Investments in Affiliates

3 Months Ended

Mar. 31, 2014

Equity Method Investments and Joint Ventures [Abstract]

Investments in Affiliates

Investment in Affiliates, net

Investments in affiliates are accounted for under the equity method of accounting as we are deemed to have significant influence over the affiliate but do not control or have a majority voting interest in the affiliate. Investments are carried at the cost of acquisition, including subsequent capital contributions and loans from us, plus our equity in undistributed earnings or losses since inception of the investment. We recorded equity in earnings of affiliates, net of tax of $2.4 million and $8.8 million for the three months ended March 31, 2014 and 2013, respectively. Income tax expense of $1.5 million and $5.4 million was recorded on these earnings for the three months ended March 31, 2014 and 2013, respectively.

One of our subsidiaries owns a 50.1% interest in RELS LLC ("RELS"), a joint venture that provides products and services used in connection with loan originations. This investment in affiliate contributed 87.6% and 69.8% of our total equity in earnings of affiliates, net of tax, for the three months ended March 31, 2014 and 2013, respectively. Based on the terms and conditions of the RELS joint venture agreement, we have significant influence over but do not have control of, nor a majority voting interest in, the joint venture.

The following summarized financial information for this investment (assuming 100% ownership interest), has been revised to correct an error in the financial statements prepared by RELS related to the presentation of expenses and other from a net basis to a gross basis for certain costs. The effect of the change is an increase to previously reported revenue and an increase to previously reported expenses and other of $1.8 million for the three months ended March 31, 2013. There is no net income impact and therefore no impact on the total equity in earnings of affiliates recorded by the Company for this investment. Accordingly, this investment is accounted for under the equity method. The summarized information is as follows: 

	For the Three Months Ended
	March 31,
(in thousands)	2014		2013
Statements of income
Total revenues	$	47,523	$	93,184
Expenses and other	40,808		72,772
Net income attributable to RELS LLC	$	6,715	$	20,412
CoreLogic equity in earnings of affiliate, pre-tax	$	3,364	$	10,226

In March 2014, we acquired certain equity interests, assets and intellectual property; which we collectively refer to as "MSB/DataQuick." See Note 13 - Acquisitions for additional information. The acquisition included a 29.4% interest in Symbility Solutions Inc. ("Symbility"). In connection with the purchase price allocation, we preliminarily recorded $18.3 million to reflect our basis in Symbility, which we account for under the equity method of accounting aswe have significant influence over but do not have control of, or a majority voting interest in, Symbility.

See Note 10 - Fair Value of Financial Instruments for further discussion on investment in affiliates, net measured at fair value on a nonrecurring basis.