Investments in Affiliated Companies

9 Months Ended

Sep. 28, 2024

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 28,		December 31,
(thousands)	2024		2023
Marubun/Arrow	$	47,414	$	50,779
Other		14,092		11,962
	$	61,506	$	62,741

The equity in earnings of affiliated companies consists of the following:

	Quarter Ended				Nine Months Ended
	September 28,		September 30,		September 28,		September 30,
(thousands)	2024		2023		2024		2023
Marubun/Arrow	$	528	$	978	$	614	$	2,946
Other		474		414		1,298		1,427
	$	1,002	$	1,392	$	1,912	$	4,373

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 28, 2024 and December 31, 2023.