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Investments in Affiliated Companies
 12 Months Ended
Dec. 31, 2020
Equity Method Investments and Joint Ventures [Abstract]  
Investments in Affiliated Companies Investments in Affiliated Companies
Investments in affiliated companies substantially comprises investments in domestic and foreign affiliates, and primarily include entities that lease aircraft spare engines.

The following table presents our investments in affiliated companies and our ownership percentage in those companies by segment as of December 31 (in millions):
Segment20202019Percentage
Ownership
Rolls-Royce & Partners Finance (1)Portfolio Management$584.7 $512.4 50.0 %
Adler Funding LLC (2)Rail North America— 0.2 12.5 %
Investments in Affiliated Companies$584.7 $512.6 
__________
(1) Combined investment balances of a group of 50% owned domestic and foreign joint ventures with Rolls-Royce plc (collectively, the "RRPF affiliates").
(2) During 2020, Adler Funding LLC was legally dissolved, and final proceeds were distributed. As such, we no longer have an investment in this affiliate as of December 31, 2020.

The following table shows our share of affiliates’ earnings by segment for the years ended December 31 (in millions):
202020192018
Rail North America$(0.1)$— $0.6 
Portfolio Management95.9 94.5 60.5 
Share of affiliates' pre-tax income95.8 94.5 61.1 
Income taxes(33.6)(18.0)(10.8)
Share of affiliates' earnings, net of taxes$62.2 $76.5 $50.3 
The following table shows our cash investments in and distributions and loan payments from our affiliates by segment for the years ended December 31 (in millions):
Cash InvestmentsCash Distributions
202020192018202020192018
Rail North America (1)$— $— $— $0.1 $— $6.3 
Portfolio Management— — 14.1 0.6 27.6 35.2 
Total$— $— $14.1 $0.7 $27.6 $41.5 
__________
(1) Loan payments received from affiliates in 2018.

Summarized Financial Data of Affiliates

The following table shows the aggregated operating results for the years ended December 31 for the affiliated companies we held at December 31 (in millions):
202020192018
Revenues$491.0 $469.8 $436.9 
Net gains on sales of assets115.7 86.4 12.2 
Net income146.1 161.4 120.5 

The following table shows aggregated summarized balance sheet data for our affiliated companies as of December 31 (in millions):
20202019
Current assets$352.7 $203.6 
Noncurrent assets4,766.9 5,015.9 
Total assets$5,119.6 $5,219.5 
Current liabilities$311.0 $525.5 
Noncurrent liabilities3,674.7 3,703.6 
Shareholders’ equity1,133.9 990.4 
Total liabilities and shareholders' equity$5,119.6 $5,219.5 

Summarized Financial Data for the RRPF Affiliates

Our affiliate investments include interests in each of the RRPF affiliates, a group of 50% owned domestic and foreign joint ventures with Rolls-Royce plc (or affiliates thereof, collectively “Rolls-Royce”), a leading manufacturer of commercial aircraft jet engines. The RRPF affiliates are primarily engaged in two business activities: lease financing of aircraft spare engines to a diverse group of commercial aircraft operators worldwide and lease financing of aircraft spare engines to Rolls-Royce for use in their engine maintenance programs. In aggregate, the RRPF affiliates owned 445 aircraft engines at December 31, 2020, of which 215 were on lease to Rolls-Royce. Aircraft engines are generally depreciated over a useful life of 18 to 25 years to an estimated residual value. Lease terms vary but typically range from 3 to 12 years. Rolls-Royce manages each of the RRPF affiliates and also performs substantially all required maintenance activities. Our share of affiliates' earnings (after-tax) from the RRPF affiliates was $62.0 million in 2020, $76.5 million in 2019, and $49.8 million in 2018. Financial results for the current year included a transaction involving the refinancing and sale of a group of aircraft spare engines at the RRPF affiliates. In this transaction, the RRPF affiliates sold 21 aircraft spare engines for total proceeds of $233.0 million in 2020. GATX's 50% share of the resulting pre-tax net gains were $35.3 million.
We derived the following financial information from the combined financial statements of the RRPF affiliates.

The following table shows condensed income statements of the RRPF affiliates for the years ending December 31 (in millions):
202020192018
Lease revenue from third parties$257.6 $213.3 $178.6 
Lease revenue from Rolls-Royce233.4 256.7 232.7 
Depreciation expense(248.7)(223.9)(195.6)
Interest expense(116.0)(126.4)(94.3)
Other expenses(50.3)(16.5)(12.6)
Other income, including net gains on sales of assets115.7 86.4 12.5 
Income before income taxes191.7 189.6 121.3 
Income taxes (1)(45.6)(27.9)(18.1)
Net income$146.1 $161.7 $103.2 
_________
(1)Represents income taxes directly attributable to the RRPF affiliates in the United Kingdom. Certain of the RRPF affiliates are disregarded entities for income tax purposes and, as a result, income taxes are incurred at the shareholder level.

The following table shows the condensed balance sheets of the RRPF affiliates as of December 31 (in millions):
  20202019
Current assets$352.7 $202.6 
Noncurrent assets, including operating assets, net of accumulated depreciation of $1,283.6 and $1,178.5 (a)4,766.9 5,015.9 
Total assets$5,119.6 $5,218.5 
Accounts payable and accrued expenses$110.4 $96.2 
Debt:
   Current 200.6 429.3 
   Noncurrent, net of adjustments for hedges3,243.6 3,367.5 
Other liabilities431.1 336.1 
Shareholders’ equity1,133.9 989.4 
Total liabilities and shareholders' equity$5,119.6 $5,218.5 
_________
(a) All operating assets were pledged as collateral for long-term debt obligations.

    The following table shows contractual future lease receipts from noncancelable leases of the RRPF affiliates as of December 31, 2020 (in millions):
Rolls-RoyceThird PartiesTotal
2021$228.9 $213.3 $442.2 
2022217.1 198.9 416.0 
2023193.9 186.1 380.0 
2024186.9 173.1 360.0 
2025165.1 154.3 319.4 
Thereafter
266.1 548.9 815.0 
Total
$1,258.0 $1,474.6 $2,732.6 
The following table shows the scheduled principal payments of debt obligations of the RRPF affiliates as of December 31, 2020 (in millions):
2021$203.3 
2022362.0 
2023389.7 
2024293.6 
2025210.6 
Thereafter
1,995.5 
Total debt principal (1)
$3,454.7 
_______
(1) All debt obligations are nonrecourse to the shareholders.