RELATED PARTY TRANSACTIONS

12 Months Ended

Dec. 31, 2015

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

19.RELATED PARTY TRANSACTIONS

As a result of the TCCC Transaction, TCCC controls more than 10% of the voting interests of the Company.  The TCCC Subsidiaries and certain TCCC affiliated companies (the “TCCC Affiliates”) purchase and distribute certain of the Company’s products both domestically and in certain international territories.  The Company also pays TCCC a sales commission based on certain sales within the TCCC bottling network. TCCC commissions, based on sales to the TCCC Affiliates for the years ended December 31, 2015, 2014 and 2013, were $18.0 million, $1.0 million and $0.8 million, respectively. TCCC commissions, based on sales to the TCCC Subsidiaries, are accounted for as a reduction to revenue and are reported in net sales to the TCCC Subsidiaries. Net sales to the TCCC Subsidiaries for the years ended December 31, 2015, 2014 and 2013 were $1,151.7 million, $717.6 million and $650.6 million, respectively.  The Company also purchases concentrates from TCCC which are then sold to both the TCCC Affiliates and the TCCC Subsidiaries. Concentrate purchases from TCCC were $16.0 million for the year ended December 31, 2015. A certain TCCC Subsidiary also contract manufactures certain of the Company’s Monster Energy® brand energy drinks. Contract manufacturing expenses were $6.9 million, $6.5 million and $6.0 million for the years ended December 31, 2015, 2014 and 2013, respectively. Accounts receivable, accounts payable and accrued promotional allowances related to the TCCC Subsidiaries are as follows at:

	December 31, 2015		December 31, 2014
Accounts receivable, net	$	172,201	$	78,011
Accounts payable	$	58,579	$	13,738
Accrued promotional allowances	$	27,544	$	23,776

Two directors and officers of the Company and their families are principal owners of a company that provides promotional materials to the Company. Expenses incurred with such company in connection with promotional materials purchased during the years ended December 31, 2015, 2014 and 2013 were $1.9 million, $0.6 million and $1.0 million, respectively.