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Investment in Unconsolidated Affiliates
 6 Months Ended
Jul. 01, 2017
Equity Method Investments and Joint Ventures [Abstract]  
Investment in Unconsolidated Affiliates
Investment in Unconsolidated Affiliates

The Company owns a 50 percent interest in Tecumseh Products Holdings LLC (Joint Venture), an unconsolidated affiliate that acquired Tecumseh Products Company (Tecumseh) during the third quarter of 2015.  The Company also owns a 50 percent interest in a second unconsolidated affiliate that provided financing to Tecumseh in conjunction with the acquisition.  These investments are recorded using the equity method of accounting, as the Company can exercise significant influence but does not own a majority equity interest or otherwise control the respective entities.  Under the equity method of accounting, these investments are stated at initial cost and are adjusted for subsequent additional investments and the Company’s proportionate share of earnings or losses and distributions.

The Company records its proportionate share of the investees’ net income or loss one quarter in arrears as income (loss) from unconsolidated affiliates, net of tax, in the Condensed Consolidated Statements of Income and its proportionate share of the investees’ other comprehensive income (loss), net of income taxes, in the Condensed Consolidated Statements of Comprehensive Income. In general, the equity investment in unconsolidated affiliates is equal to the current equity investment plus the entities’ undistributed earnings. 

The following tables present summarized financial information derived from the Company’s equity method investees’  combined consolidated financial statements, which are prepared in accordance with U.S. GAAP.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
 
July 1,
2017
 
December 31, 2016
 
 
 
 
 
Current assets
 
$
247,006

 
$
244,323

Noncurrent assets
 
132,800

 
130,400

Current liabilities
 
168,610

 
148,806

Noncurrent liabilities
 
61,364

 
71,681


 
 
For the Quarter Ended
 
For the Six Months Ended
(In thousands)
 
July 1, 2017

 
July 2, 2016

 
July 1, 2017
 
July 2, 2016
 
 
 
 
 
 
 
 
 
Net sales
 
$
132,600

 
$
138,900

 
$
258,900

 
$
290,500

Gross profit 
 
19,600

 
19,500

 
35,200

 
37,500

Net (loss) income
 
(217
)
 
(1,990
)
 
(2,704
)
 
3,854



The Company’s income from unconsolidated affiliates, net of tax, for the six months ended July 2, 2016 included a gain of $17.1 million that resulted from the allocation of the purchase price, which was partially offset by restructuring and impairment charges of $5.3 million and net losses of $8.0 million.

On December 30, 2015, the Company entered into a joint venture agreement with Cayan Ventures and Bahrain Mumtalakat Holding Company to build a copper tube mill in Bahrain. The business will operate and brand its products under the Mueller Industries family of brands. The Company has invested approximately $2.2 million of cash to date and will be the technical and marketing lead in return for 40 percent ownership in the joint venture.