NOTE 14

INVESTMENTS AND RELATED-PARTY TRANSACTIONS

EQUITY INVESTMENTS

As of December 31, 2016 and 2015, investments in unconsolidated entities comprised $1.4 billion and $1.3 billion of equity-method investments, respectively.

As of December 31, 2016, Occidental’s equity investments consisted mainly of a 12-percent interest in Plains Pipeline, a 24.5-percent interest in the stock of Dolphin Energy, and various other partnerships and joint ventures. Equity investments paid dividends of $224 million, $438 million, and $396 million to Occidental in 2016, 2015 and 2014, respectively. As of December 31, 2016, cumulative undistributed earnings of equity-method investees since they were acquired was immaterial. As of December 31, 2016, Occidental's investments in equity investees exceeded the underlying equity in net assets by approximately $653 million, of which almost $537 million represented goodwill and the remainder comprised intangibles amortized over their estimated useful lives.

The following table presents Occidental’s interest in the summarized financial information of its equity-method investments:

For the years ended December 31, (in millions)	2016		2015		2014
Revenues	$	1,238	$	1,050	$	3,090
Costs and expenses	1,043		827		2,774
Net income	$	195	$	223	$	316

As of December 31, (in millions)	2016		2015
Current assets	$	914	$	896
Non-current assets	$	3,605	$	3,589
Current liabilities	$	577	$	536
Long-term debt	$	1,957	$	2,141
Other non-current liabilities	$	159	$	149
Stockholders’ equity	$	1,826	$	1,659

Occidental’s investment in Dolphin, which was acquired in 2002, consists of two separate economic interests through which Occidental owns (i) a 24.5-percent undivided interest in the upstream operations under an agreement which is proportionately consolidated in the financial statements; and (ii) a 24.5-percent interest in the stock of Dolphin Energy, which operates a pipeline and is accounted for as an equity investment.

In November 2014, Occidental sold a portion of its equity interest in Plains Pipeline for approximately $1.7 billion, resulting in a pre-tax gain of approximately $1.4 billion.

AVAILABLE FOR SALE INVESTMENT IN CALIFORNIA RESOURCES STOCK

As part of Occidental's spin-off of its California oil and gas operations and related assets, Occidental retained 71.5 million shares of, or approximately 18.7 percent interest in, California Resources stock, which was recorded as an available for sale investment. Occidental recorded an other-than-temporary loss of $227 million for this available for sale investment as of December 31, 2015. At December 31, 2015, Occidental's available for sale investment in California Resources was $167 million.

In March 2016, Occidental distributed a special stock dividend for all of its 71.5 million shares of common stock of California Resources to stockholders and recorded a $78 million loss to reduce the investment to its fair market value. Occidental no longer owns any shares of California Resources common stock.

RELATED-PARTY TRANSACTIONS

From time to time, Occidental purchases oil, NGLs, power, steam and chemicals from and sells oil, NGLs, natural gas, chemicals and power to certain of its equity investees and other related parties. During 2016, 2015 and 2014, Occidental entered into the following related-party transactions and had the following amounts due from or to its related parties:

For the years ended December 31, (in millions)	2016		2015		2014
Sales (a)	$	602	$	555	$	835
Purchases	$	7	$	26	$	6
Services	$	17	$	32	$	27
Advances and amounts due from	$	59	$	60	$	26
Amounts due to	$	—	$	5	$	15

(a) In 2016, 2015 and 2014, sales of Occidental-produced oil and NGLs to Plains Pipeline accounted for 89 percent, 87 percent and 46 percent of these totals, respectively. Sales to Plains Pipeline related to Occidental's oil and gas production are disclosed above. In addition to these sales, Occidental conducts marketing activities with Plains Pipeline for oil, NGLs and transportation. Net margins associated with these marketing activities are negligible.