Related Parties

3 Months Ended

Mar. 31, 2020

In the ordinary course of business and on an arms-length basis, the Company will mainly enter into related party transactions with the minority shareholders of the Company's ethanol operations and several equity method investments that the Company holds, along with other related parties.

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



	Three months ended March 31,
(in thousands)	2020		2019
Sales revenues	$	54,694	$	61,168
Service fee revenues (a)	—		4,112
Purchases of product and capital assets	15,577		169,229
Lease income (b)	147		1,014
Labor and benefits reimbursement (c)	—		3,857


(a)	Service fee revenues include management fees, corn origination fees, ethanol and distillers dried grains (DDG) marketing fees, and other commissions. These revenues are now eliminated in consolidation as a result of the TAMH merger.


(b)	Lease income includes certain railcars leased to related parties and the lease of the Company’s Albion, Michigan and Clymers, Indiana grain facilities from the prior period and are now eliminated in consolidation as a result of the TAMH merger.


(c)	Prior to the TAMH merger the Company provided all operations labor to the unconsolidated ethanol LLCs and charged them an amount equal to the Company's costs of the related services for the prior periods.



(in thousands)	March 31, 2020		December 31, 2019		March 31, 2019
Accounts receivable (d)	$	6,586	$	10,603	$	20,134
Accounts payable (e)	6,364		12,303		24,644


(d)	Accounts receivable represents amounts due from related parties for the sale of ethanol and other various items.

(e)

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