Investments Investments

6 Months Ended

Dec. 31, 2017

Investments, Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments and Joint Ventures Disclosure [Text Block]

Investments

Investments represent the Company’s investments in unconsolidated affiliated companies.

Financial information of the unconsolidated affiliated companies is accounted for by the equity method, generally on a lag of one month or less. The following table sets forth the unaudited results of operations of unconsolidated affiliated companies for the three and six months ended December 31, 2017 and January 1, 2017 (in thousands):

	Three Months Ended				Six Months Ended
	December 31, 2017		January 1, 2017		December 31, 2017		January 1, 2017
Results of Operations:
Sales	$	75,579	$	74,487	$	156,426	$	150,748
Cost of Goods Sold	57,699		55,097		119,681		113,408
Gross Profit	$	17,880	$	19,390	$	36,745	$	37,340
Net Income	$	4,881	$	5,541	$	9,897	$	8,940

The following table sets forth the unaudited balance sheets of unconsolidated affiliated companies as of December 31, 2017 and July 2, 2017 (in thousands):

	December 31, 2017		July 2, 2017
Financial Position:
Assets:
Current Assets	$	127,524	$	157,117
Noncurrent Assets	50,004		54,748
	177,528		211,865
Liabilities:
Current Liabilities	$	39,469	$	61,346
Noncurrent Liabilities	22,714		25,399
	62,183		86,745
Equity	$	115,345	$	125,120

The Company concluded that its equity method investments are integral to its business. The equity method investments provide manufacturing and distribution functions, which are important parts of its operations. Net sales to equity method investees were approximately $37.0 million and $50.0 million for the six months ended December 31, 2017 and January 1, 2017, respectively. Purchases of finished products from equity method investees were approximately $57.3 million and $54.1 million million for the six months ended December 31, 2017 and January 1, 2017, respectively.