The Company accounts for the following investments in affiliated companies under the equity method of accounting.

Graphic Packaging International, LLC

On January 1, 2018, the Company completed the transfer of its North American Consumer Packaging business, which includes its North American Coated Paperboard and Foodservice businesses, to a subsidiary of Graphic Packaging International Partners, LLC (GPIP) in exchange for a 20.5% ownership interest in GPIP. GPIP subsequently transferred the North American Consumer Packaging business to Graphic Packaging International, LLC (GPI), a wholly-owned subsidiary of GPIP that holds the assets of the combined business. The Company recorded equity earnings of $15 million and $17 million for the three months and six months ended June 30, 2018, respectively. The Company received cash dividends from GPIP of $6 million for the three months and six months ended June 30, 2018. At June 30, 2018, the Company's investment in GPI was $1.1 billion, which was $528 million more than the Company's proportionate share of the entity's underlying net assets. The difference primarily relates to the basis difference between the fair value of our investment and the underlying net assets and is generally amortized in equity earnings over a period consistent with the underlying long-lived assets. The Company is party to various agreements with GPI under which it sells fiber and other products to GPI. Sales under these agreements were $58 million and $118 million for the three months and six months ended June 30, 2018, respectively.

Summarized financial information for Graphic Packaging International, LLC is presented in the following tables:

Balance Sheet



In millions	June 30, 2018
Current assets	$	1,805
Noncurrent assets	5,255
Current liabilities	1,000
Noncurrent liabilities	3,174

Income Statement



	Three Months Ended June 30,		Six Months Ended June 30,
In millions	2018		2018
Net sales	$	1,509	$	2,985
Gross profit	235		458
Income from continuing operations	81		143
Net income	81		143

Ilim Holding S.A.

The Company has a 50% equity interest in Ilim Holding S.A. and it’s subsidiaries (Ilim) whose primary operations are in Russia. The Company recorded equity earnings (losses), net of taxes, of $57 million and $21 million for the three months ended June 30, 2018 and 2017, respectively and $149 million and $71 million for the six months ended June 30, 2018 and 2017, respectively. The Company received cash dividends from the joint venture of $116 million and $127 million during the first six months of 2018 and 2017, respectively. At June 30, 2018 and December 31, 2017, the Company's investment in Ilim was $374 million and $338 million, respectively, which was $154 million and $154 million, respectively, more than the Company's proportionate share of the joint venture's underlying net assets. The differences primarily relate to currency translation adjustments and the basis difference between the fair value of our investment at acquisition and the underlying net assets. The Company is party to a joint marketing agreement with JSC Ilim Group, a subsidiary of Ilim, under which the Company purchases, markets and sells paper produced by JSC Ilim Group. Purchases under this agreement were $56 million and $51 million for the three months ended June 30, 2018 and 2017, respectively, and $109 million and $98 million for the six months ended June 30, 2018 and 2017, respectively.

Summarized financial information for Ilim is presented in the following tables:

Balance Sheet



In millions	June 30, 2018		December 31, 2017
Current assets	$	699	$	689
Noncurrent assets	1,656		1,696
Current liabilities	477		1,039
Noncurrent liabilities	1,427		972
Noncontrolling interests	12		6

Income Statement



	Three Months Ended June 30,				Six Months Ended June 30,
In millions	2018		2017		2018		2017
Net sales	$	698	$	546	$	1,375	$	995
Gross profit	402		256		776		463
Income from continuing operations	116		44		305		151
Net income	112		42		295		143