Noncontrolling Interest

12 Months Ended

Dec. 31, 2019

Noncontrolling Interest recorded in the consolidated financial statements relates to the following approximate interests in certain of the Company's consolidated subsidiaries, which are not owned by the Company. In circumstances where the governing documents of the entity to which the noncontrolling interest relates require special allocations of profits or losses to the controlling and noncontrolling interest holders, the net income or loss of these entities is allocated based on these special allocations.



	December 31,
	2019		2018		2017
Subsidiary:
Evercore LP	12	%	11	%	12	%
EWM⁽¹⁾	30	%	43	%	42	%
PCA⁽²⁾	—	%	10	%	25	%
RECA⁽³⁾	38	%	38	%	—	%

(1) Noncontrolling Interests represent a blended rate for multiple classes of interests.

(2) Noncontrolling Interests represent the Common Interests of Private Capital Advisory L.P.

(3) Noncontrolling Interests represent the Class R Interests of Private Capital Advisory L.P.

The Noncontrolling Interests for Evercore LP, EWM and RECA have rights, in certain circumstances, to convert into Class A Shares.

Changes in Noncontrolling Interest for the years ended December 31, 2019, 2018 and 2017 were as follows:



	For the Years Ended December 31,
	2019			2018			2017
Beginning balance	$	249,819		$	252,404		$	256,033

Comprehensive Income (Loss):
Net Income Attributable to Noncontrolling Interest	56,225			65,611			53,753
Other Comprehensive Income (Loss)	513			(203		)	3,375
Total Comprehensive Income	56,738			65,408			57,128

Evercore LP Units Purchased or Converted into Class A Shares	(15,142		)	(46,594		)	(47,263		)

Amortization and Vesting of LP Units/Interests	27,890			19,860			14,922

Other Items:
Distributions to Noncontrolling Interests	(54,706		)	(41,413		)	(36,374		)
Issuance of Noncontrolling Interest	3,368			1,165			8,460
Purchase of Noncontrolling Interest	(11,433		)	(1,011		)	(281		)
Other, net	—			—			(221		)
Total Other Items	(62,771		)	(41,259		)	(28,416		)

Ending balance	$	256,534		$	249,819		$	252,404

Other Comprehensive Income – Other Comprehensive Income (Loss) attributed to Noncontrolling Interest includes Unrealized Gain (Loss) on Securities and Investments, net, of ($82), ($43) and $75 for the years ended December 31, 2019, 2018 and 2017, respectively, and Foreign Currency Translation Adjustment Gain (Loss), net, of $595, ($160) and $3,300 for the years ended December 31, 2019, 2018 and 2017, respectively.

Interests Issued – During 2019, 32 Class A LP Units were issued, primarily related to the purchase of EWM Class A Units. See Interests Purchased below for further information.

During 2018, in conjunction with the establishment of the RECA business, certain employees of that business purchased Class R Interests, at fair value, in Private Capital Advisory L.P., resulting in an increase to Noncontrolling Interest of $770 on the Company's Consolidated Statement of Financial Condition as of December 31, 2018.

Interests Purchased – On May 31, 2019, the Company purchased, at fair value, the remaining 10% of the Private Capital Advisory L.P. Common Interests for $28,382. This purchase resulted in a decrease to Noncontrolling Interest of $6,674 and a decrease to Additional Paid-In-Capital of $21,708, on the Company's Consolidated Statement of Financial Condition as of December 31, 2019.

On May 31, 2019, the Company also purchased, at fair value, an additional 17% of the EWM Class A Units for $24,533 (in cash of $21,832 and the issuance of 31 Class A LP Units having a fair value of $2,701). This purchase resulted in a net decrease to Noncontrolling Interest of $4,759 and a decrease to Additional Paid-In-Capital of $19,774, on the Company's Consolidated Statement of Financial Condition as of December 31, 2019.

On March 29, 2018, the Company purchased, at fair value, an additional 15% of the Private Capital Advisory L.P. Common Interests for $25,525. This purchase resulted in a decrease to Noncontrolling Interest of $298 and a decrease to Additional Paid-In-Capital of $25,227 on the Company's Consolidated Statement of Financial Condition as of December 31, 2018.

On March 3, 2017, the Company purchased, at fair value, an additional 13% of the Private Capital Advisory L.P. Common Interests for $7,071, and on December 11, 2017, the Company purchased, at fair value, an additional 1% of the Private Capital Advisory L.P. Common Interests for $1,429. These purchases resulted in a decrease to Noncontrolling Interest of $281 and a

decrease to Additional Paid-In-Capital of $8,219 on the Company's Consolidated Statements of Financial Condition as of December 31, 2017.

During the year ended December 31, 2017, the Company purchased 32 LP Units and certain other rights from noncontrolling interest holders, resulting in a decrease to Noncontrolling Interest of $2,523 on the Company's Consolidated Statement of Financial Condition as of December 31, 2017.

In addition, LP Units were exchanged for Class A Shares during the years ended December 31, 2019, 2018 and 2017, respectively. See Note 16 for further information.