Investments in Affiliated Companies

9 Months Ended

Sep. 30, 2023

Investments in Affiliated Companies

Investments in Affiliated Companies

Note D – Investments in Affiliated Companies

The company owns a 50% interest in two joint ventures with Marubun Corporation (collectively “Marubun/Arrow”) and a 50% interest in one other joint venture. These investments are accounted for using the equity method.

The following table presents the company’s investment in affiliated companies:

	September 30,		December 31,
(thousands)	2023		2022
Marubun/Arrow	$	51,790	$	54,292
Other		11,259		10,820
	$	63,049	$	65,112

The equity in earnings (losses) of affiliated companies consists of the following:

	Quarter Ended				Nine Months Ended
	September 30,		October 1,		September 30,		October 1,
(thousands)	2023		2022		2023		2022
Marubun/Arrow	$	978	$	1,374	$	2,946	$	3,914
Other		414		344		1,427		812
	$	1,392	$	1,718	$	4,373	$	4,726

Under the terms of various joint venture agreements, the company is required to pay its pro-rata share of the third-party debt of the joint ventures in the event that the joint ventures are unable to meet their obligations. There were no outstanding borrowings under the third-party debt agreements of the joint ventures as of September 30, 2023, and December 31, 2022.