albion Ethanol LLC	55%	$	1,473		$	2,528		$	3,331		$	3,857
The Andersons Clymers Ethanol LLC	39%	1,822			2,706			2,597			3,516
The Andersons Marathon Ethanol LLC	33%	985			2,655			1,301			2,557
Lansing Trade Group, LLC	33% (a)	305			689			491			(7,412		)
Thompsons Limited (b)	50%	(940		)	(156		)	546			1,271
Other	5% - 50%	(59		)	—			(173		)	—
Total		$	3,586		$	8,422		$	8,093		$	3,789

(a) This does not consider restricted management units which once vested will reduce the ownership percentage by approximately 0.6%

(b) Thompsons Limited and related U.S. operating company held by joint ventures

Schedule of aggregate summarized financial information of subsidiaries

The following table sets forth the related party transactions entered into for the time periods presented:



	Three months ended September 30,				Nine months ended September 30,
(in thousands)	2017		2016		2017		2016
Sales revenues	$	225,367	$	177,724	$	665,331	$	549,426
Service fee revenues (a)	14,397		3,800		28,433		13,290
Purchases of product	165,084		128,081		467,495		346,590
Lease income (b)	1,850		1,300		4,559		4,662
Labor and benefits reimbursement (c)	3,208		2,862		10,071		9,702
Other expenses (d)	—		—		—		149


(a)	Service fee revenues include management fees, corn origination fees, ethanol and distillers dried grains (DDG) marketing fees, and other commissions.


(b)	Lease income includes the lease of the Company’s Albion, Michigan and Clymers, Indiana grain facilities as well as certain railcars to the various ethanol LLCs and IANR.


(c)	The Company provides all operational labor to the unconsolidated ethanol LLCs and charges them an amount equal to the Company’s costs of the related services.


(d)	Other expenses include payments to IANR for repair facility rent and use of their railroad reporting mark, payment to LTG for the lease of railcars and other various expenses.



(in thousands)	September 30, 2017		December 31, 2016		September 30, 2016
Accounts receivable (e)	$	18,694	$	26,254	$	18,028
Accounts payable (f)	27,413		23,961		15,352


(e)	Accounts receivable represents amounts due from related parties for sales of corn, leasing revenue and service fees.


(f)	Accounts payable represents amounts due to related parties for purchases of ethanol and other various items.

The following table presents combined summarized unaudited financial information of these investments for the three and nine months ended September 30, 2017 and 2016:



(in thousands)	Three months ended September 30,				Nine months ended September 30,
(in thousands)	2017		2016		2017		2016
Revenues	$	1,601,778	$	1,646,697	$	4,603,808	$	4,676,583
Gross profit	58,826		50,141		155,568		127,963
Income from continuing operations	9,501		18,965		15,507		1,428
Net income (loss)	7,918		17,217		14,878		(2,924		)
Net income (loss) attributable to companies	9,545		17,752		15,781		(1,347		)