Arrangements with Variable Interest Entities and Joint Ventures

As described in Note 2, the Company consolidates its controlling membership interest in STX Wireless in accordance with the authoritative guidance for consolidations based on the voting interest model. All intercompany accounts and transactions have been eliminated in the consolidated financial statements.

Prior to October 1, 2012, the Company consolidated its non-controlling membership interest in Savary Island in accordance with the authoritative guidance for the consolidation of variable interest entities because Savary Island was a variable interest entity and, among other factors, the Company had entered into an agreement with Savary Island's other member that established a specified purchase price in the event that it exercised its right to sell its membership interest to the Company. As described in Note 6, in October 2012, Cricket acquired the remaining 15% controlling membership interest in Savary Island that it did not previously own, and accordingly, Savary Island and its wholly owned subsidiaries became direct and indirect wholly owned subsidiaries of Cricket. Savary Island and its subsidiaries were merged with and into Cricket, with Cricket as the surviving entity, on December 28, 2012. As such, as of December 31, 2012, the Company did not consolidate any variable interest entities.

The aggregate carrying amount and classification of the assets and liabilities of Savary Island, excluding intercompany accounts and transactions, as of December 31, 2011 are presented in the table below (in thousands):



	December 31, 2011
Assets
Cash and cash equivalents	$	7,084
Wireless licenses	41,947
Assets held for sale (1)	85,190
Total assets	$	134,221
Liabilities
Other current liabilities	$	5
Total liabilities	$	5


(1)	Represents the carrying value of wireless licenses sold by Savary Island to Verizon Wireless on August 28, 2012 under the license sale transaction discussed in Note 6.

The following table provides a summary of the changes in value of the Company's redeemable non-controlling interests (in thousands):



	Year Ended December 31,
	2012			2011
Beginning balance, January 1	$	95,910		$	104,788
Accretion of redeemable non-controlling interests, before tax	28			(7,844		)
Purchase of membership units of non-controlling interests	(5,250		)	—
Loans made to joint venture partner	(8,255		)	—
Optional distribution made to joint venture partner	(16,243		)	—
Other	(1,673		)	(1,034		)
Ending balance, December 31,	$	64,517		$	95,910