Note 12 - Investments in Affiliates

9 Months Ended

Sep. 30, 2020

Notes to Financial Statements

Investments in and Advances to Affiliates, Schedule of Investments [Text Block]

12.  Investments in Affiliates

Our investments in affiliates balance consists of equity method investments in the following types of entities:

(in thousands)	September 30, 2020		December 31, 2019		September 30, 2019
Foreign	$	46,000	$	55,335	$	55,769
Real estate		16,535		17,229		17,670
Asphalt terminal		13,929		11,612		11,475
Total investments in affiliates	$	76,464	$	84,176	$	84,914

The following table provides summarized balance sheet information for our affiliates accounted for under the equity method on a combined basis:

(in thousands)	September 30, 2020		December 31, 2019		September 30, 2019
Current assets	$	116,712	$	122,348	$	140,487
Noncurrent assets		165,292		165,331		168,715
Total assets		282,004		287,679		309,202
Current liabilities		48,478		48,322		61,738
Long-term liabilities (1)		55,206		61,078		60,230
Total liabilities		103,684		109,400		121,968
Net assets		178,320		178,279		187,234
Granite’s share of net assets	$	76,464	$	84,176	$	84,914

(1) The balance primarily related to local bank debt for equipment purchases and working capital in our foreign affiliates and debt associated with our real estate investments.

Of the $282.0 million of total affiliate assets as of September 30, 2020, we had investments in thirteen foreign entities with total assets ranging from $0.1 million to $66.0 million, three real estate entities with total assets ranging from $8.1 million to $35.7 million and the asphalt terminal entity had total assets of $31.6 million. We have direct and indirect investments in the foreign entities and our percent ownership ranged from 25% to 50% as of September 30, 2020. During the nine months ended September 30, 2020, we recorded a $9.6 million impairment charge related to our investment in foreign affiliates. See Note 4 for further discussion of the impairment charge. The equity method investments in real estate affiliates included $13.2 million, $13.6 million and $14.1 million in residential real estate in Texas as of  September 30, 2020, December 31, 2019 and September 30, 2019, respectively. Our percent ownership in the real estate entities ranged from 18% to 47% as of  September 30, 2020. The remaining balances were in commercial real estate in Texas.