

NOTE 3:	EQUITY METHOD INVESTMENTS

As of December 31, 2017, the Company had no investments accounted for using the equity method of accounting.

Illinois Corn Processing ("ICP") Investment

On July 3, 2017, the Company completed the sale of its 30 percent equity ownership interest in ICP to Pacific Ethanol Central, LLC ("Pacific Ethanol"), consistent with an Agreement and Plan of Merger ("Merger Agreement") entered into on June 26, 2017. The total transaction proceeds to the Company from the ICP sale transaction represented a return of its investment in ICP of $22,832 (net of fees and including additional dividends), which included a gain on sale of equity method investment of $11,381 (before tax), on the Company's 2017 Consolidated Statements of Income.

The Merger Agreement also contemplated a special distribution of all of ICP’s cash and cash equivalents to equity owners prior to the closing. On June 28 and June 30, 2017, the Company received cash dividend distributions from ICP of $6,600 and $830, respectively, that reduced its investment in ICP.

On February 26, 2016, the Company received a cash dividend distribution from ICP of $3,300 that reduced its investment in ICP as of December 31, 2016.

DMI Investment

On December 29, 2014, the Company gave notice to DMI and to the Company's partner in DMI, Crespel and Dieters GmbH & Co. KG ("C&D"), to terminate the joint venture effective June 30, 2015. On June 22, 2015, a termination agreement was executed by and between the Company, DMI, and C&D to dissolve DMI effective June 30, 2015. Commencing on June 30, 2015, normal operations for DMI ceased and a one year winding down process under German law began on October 29, 2015. On December 23, 2016, the Company received its portion of the remaining DMI liquidation proceeds, a return of its investment, in the amount of $351.

Related Party Transactions. See Note 14 for discussion of related party transactions.

Realizability of investments. No other than temporary impairments were recorded during 2017, 2016, and 2015 for the Company's equity method investments.

Summary Financial Information. Condensed financial information of the Company’s equity method investment in ICP:



	Year Ended December 31,
ICP’s Operating results:	2017			2016				2015
Net sales^(a)	$	78,062		$	177,401			$	166,905
Cost of sales and expenses^(b)	(79,224		)	(163,837		)		(146,098		)
Net income	$	(1,162	)	$	13,564		^(c)	$	20,807


^(a)	Includes related party sales to MGPI of $17,672, $27,675, and $38,941 for 2017, 2016, and 2015, respectively.


^(b)	Includes depreciation and amortization of $1,720, $3,030, and $2,634 for 2017, 2016, and 2015, respectively.


^(c)	Includes business interruption insurance proceeds of $4,112 for 2015.

The Company’s equity method investment earnings (losses):



	Year Ended December 31,
	2017			2016			2015
ICP (30% interest)	$	(348	)	$	4,069		$	6,242
DMI (50% interest)	—			(33		)	(140		)
Total	$	(348	)	$	4,036		$	6,102

The Company’s equity method investments:



	December 31,
	2017		2016
ICP (30% interest)	$	—	$	18,934