Summarized Statements of Operations and Balance Sheet Data

The following are summarized statements of operations and summarized balance sheet data for VAST LLC (thousands of dollars):

	Years Ended
	July 1, 2018			July 2, 2017		July 3, 2016
Net sales	$	174,896		$	128,963	$	114,338
Cost of goods sold		134,185			101,910		94,060
Gross profit		40,711			27,053		20,278
Engineering, selling and administrative expense		26,450			19,710		15,866
Impairment charge		—			—		6,000
Income (loss) from operations		14,261			7,343		(1,588	)
Other income (expense), net		1,757			1,662		(115	)
Income (loss) before provision for income taxes		16,018			9,005		(1,703	)
Provision for income taxes		2,632			1,235		168
Net income (loss)	$	13,386		$	7,770	$	(1,871	)
STRATTEC’s share of VAST LLC net
income (loss)	$	4,463		$	2,590	$	(624	)
Intercompany profit eliminations		(22	)		3		(15	)
STRATTEC’s equity earnings (loss) of VAST LLC	$	4,441		$	2,593	$	(639	)

	July 1, 2018		July 2, 2017
Cash and cash equivalents	$	8,959	$	11,757
Receivables, net		43,930		41,942
Inventories, net		20,510		15,185
Other current assets		16,020		11,782
Total current assets		89,419		80,666
Property, plant and equipment, net		42,923		31,017
Other long-term assets		14,974		12,850
Total assets	$	147,316	$	124,533
Current liabilities	$	74,721	$	70,753
Long-term liabilities		5,654		2,960
Total liabilities	$	80,375	$	73,713
Net assets	$	66,941	$	50,820
STRATTEC’s share of VAST LLC net assets	$	22,314	$	16,940

Summarized Statements of Operations and Balance Sheet Data

The following are summarized statements of operations and summarized balance sheet data for SAL LLC (thousands of dollars):

	Years Ended
	July 1, 2018			July 2, 2017			July 3, 2016
Net sales	$	89		$	369		$	603
Cost of goods sold		67			610			382
Gross profit (loss)		22			(241	)		221
Engineering, selling and administrative expense		17			1,534			1,311
Earnings (Loss) from operations		5			(1,775	)		(1,090	)
Other expense, net		(258	)		(155	)		(34	)
Net loss	$	(253	)	$	(1,930	)	$	(1,124	)
STRATTEC’s share of SAL LLC earnings (loss)	$	91		$	(1,927	)	$	(1,124	)
Loss on loan to SAL LLC		—			—			(225	)
Loss on guarantee of SAL LLC credit facility		—			—			(247	)
STRATTEC’s equity earnings (loss) of SAL LLC	$	91		$	(1,927	)	$	(1,596	)

	July 1, 2018			July 2, 2017
Cash and cash equivalents	$	5		$	11
Receivables, net		40			11
Inventories, net		87			345
Total assets	$	132		$	367
Current liabilities	$	3,208		$	3,189
Net liabilities	$	(3,076	)	$	(2,822	)
STRATTEC’s share of SAL LLC net liabilities	$	(1,569	)	$	(1,439	)

Summarize of Related Party Transaction

We have sales of component parts to VAST LLC and SAL LLC, purchases of component parts from VAST LLC, expenses charged to VAST LLC for engineering and accounting services and expenses charged from VAST LLC to STRATTEC for general headquarter expenses. The following tables summarize the related party transactions with VAST LLC and SAL LLC for the periods indicated (thousands of dollars):

	Years Ended
	July 1, 2018		July 2, 2017		July 3, 2016
Sales to VAST LLC	$	3,151	$	1,966	$	304
Sales to SAL LLC	$	98	$	234	$	363
Purchases from VAST LLC	$	183	$	245	$	149
Expenses charged to VAST LLC	$	984	$	843	$	1,034
Expenses charged from VAST LLC	$	886	$	1,134	$	1,526

	July 1, 2018		July 2, 2017
Accounts receivable from VAST LLC	$	53	$	—
Accounts receivable from SAL LLC ^(A)	$	—	$	—
Current loan receivable from SAL LLC^(A)	$	—	$	—
Long-term loan receivable from VAST LLC	$	—	$	300
Accounts payable to VAST LLC	$	87	$	—

^(A)

As of July 1, 2018, outstanding loan and accounts receivable balances due from SAL LLC to STRATTEC totaled $2.6 million and $82,000, respectively. As of July 2, 2017, outstanding loan and accounts receivable balances due from SAL LLC to STRATTEC totaled $2.6 million and $185,000, respectively. As of July 1, 2018 and July 2, 2017, these outstanding balances have been offset against our investment in SAL LLC, which is included in Other Current Liabilities in the Consolidated Balance Sheet.