Noncontrolling Interest

12 Months Ended

Dec. 31, 2013

Noncontrolling interest

Prior to the completion of its IPO and related transactions on July 23, 2013, UCP, LLC was a wholly owned subsidiary of PICO. Subsequent to the IPO and related transaction, the Company holds a 42.3% economic interest in UCP, LLC and is its sole managing member; UCP, LLC is fully consolidated. In accordance with applicable accounting guidance, these transactions are accounted for at historical cost which resulted in recording an initial carrying value for the noncontrolling interest of $125.7 million and a $782,000 increase in members’ equity during the year ended December 31, 2013.

The initial carrying value and ending balance at December 31, 2013 of the noncontrolling interest was calculated as follows (in thousands):



Carrying value of UCP, LLC (includes net proceeds for exchange of UCP, LLC Series B Units)	$	217,816
Voting ownership percentage of noncontrolling interest	57.7		%
Initial carrying value of noncontrolling interest	125,680
Loss attributable to noncontrolling interest	(137		)
Stock-based compensation related to noncontrolling interest	919
Ending balance of noncontrolling interest at December 31, 2013	$	126,462

For details of IPO and related transactions and its subsequent impact, and the Company’s TSA and TRA with PICO, please refer to Note 1.

- Definition

The entire disclosure for noncontrolling interest in consolidated subsidiaries, which could include the name of the subsidiary, the ownership percentage held by the parent, the ownership percentage held by the noncontrolling owners, the amount of the noncontrolling interest, the location of this amount on the balance sheet (when not reported separately), an explanation of the increase or decrease in the amount of the noncontrolling interest, the noncontrolling interest share of the net Income or Loss of the subsidiary, the location of this amount on the income statement (when not reported separately), the nature of the noncontrolling interest such as background information and terms, the amount of the noncontrolling interest represented by preferred stock, a description of the preferred stock, and the dividend requirements of the preferred stock.

+ References+ Details